177k views
2 votes
Regressive tax rate structures are typically considered to be vertically equitable.

1) True
2) False

User Slonski
by
7.6k points

1 Answer

2 votes

Final answer:

False. Regressive tax rate structures are not considered to be vertically equitable.

Step-by-step explanation:

Regressive tax rate structures are typically considered to be vertically equitable.

This statement is False.

Regressive tax systems, where people with higher incomes pay a smaller share of their income in tax, are not considered to be vertically equitable. They are actually considered to be the opposite - vertically inequitable. In a regressive tax system, the burden of the taxes falls more heavily on lower-income individuals, while higher-income individuals pay a smaller proportion of their income in taxes.

User Mincong Huang
by
7.1k points