Economics 9708 · AS & A Level · Fiscal policy

Fiscal policy — practice question

In a country with a progressive income tax system, which of the following is not a valid reason for a government to choose to reduce the rate of income tax paid on higher incomes?

  • Ato attract highly skilled workers from abroad
  • Bto prevent tax evasion
  • Cto provide work incentives
  • Dto reduce income inequalities

Worked solution & mark scheme

This 1-mark question has a full step-by-step worked solution and mark scheme.

  • Full mark scheme, point by point
  • Step-by-step worked solution
  • Write your answer & get it marked instantly by AI