Economics 9708 · AS & A Level · Taxes and subsidies

Taxes and subsidies — practice question

Inequality within an economy may be classified as income inequality or wealth inequality. What is most likely to lead to wealth inequality being greater than income inequality?

  • Aan increase in indirect taxation
  • Ban increase in the value of property
  • Ca reduction in the minimum wage
  • Da reduction in the rate of interest paid on savings

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