Post Utme Babcock University 2017 Economics Question 16

Practice objective / multiple choice question 16 from the 2017 Post Utme Babcock University Economics examination.

Post Utme Babcock University 2017 Economics Objective / Multiple Choice
Question 16 POST_UTME_BABCOCK_UNIVERSITY • 2017 • ECONOMICS • objective

The government of Nigeria has introduced a new tax policy aimed at reducing income inequality. The policy includes a 10% tax on individuals earning above ₦500,000 per annum. Assuming the tax revenue is used to fund public goods and services, which of the following statements is true?

Answer Options

A. The tax policy will increase the tax burden on low-income earners.
B. The tax policy will reduce the tax burden on high-income earners.
Correct Answer C. The tax policy will increase government revenue.
D. The tax policy will reduce income inequality.
Correct Answer
C
Correct Option:
The tax policy will increase government revenue.

About This Question

This is Post Utme Babcock University 2017 Economics Question 16. It is one of the objective questions from the 2017 Post Utme Babcock University Economics examination.

View More Post Utme Babcock University 2017 Economics Questions More Post Utme Babcock University Practice Questions Back to Questions

Master the Exam!

You've seen a preview, but there are thousands more questions plus AI tutor to break down complex solutions.

Unlock Full Access Available for Android & Windows
Chat with Support