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Which is an example of a sales tax? 5 percent charged on purchases of ordinary goods 20 percent charged on imported goods 10 percent charged on each gallon of gas 0.5 percent charged on the value of a home

5 percent charged on purchases of ordinary goods

What is the difference between an income tax and a payroll tax? Income taxes are used for a wide variety of government activities, while payroll taxes pay for specific programs. Income taxes are collected based on income, while payroll taxes are collected based on wealth. Income taxes reduce the demand for harmful goods, while payroll taxes don't affect this demand. Income taxes increase the purchasing power of the government, while payroll taxes increase the purchasing power of workers.

Income taxes are used for a wide variety of government activities, while payroll taxes pay for specific programs.

Which explains the difference between a tax and a tariff? Taxes are charged on income and wealth while tariffs are charged on sales. Taxes are a form of public revenues while tariffs are a form of public debt. Taxes are spent on social support programs while tariffs are spent on national defense. Taxes are paid on domestic economic activity while tariffs are paid on international trade.

Taxes are paid on domestic economic activity while tariffs are paid on international trade.

What is a progressive tax? a tax that raises prices on imports a tax that pays for specific social programs a tax that charges more for higher incomes a tax that reduces demand for harmful activities

a tax that charges more for higher incomes

Which of these increases the price of certain foreign-made goods? an import tariff an excise tax a sales tax an income tax

an import tariff

Which of these is an example of a tax on consumption? cigarette tax real estate tax Medicare tax Social Security tax

cigarette tax

Which is the purpose of a revenue tariff? earn money for the government help domestic producers engage in a trade war limit unhealthy behavior

earn money for the government

Which is true about sales taxes? imposed only on non-domestic producers do not affect prices levied by state governments levied by the federal government

levied by state governments

What is the purpose of taxation? plan the economy redistribute wealth control international trade provide government revenues

provide government revenues

What are Normal Trade Relations? process for collecting a set tariff on specific imported goods a multilateral approach to promoting free trade around the world agreement to peg a floating currency to a more stable currency treaty to create favorable trade terms between two nations

treaty to create favorable trade terms between two nations