5.9 Taxes during the fourteenth century were very progressive. The 1377 poll tax on the Duke of...

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5.9 Taxes during the fourteenth century were very progressive.

The 1377 poll tax on the Duke of Lancaster was 520 times the tax on a peasant. A poll tax is a lump-sum (fixed amount) tax per person, which does not vary with the number of hours a person works or how much that person earns. Use a graph to show the effect of a poll tax on the labor-leisure decision. Does knowing that the tax was progressive tell us whether a nobleman or a peasant—assuming they have identical tastes—

worked more hours?

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Microeconomics

ISBN: 9780133456912

7th Edition

Authors: Jeffrey M. Perloff

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