1.)

An article in the New York Times noted that a proposal by 2016 Democratic presidential candidate Hillary Clinton would"increase taxes on the wealthiest Americans to combat a widening gap between rich andpoor."

Source: AmyChozick, "Hillary Clinton Offers Her Vision of a'Fairness Economy' to Close the IncomeGap," New York Times, July13, 2015.

Currently, the effect of federal taxes is to make the distribution of income

A.

more equally distributed after taxes than it is before taxes.

B.

less equally distributed after taxes than it is before taxes.

C.

better for some and worse for others after taxes.

D.

about the same after taxes as it is before taxes.

2.)

Using the federal income tax code to reduce income inequality can

A.

leave economic inefficiency unchanged.

B.

increase income inequality between men and women.

C.

reduce economic inefficiency.

D.

increase economic inefficiency.