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1D] For optimal tax, which of the following rules are true? A] Broad base rule: Better to tax a wide yariety of goods moderately than
1D] For optimal tax, which of the following rules are true? A] Broad base rule: Better to tax a wide yariety of goods moderately than few goods heayily. B] Ramsey rule [the elasticity mle]: Lower taxes on goods with more elastic demand. C] Raising tax will likely affect the size of the tax base. Try to tax on subjects that are not under the control of ind hriduats or inelastic subjects. D] The efficiency impact of a tax or subsidy cannot be considered in isolation. E] We had better strengthen the tax-benefit linkage. F] Tax smoothing oyer periods
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