Question
As a policy analyst for the state of Arizona, you are asked to evaluate a potential sales tax increase. Which of the following statements should
As a policy analyst for the state of Arizona, you are asked to evaluate a potential sales tax increase. Which of the following statements should you include in a memo on the subject?
Group of answer choices
The sales tax is always regressive, so increasing it always hurts the wealthy more than the poor.
The sales tax can be progressive, because collectability is relatively cheap and the tax is easy to administer.
The sales tax is typically unstable and elastic, so the results of an increase are unpredictable.
The sales tax is easier to change politically, because it is generally more popular than other taxes.
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