1691EconomicsMedium
Tax shifting?
Ais the ultimate distribution of a tax’s burden
Bis the way in which a tax is structured
Coccurs when households can alter their behaviour and do something to avoid paying tax
Doccurs when taxes cause prices to increase but wages to fall.
Correct answer
C. occurs when households can alter their behaviour and do something to avoid paying tax
Explanation
The correct answer is occurs when households can alter their behaviour and do something to avoid paying tax.