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Economics · May / June 2025 · Paper 12 · Question 18

2281Fiscal policy

The diagram shows the percentage of income taken by a tax at different levels of income. Which term is used to describe the tax?

  1. Aindirect
  2. Bprogressive
  3. Cproportional
  4. Dregressive

As printed in the paper

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Correct answer: D. regressive

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