Thursday, July 21, 2011

If a state government finances treatment facilities for alcoholics out of revenues from a tax on liquor, it is

ECONOMICS

Multiple Choice

If a state government finances treatment facilities for alcoholics out of revenues from a tax on liquor, it is

a.basing its taxation on ability to pay

b.levying a proportional tax

c.able to afford fewer treatment facilities when liquor sales decrease

d.discouraging alcoholics from seeking treatment at government facilities

e.providing a service that the private sector cannot provide

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