When the marginal tax rate exceeds the average tax rate, the tax is
A)proportional.
B)regressive.
C)non-egalitarian.
D)progressive.

Question

Quizplus · Accepted Answer

This is because when the marginal tax rate exceeds the average tax rate, it means that as a taxpayer's income increases, they are paying a higher percentage of their income in taxes. This is a characteristic of a progressive tax system, where the tax burden increases as income increases.

When the Marginal Tax Rate Exceeds the Average Tax Rate