Lump-sum taxes are rarely used in the real world because
A)while lump-sum taxes have low administrative burdens, they have high deadweight losses.
B)while lump-sum taxes have low deadweight losses, they have high administrative burdens.
C)lump-sum taxes are often viewed as unfair because they take the same amount of money from both poor and rich.
D)lump-sum taxes are very inefficient.

Question

Quizplus · Accepted Answer

Lump-sum taxes are considered unfair because they impose the same tax amount on everyone, regardless of income, disproportionately affecting those with lower incomes.

Lump-Sum Taxes Are Rarely Used in the Real World Because