Question

Excessive alcohol consumption can lead to liver failure as well as deterioration of other organs. Suppose the government has opened several public clinics dedicated to helping alcoholics reduce their alcohol consumption. Now the government is trying to decide how to fund these clinics One suggestion is to raise the funds for the public clinics by imposing a tax on private jets. This tax follows: O Neither the ability-to-pay nor the benefits-received principle O The benefits-received principle O The ability-to-pay principle

Answer 1

Answer:

The correct answer is letter "C": The ability-to-pay principle.

Explanation:

The ability-to-pay principle states that the tax amount of individuals are charged must be directly proportional to their income. In other words, those with high incomes should pay more taxes and those with low incomes should pay lower taxes. Under this scenario, tax brackets will be left behind.