What do you think it implies about the design of tax policy

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One argument sometimes made in favor of the use of commodity taxation rather than income taxation is that people do not accurately perceive the amount they pay in commodity taxes. They will object less to a 20 percent income tax supplemented by a 10 percent sales tax than to a 30 percent income tax. Do you think this is true? If it is, what do you think it implies about the design of tax policy?

Reference no: EM131431345

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