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Suppose $T = .02 I ^ { \alpha }$ If Taxes Are Progressive Which of the Following Is True

Question 24

Multiple Choice

Suppose $T = .02 I ^ { \alpha }$
.If taxes are progressive which of the following is true?

A) $\alpha$ >1
B) $0<\alpha<1$
C) $\alpha= 1$
D) $\alpha = 0$

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