A tax system achieves efficiency when:A) the right people actually bear the burden of taxes.B) it minimizes the costs to the economy of tax collection.C) the tax is fair.D) it is in equilibrium.

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Jenisha Patel · Accepted Answer

Final Answer : B, Explanation :  Efficiency in a tax system is achieved when the costs of tax collection are minimized, as this allows for the maximum amount of resources to be available for private consumption and investment. While fairness and equilibrium are also important, they do not necessarily guarantee efficiency. The right people bearing the burden of taxes is important for equity, but it does not necessarily result in efficiency if the costs of collection are high.

A tax system achieves efficiency when:

A) the right people actually bear the burden of taxes.
B) it minimizes the costs to the economy of tax collection.
C) the tax is fair.
D) it is in equilibrium.

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