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- Introduction To Economicseconomics-mcqs › introduction-to-economics
- Published
- 26 May 2019
- Last updated
- 28 May 2026
What is the effect of increasing taxes while raising welfare benefits?
Multiple choice question for Introduction To Economics. Select an option, then review the explanation below.
Explanation
Increasing taxes and expanding welfare payments typically promote greater fairness (equity) in society, but this often comes at the cost of reduced economic efficiency.
More Introduction To Economics MCQs
Practice related questions from the same subject.
- 1.Which of the following factors directly influences the supply curve?
- 2.Under what condition is a market considered to be in equilibrium?
- 3.What type of relationship is depicted when a graph shows that as the values on the horizontal axis increase, the values on the vertical axis decrease?
- 4.Which two elements are essential to construct a straight-line graph?
- 5.How can a nominal value be converted into a real value?