A tax expenditure is a. revenue forgone through special provisions in the tax code. b. the hidden cost of resources devoted to tax compliance. c. money paid to corporations that declare negative net income. d. revenue forgone through tax evasion.

A tax expenditure is a. revenue forgone through special provisions in the tax code. b. the hidden cost of resources devoted to tax compliance. c. money paid to corporations that declare negative net income. d. revenue forgone through tax evasion.

Principles of Microeconomics

7th Edition

ISBN:9781305156050

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter12: The Design Of The Tax System

Section: Chapter Questions

Problem 8PA

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100%

2. A tax expenditure is
a. revenue forgone through special provisions in the tax code.
b. the hidden cost of resources devoted to tax compliance.
c. money paid to corporations that declare negative net income.
d. revenue forgone through tax evasion.

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