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How do progressive taxes contribute to eradicating poverty?

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Question

How do progressive taxes contribute to eradicating poverty?

Options

  • Ensuring fair basic pay

  • Higher tax rates for richer people

  • Providing job training

  • Subsidizing loans for farmers

MCQ
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Solution

Higher tax rates for richer people

Explanation:

Progressive taxes mean wealthy individuals pay higher tax rates, increasing government funds available for poverty-reducing measures.

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