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Income distribution and welfare

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Question 20

The table below shows the annual income and the total income tax paid by an individual at different income levels.

Annual IncomeTax Paid
£30 000£3 000
£40 000£6 000
£50 000£10 000
£60 000£15 000
£70 000£21 000

What is the change in the average tax rate for an individual if their annual income increases from £40 000 to £50 000?

4%

5%

8%

10%

Income distribution and welfare Questions

  1. A Level
  2. /Economics
  3. /Income distribution and welfare