A government is considering four income-tax schedules. The table shows the percentage of income that would be paid in tax at three annual income levels.
| Schedule | £20,000 income | £40,000 income | £80,000 income |
|---|---|---|---|
| W | 12% | 12% | 12% |
| X | 20% | 14% | 8% |
| Y | 4% | 10% | 18% |
| Z | 6% | 16% | 9% |
Which schedule would create a progressive income-tax system?
Schedule X
Schedule Y
Schedule Z
Schedule W
76 exam-style questions on OCR GCSE Economics 3.5 Fiscal policy, covering 3.5.1 Government spending and revenue, 3.5.2 Budget balance, surplus and deficit, 3.5.3 What is fiscal policy, 3.5.4 Calculate effects of taxes and spending, 3.5.5 Analyse effects of taxes and spending, 3.5.6 Costs and benefits of fiscal policy, and 3.5.7 Redistributing income and wealth. Each one has a worked solution and a mark scheme showing where the marks go.