2006-10-12 11:44:17 · 3 answers · asked by jezZzca 1 in Business & Finance ➔ Taxes ➔ United States
Ignore the ignorant. Distortionary taxes (spelled correctly) are very simple. Unfortunately, I don't know the definition other than their opposite is lump-sum taxes.
Under lump-sum taxation, equilibria display nominal determinacy if the primary surplus is exogenous and indeterminacy if it is endogenous. Under distortionary taxation, this classification is no longer relevant.
I don't know what I said either.
2006-10-12 16:32:35 · answer #1 · answered by TaxMan 5 · 1⤊ 0⤋
A distortionary tax is a tax that looks distorted unless you have a special prism to see it through. Many people are afraid of the distortionary tax , because it looks so very large. Good Luck ! :)
2006-10-12 19:22:44 · answer #2 · answered by tysavage2001 6 · 0⤊ 2⤋
I think the word you're thinking of is DISCRETIONARY
2006-10-12 18:46:14 · answer #3 · answered by Clarkie 6 · 0⤊ 2⤋