Economics Vocabulary

1. tax-a tax that takes a larger percentage of income from low-income earners than from high-income earners
4. tax-a tax that takes the same percentage of income from all taxpayers regardless of income level
8. base-a form of wealth—such as income, property, goods, or services—that is subject to taxes
10. Insurance Contributions Act (FICA)-a payroll tax that provides coverage for the elderly,the unemployed due to disability, and surviving family members of wage earners who have died
13. income from taxes and nontax
15. money taken from a worker's pay before the worker receives the pay
16. incentive-the use of taxes to encourage or discourage certain economic behaviors

2. Security-a federal program to aid older citizens, orphaned children,and the disabled
3. tax-a tax that places a higher percentage rate of taxation on high-income earners than on low-income earners
5. of a tax-the final burden of a tax
6. return-a form used to report income and taxes owed to the government
7. tax- a tax based on the value of an individual's or a business's assets
8. mandatory payment to a government
9. tax- a tax based on the value of goods or services at the time of sale
11. income tax- a tax based on a corporation's profits
12. income tax-a tax based on an individual's income from all sources
14. income-the portion of income subject to taxation after all deductions and exemptions