Question : Which of the following may be classified as a 'Pigouvian tax'?
Option 1: Income tax
Option 2: Carbon tax
Option 3: Corporate tax
Option 4: Long term capital gain tax
Correct Answer: Carbon tax
Solution : The correct option is the Carbon tax.
The carbon tax is a classic example of a Pigouvian tax. It is designed to internalise the external costs associated with carbon emissions and address the negative externality of climate change. By taxing carbon emissions, the government aims to make businesses and individuals take into account the environmental and societal costs of their carbon-intensive activities.
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Question : Which of the following taxes is proportional in nature?
Option 1: Capital Gains Tax
Option 2: Income Tax
Option 3: Corporation Tax
Option 4: Goods and Services Tax
Question : The liability to pay the tax and the actual burden of which of the following taxes lie on two different persons?
Option 1: Corporation tax
Option 2: Income tax
Option 3: Capital gains tax
Option 4: Goods and services tax
Question : Which of the following is an indirect tax?
Option 1: Death duty
Option 2: Interest tax
Option 3: Goods and services tax
Option 4: Capital gains tax
Option 1: Capital gains tax
Option 2: Excise duty
Option 3: Wealth tax
Option 4: Estate duty
Question : Which of the following gases is used in a bulb?
Option 1: Hydrogen
Option 2: Carbon dioxide
Option 3: Carbon monoxide
Option 4: Argon
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