28919
AssignmentMultiple Choice

Fiscal Policy: Taxes

Question 28919 • * HSA 26-27 Economics

What action can the government of Country DF take to encourage citizens to purchase homes?

Answer
A
maintain corporate tax rates
B
raise income taxes
C
raise property tax rates
D
lower income taxes for homeowners

Explanation

Lowering income taxes for homeowners reduces the cost of owning a home and gives citizens a financial incentive to buy one. Raising income or property taxes would instead make purchasing or owning a home more expensive, while maintaining corporate tax rates does not directly encourage households to buy homes.

AI-written and checked against the verified answer.

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