100% satisfaction guarantee Immediately available after payment Both online and in PDF No strings attached
logo-home
PADM 5400/5420 MPA Comp Exam Questions & Answers 2024/2025 $10.99   Add to cart

Exam (elaborations)

PADM 5400/5420 MPA Comp Exam Questions & Answers 2024/2025

 10 views  0 purchase
  • Course
  • PADM 5400/5420 MPA Comp
  • Institution
  • PADM 5400/5420 MPA Comp

PADM 5400/5420 MPA Comp Exam Questions & Answers 2024/2025 How do managers promote stability during economic cycles? - ANSWERS"diversification in the property tax base and revenue sources and on the flexibility in spending...[generally leads to]...more stable operating budgets" (Bland, 2013: ...

[Show more]

Preview 4 out of 39  pages

  • October 23, 2024
  • 39
  • 2024/2025
  • Exam (elaborations)
  • Questions & answers
  • PADM 5400/5420 MPA Comp
  • PADM 5400/5420 MPA Comp
avatar-seller
Bensuda
PADM 5400/5420 MPA Comp Exam
Questions & Answers 2024/2025

How do managers promote stability during economic cycles? - ANSWERS"diversification in the property
tax base and revenue sources and on the flexibility in spending...[generally leads to]...more stable
operating budgets" (Bland, 2013: 10).



-----------------------------------



Bland's 3-Legs of Balanced Tax policies



-----------------------------------



Bland's Laws of Taxation



-----------------------------------



Bland's 7 Suggestions for Making Revenue Decisions



How to Achieve a Balanced Tax Policy (aka Bland's 3-Legs of Tax Policies) - ANSWERS1) Equity (What is
fair?)



2) Neutrality (What is economic efficiency?)



3) Tax Administration (How much does it cost to collect, enforce, and comply with?)



-------------------------------------------

,***Trade-offs exist between the three (for more info see Bland's 7 suggestions for making revenue
decisions)



Bland's Laws of Taxation

(Lecture Notes: Session 4) - ANSWERSFirst Law of Taxation: The greater the equity in allocating the tax
burden the greater the complexity of the tax code. (Lecture Notes Session 4)



Corollary: The greater the complexity of the tax code, the higher the administrative and compliance
costs. (Lecture Notes Session 4)

-----------------------------------



Second Law of Taxation: The broader the base and the flatter the rate, the more neutral the tax. (Lecture
Notes Session 4)



-----------------------------------



Third Law of Taxation: The more heavily a tax is used, the more appropriate its economic deficiencies.
(Lecture Notes Session 4)



3-Legs of Balanced Tax Policies: Equity (What is fair?) - ANSWERSHow should the tax burden be
measured?



Most common measure = annual income



Effective tax rate (aka relative tax burden) = tax liability (TL)/current income



tax burden = TL/income



"...broader measure" = lifetime income



-----------------------------------

,Types of Equity:

1) Vertical

2) Horizontal



-----------------------------------



First Law of Taxation: The greater the equity in allocating the tax burden the greater the complexity of
the tax code. (Lecture Notes Session 4)



Corollary: The greater the complexity of the tax code, the higher the administrative and compliance
costs. (Lecture Notes Session 4)



-------------------------------------------

Fundamental Elements of Equitable Tax Policy (Bland, 2013: 28-31):



"Benefits-based levies are the most defensible in terms of fairness. Tax favors to particularly vocal or
well-connected groups undermine the perceived equity of the revenue structure. Revenue polices
should ease the burden on the poorest and not punish the wealthiest. Tax fairness varies among local
communities, depending on their age, income distribution, and preference for public services" (Bland,
2013: 28).



-----------------------------------



Hoizontal Equity - ANSWERSTreating individuals/businesses in similar circumstances the same (Lecture
Notes)



-----------------------------------



What does "similiar" mean?

See:

, ~Uniformity clauses;

~14th amendment;

~Magna Charta-1215

(Lecture Notes Session 4)



-----------------------------------



In PA uniformity defined in courts (Lecture Notes Session 4)



-----------------------------------



What consititutes equal circumstances?



Majority/community decides what is equal/fair



***REMEMBER***

If you cut it now it'll still come back and someone else will have to pay for it (i.e., intergenerational
equity) (Lecture Notes Session 4)



Vertical Equity - ANSWERS"...variation in tax burden among taxpayers in different circumstances" (Bland,
2013: 27).



-----------------------------------



"...how that burden varies across the spectrum of income comparable to the income statement" (Bland,
2013: 27).



-----------------------------------



treating people in different economic circumstances differently (Lecture Notes Session 4)

The benefits of buying summaries with Stuvia:

Guaranteed quality through customer reviews

Guaranteed quality through customer reviews

Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.

Quick and easy check-out

Quick and easy check-out

You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.

Focus on what matters

Focus on what matters

Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!

Frequently asked questions

What do I get when I buy this document?

You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.

Satisfaction guarantee: how does it work?

Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.

Who am I buying these notes from?

Stuvia is a marketplace, so you are not buying this document from us, but from seller Bensuda. Stuvia facilitates payment to the seller.

Will I be stuck with a subscription?

No, you only buy these notes for $10.99. You're not tied to anything after your purchase.

Can Stuvia be trusted?

4.6 stars on Google & Trustpilot (+1000 reviews)

67474 documents were sold in the last 30 days

Founded in 2010, the go-to place to buy study notes for 14 years now

Start selling
$10.99
  • (0)
  Add to cart