Economics (McConnell) AP Edition, 19th Edition

Chapter 16: Public Finance: Expenditures and Taxes

The content of this chapter may be included on the AP* Microeconomics exam.

After reading this chapter, you should be able to:

1. Identify the main categories of government spending and the main sources of government revenue.
2. Summarize the different philosophies regarding the distribution of a nation's tax burden.
3. Explain the principles relating to tax shifting, tax incidence, and the efficiency losses caused by taxes.
4. Demonstrate how the distribution of income between rich and poor is affected by government taxes, transfers, and spending.

AP Chapter 16 Introduction (9.0K)