Individual Income Food ClothingA $20000 $5000 $2000B $50000 $8000 $8000Before e

Individual Income Food ClothingA $20000 $5000 $2000B $50000 $8000 $8000Before
even considering any particular numbers define precisely what is meant
when we say that a tax system is regressive. Do the same for what is
meant by progressive.Suppose a general sales tax of 5% is
applied to all purchases and purchasing behavior does not change as a
result. In consideration of the sum total of ALL sales taxes paid
illustrate why this tax system is regressive.SHOW ALL WORK IN A SYSTEMATIC FRAMEWORK TO EARN MAXIMUM POINTS.Hint: Develop a calculation table for analysis.There
is a proposal on the government table to exempt EITHER food OR clothing
from the sales tax base. The purpose of this proposal is to seek
progressivity rather than regressivity in the sales tax system. Provide a
reasoned recommendation supported by calculations as to which option
should be selected.SHOW ALL WORK IN A SYSTEMATIC FRAMEWORK TO EARN MAXIMUM POINTS.Hint: Develop two calculation tables for analysis.