Question

What effect do tax incentives have on economic development?
A.
Tax incentives have no impact on economic development.
B.
Tax incentives only allow the rich to get richer and the poor to get poorer.
C.
Tax incentives encourage international trade of human or physical resources.
D.
Tax incentives only affect economic development when a nation creates an important technology

Answer 1

i believe the answer is c

Answer 2

Answer:

corret answer is option C(Tax incentives encourage international trade of human or physical resources)

Explanation:

Option A

Tax incentives may have large number of positive impacts  on economical development. If tax incentives are implemented properly, it can increase the investment to a country, tax incentives may  improved the technology, can provide employment, it can increase the number of capital transfers,. Though it is difficult to estimate the effects of tax incentives, Tax incentives can improve the overall economic welfare through increasing economic growth and government tax revenue.Tax incentives encourage international trade of human or physical resources.