Problem
What are the effects of a proportional income tax and a progressive flat-rate income tax, that is, one in which there is a lump-sum grant from the government of, say $5,000, and then a constant marginal tax rate on all income. I want you to see whether if the two taxes raise the same revenue, and all individuals have the same income, utility will be higher with the proportional tax."
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.