The greater burden of the taxes on essential goods is borne by
Answer Details
The greater burden of taxes on essential goods is typically borne by the low-income group. Essential goods refer to basic goods and services that are necessary for people's daily lives, such as food, clothing, housing, and healthcare. These goods are generally consumed by all income groups, but the low-income group spends a higher proportion of their income on essential goods than the middle or high-income groups.
When taxes are imposed on essential goods, it can significantly impact the purchasing power of the low-income group. They may have to spend a higher proportion of their income on taxes, leaving less money for other essential items. In contrast, the high-income group may not feel the impact of such taxes as much because they can afford to pay for these goods and services at higher prices.
Therefore, the greater burden of taxes on essential goods is borne by the low-income group, who have limited financial resources and are already struggling to make ends meet. Governments should be cautious when imposing taxes on essential goods and consider the impact on the low-income group.