Benefit-received principle of taxation: Identify what the tax burden is based on under this principle. Context: In public finance, alternative principles include ability-to-pay vs. benefit-received rules. Choose the correct basis for taxation under the benefit-received principle.

Difficulty: Easy

• The benefits a taxpayer receives from public goods and services
• The taxpayer's ability to pay measured by income or wealth
• The deadweight loss minimized by the chosen tax
• The political feasibility of raising a given amount of revenue