Approximately what percentage of the American GDP is taken as tax?

Prepare for the Political Science Citizen Interactions Test with our comprehensive multiple-choice quiz. Discover insights through flashcards, question hints, and detailed explanations to boost your test readiness and ace your exam!

The correct choice reflects the general understanding of tax contributions to the American economy. Approximately 27% of the Gross Domestic Product (GDP) is typically taken as tax revenue at various levels of government in the United States. This encompasses federal, state, and local taxes, covering income tax, sales tax, property tax, and various other taxes.

This figure is significant because it helps illustrate how government revenue is a critical part of economic activity in the country, influencing public services, infrastructure, and welfare programs. The collection percentage can fluctuate based on economic conditions, tax policy changes, and shifts in government spending priorities, but 27% provides a stable benchmark in recent economic analyses.

The other percentages do not match the typical estimates for tax as a portion of GDP as closely as this option does. While rates can be higher or lower depending on specific years and economic cycles, 27% aligns with historical data and current estimates provided by trusted economic sources.

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