Equal sacrifice

Updated: Aug 20, 2021

The principle that the tax burden should be allocated across individuals so that each makes an equal sacrifice. The difficulty with applying this principle is the definition and measurement of sacrifice. One possibility is that there should be an equal sacrifice of consumption but this could be in absolute or proportional terms. An alternative is that the sacrifice is measured in utility terms, but this raises difficult questions about interpersonal comparisons of utility. See also ability to pay.

Reference: Oxford Press Dictonary of Economics, 5th edt.

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James Knight
Editor of Education
James is the Editor of Education for Invezz, where he covers topics from across the financial world, from the stock market, to cryptocurrency, to macroeconomic markets.... read more.