Statement I: A progressive tax places a heavier burden on the rich than on the poor.
Statement II: The Social Security tax is more regressive than the federal personal income tax.

A) Statement I is true and statement II is false.
B) Statement II is true and statement I is false.
C) Both statements are true.
D) Both statements are false.

Progressive Tax

A tax system in which the tax rate increases as the taxable amount increases, with higher earners paying a higher percentage of their income in taxes.

Social Security Tax

Social Security tax is a payroll tax collected to fund the Social Security program, which provides retirement, disability, and survivorship benefits to qualifying individuals.

Federal Personal Income Tax

A tax levied by the U.S. federal government based on an individual's income, including wages, salaries, and investments.