Instructions

Read the following information carefully and answer the question which follows.

Question 39

Read the following paragraph and answer the question which follows
Tenants’ associations have demanded a ‘vacancy tax’ on all vacant and unsold flats in Mumbai.
Which of the following would support the demand made by the tenants’ association ?

Solution

Levy of vacancy tax would discourage people from hoarding property making them to sell or rent it. This would naturally cause the prices of property to fall.

Hence, option E is correct option.


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