Understanding the meaning of tax: Young peoples' knowledge of the principles of taxation

This study extended the limited research on children's understanding of economic concepts by investigating their knowledge of taxation based on a short test of four questions. In all 60 children, aged 10-11, 12-13, and 14-15 years divided both by sex and socio-economic status were interviewed. Results demonstrated clear age related trends but fewer gender or social class trends. At the age of 14/15 years adolescents still do not all fully comprehend the nature and purpose of taxation. Indeed it is in this area of economic understanding that young people seem most ignorant.