ramirezmaite
ramirezmaite ramirezmaite
  • 26-04-2017
  • Social Studies
contestada

Which of these is MOST LIKELY to occur after the government increases taxes?

Respuesta :

andriansp andriansp
  • 13-10-2017
The answer to this question Consumer spending decreases.
When the government increases taxes, the companies in the private sector will response by increasing product prices in order to maintain its profitability.
Because of this, consumer will eventually reduce their spending in order to keep partial of their income for savings.
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