2 years ago

Why is an increase in tax rate not necessarily increase government revenue

Computers and Technology

1 answer:

Damm [24]2 years ago

5 0

Answer:

An increase in tax rate raises more revenue than is lost to offsetting worker and investor behavior

Explanation:

Increasing rates beyond T* however would cause people not to work as much or not at all, thereby reducing total tax revenue

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Why is an increase in tax rate not necessarily increase government revenue​

Why is an increase in tax rate not necessarily increase government revenue