Taxes represent:
A) a leakage of purchasing power,like saving.
B) an injection of purchasing power,like investment.
C) an injection of purchasing power,like government spending.
D) a leakage of purchasing power,like government spending.

Question

Quizplus · Accepted Answer

Taxes represent a leakage of purchasing power, similar to saving because the money is removed from circulation and not immediately spent back into the economy.

Taxes Represent