In nations where conventional taxes are difficult to collect,the inflation tax is ________,which tends to ________ the inflation rates of those nations.

Question

Quizplus · Accepted Answer

In nations where conventional taxes are hard to collect, the inflation tax serves as a realistic alternative because it can be implemented through the monetary system without direct collection efforts. However, this approach tends to aggravate inflation rates as it involves increasing the money supply, which can lead to higher inflation.

In Nations Where Conventional Taxes Are Difficult to Collect,the Inflation