One advantage of a consumption tax is that there are fewer problems with inflation.

Question

Quizplus · Accepted Answer

Consumption tax is a tax on what people spend, not on what they earn or own. This can help reduce the demand for goods and services, which can lead to lower prices and lower inflationary pressures. Additionally, consumption taxes do not affect the supply side of the economy, which can reduce the risk of inflation caused by excessive government spending.

One Advantage of a Consumption Tax Is That There Are