If Parliament adjusted our tax system so that the rate of taxation increased,the:
A)economy would become more inflation-prone
B)economy would tend to become less stable
C)stability of the economy would be unaffected
D)economy would tend to become more stable
E)the distribution of income would become more unequal

Question

Quizplus · Accepted Answer

Increasing the rate of taxation can lead to a more stable economy by potentially reducing consumer spending, which can help control inflation and reduce economic volatility. Higher taxes can also lead to increased government revenue, which can be used for public services and investments that contribute to economic stability.

If Parliament Adjusted Our Tax System So That the Rate