KendrickLiddle41 KendrickLiddle41
  • 21-09-2015
  • Social Studies
contestada

How could raising a sales tax result in less rather than more revenue for particular state

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WorldCitizen WorldCitizen
  • 21-09-2015
If you raise taxes, the prizes increase and the purchase might decrease: less purchase  means less tax revenue.

For example, imagine New York increases their tax for printed material by 50 %- people would just order their books from New Jersey!
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