Why do govts raise interest rates to slow the economy instead of tax rises? 771 viewsJanuary 1, 2024 Question100.55K June 23, 2023 0 Comments With interest rate rises, the people in the most debt suffer the most. With tax rises, the highest paid suffer the most, and the govt has extra revenue to help the ones struggling the most. This is never considered by any govt. Why not? In: 1129 29 Answers ActiveNewestOldest Anonymous Posted June 23, 2023 0 Comments Increasing taxes affects consumer spending much slower than increasing interest rates affects bank activity. You are viewing 1 out of 29 answers, click here to view all answers. Register or Login
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