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?
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In most Western countries interest rates are controlled by a central bank. They can unilaterally take action to address monetary issues. Raising taxes is much more complicated and involves passing a bill through the legislature which takes a lot of time and political capital.
Can you imagine what the inflation situation would like if Congress was responsible for it? They would still be arguing over whether we should raise taxes or slash government spending for the poor.
Edit: reading to raising taxes.
Edit 2: As several people have pointed out Central banks handle monetary policy, not fiscal. I used the wrong word in my original answer. Thank you for the corrections. Mea culpa.
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