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→Increasing the taxes can increase tax revenue
What basic economics tells you is that both is possible. You can raise the taxes by 7%, and then make a windfall and have consumption drops by up to 6.5%. What is so difficult to understand about that. [[User:Order]]
What basic economics tells you is that both is possible. You can raise the taxes by 7%, and then make a windfall and have consumption drops by up to 6.5%. What is so difficult to understand about that. [[User:Order]]
Seems like I can make mistakes too. According to Chart the tax was increased by 7ct (not percent). Sorry for this mistake. It is currently 62ct in Tennessee. So, lets then assume that it was 55ct before the tax increase, and 62 ct after. This means an increase in tax of about 12%, which means that you make a windfall if consumption drops up to 11%. [[User:Order]]