![State effects of a regressive tax. State effects of a regressive tax.](https://digitalteachers.co.ug/wp-content/uploads/2022/09/Bbosa-Science.png)
State effects of a regressive tax.
- It reduces the demand for goods like tobacco and alcohol products.
- It lowers aggregate demand
- Leads to social unrest
- It promotes income inequality between the rich and the poor
- It reduces consumption of goods consumed by the poor
- It encourages tax evasion by the poor
- Leads to poverty.
CATEGORIES Economics
TAGS Dr. Bbosa Science
I’m looking forward to your next post! Health & Personal Care
Your content is always on point. 500 ka redeem code
Enroll in leading medical programs through MBBS Direct Admission in Maharashtra.
The Raja Luck App Download gives you access to premium games.