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    Economic factors affected when taxes are lowered

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    What other economic factors are affected when taxes are raised or lowered, and how are they affected?

    © BrainMass Inc. brainmass.com October 10, 2019, 4:54 am ad1c9bdddf

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    Some of the economic factors that affect taxes include:

    1. Government spending vs. income
    Higher government spending would require higher taxes because the government need more money to spend and vice versa

    2. Politics
    Depending on the political part that is in power, taxes can either go up or go down. Republicans want smaller government and therefore are
    likely ...

    Solution Summary

    The expert determines the economic factors affected when taxes are lowered.