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प्रश्न
Explain how indirect taxes can be inflationary.
Explain how indirect taxes prove to be inflationary.
थोडक्यात उत्तर
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उत्तर
- Indirect taxes are known to cause significant inflation. Indirect taxes on commodities lead to higher market prices.
- Rising prices increase the cost of living, leading trade unions to seek greater salaries to maintain workers' real incomes.
- Indirect taxes perpetuate a cycle of rising prices, costs, wages, and further price increases.
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संबंधित प्रश्न
The government imposes tax ______.
Identify the tax which is most likely to faster civic conciousness.
Which of these taxes is most likely to be progressive?
How can tax be used as an instrument to bring about equitable distribution of wealth and income?
Classify the following type of tax into direct and indirect taxes:
House tax
Give one example of progressive tax.
Draw a neat labelled diagram for progressive taxation.
State two differences between income tax and commodity tax.
Explain how tax can be used as an instrument to regulate consumption and production in an economy.
Explain the term Incidence of a tax.
