Question

Do higher taxes help the economy?what would happen if taxes are raised?

Answer 1

$\huge\underline\bold\pink{Answer}$

Tax cuts increase household demand by increasing workers' take-home pay. Tax cuts can boost business demand by increasing firms' after-tax cash flow, which can be used to pay dividends and expand activity, and by making hiring and investing more attractive.

Answer 2

$\huge{ \boxed{ \fcolorbox{red}{blue}{AnswEr:-}}}$

Tax cuts increase household demand by increasing workers' take-home pay. Tax cuts can boost business demand by increasing firms' after-tax cash flow, which can be used to pay dividends and expand activity, and by making hiring and investing more attractive.