Question

What will the increase in tax have on consumer spending?

Answer 1

GDP

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Answer 2

hey mate here is your answer...

a tax increase will decrease disposable income because it takes money out of households . A tax degrees will increase disposable income because it levels household with more money. disposable income is the main actor driving consumer demand which accounts for two thirds of total demand.

this is your answer.........

hope it's help for you..........

:-)