24
QuizMultiple Choice

International Trade

Question 24 • IL-Economics

Which method of increasing government revenue has an immediate effect?

Answer
A
raising the minimum wage
B
lowering income taxes
C
increasing the sales tax
D
giving property tax breaks

Explanation

Increasing the sales tax immediately raises the amount collected on taxable purchases, so government revenue can rise as soon as those purchases occur. Raising the minimum wage does not directly increase government revenue, while lowering income taxes and giving property tax breaks generally reduce tax revenue.

AI-written and checked against the verified answer.

Previous
Next