4. An inflation tax is a. imposed by governments to offset price increases. b. paid directly as...

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4. An inflation tax is

a. imposed by governments to offset price increases.

b. paid directly as a percentage of the sale price on purchases.

c. the result of a decrease in the value of money held by the public.

d. generally levied by states rather than the federal government.

e. higher during periods of low inflation.

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Macroeconomics In Modules

ISBN: 978-1464139055

3rd Edition

Authors: Paul Krugman ,Robin Wells

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