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During the Revolutionary War, the American colonies could not raise enough tax revenue to fully fund the war effort. To make up the difference, the colonies decided to print more money. Printing money to cover expenditures is sometimes referred to as an "inflation tax." Who do you think is being "taxed" when more money is printed? Why?
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good question. You haven't you ring them. Revolutionary War The American colonies could not reason of tax revenue to fully found the war effort to make up the dearest, the colony's decided to print more money but creaming money to cover expenditures they sometimes referred to as inflation tax. So coolly Spain text when more money is printed. Quite so, the answer is that the people are being taxed. Why's that? Because misery to be read Because we know that when more money are printed, they are lots of money flowing flowing around in the society. So there is going to be an inflation, which means that maybe today you go to buy an apple and pulled for one dollars. But due to inflation tomorrow, an apple is gonna be three dollars. So, actually, the price of the apple is going higher. This another form off tax, which is called inflation tax. Because we're preening. Let's with money here. So the price of the price of everything the president like daily commodities increases. So you are actually paying. You're actually paying horn too, by the same amount of goods you used to have. So it is the people who are actually being text
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