Examine the economic effects that would result from replacing state and local sales taxes with one national sales tax on all consumption, including consumption of services

  • Examine the economic effects that would result from replacing state and local sales taxes with one national sales tax on all consumption, including consumption of services. For example, the federal government would collect the tax and return the revenue collected to the state governments.
  • Describe how replacing state and local sales taxes with a national sales tax might change consumer behavior.

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