Fiscal drag

From ACT Wiki
Revision as of 16:02, 12 December 2016 by imported>Doug Williamson (Create the page. Source: FT lexicon http://lexicon.ft.com/Term?term=fiscal-drag)
(diff) ← Older revision | Latest revision (diff) | Newer revision → (diff)
Jump to navigationJump to search

Fiscal drag is the tendency of the proportion of taxation to rise when an economy is growing.

Fiscal drag helps to slow consumer spending and corporate activity, and thus acts as a counterbalance to unrestrained growth.


See also

Retrieved from ‘https://wiki.treasurers.org/w/index.php?title=Fiscal_drag&oldid=21287’