Surname 3
According to Boulding the USA use a flat tax rate system. The idea of flat tax rate
system raised the eyebrows of the US citizens. Some thought to pay the same amount of tax
will portray equality, while others viewed it as a form of discrimination (Stokey et al. 549).
Neither the middle class nor the poor will benefit from the flat tax. The system will
only benefit from the flat rate system of tax. Rich people will be the beneficiary of a flat tax.
They will be judged less more than the middle-class people (Stokey et al. 537).
The flat tax rate eases the computation work of revenue collection. It is is a popular
form of tax collection system because it eliminates double taxation. Taxation dictates the
price of goods in a country (Stokey et al. 543). Therefore it is advisable for a country to
choose wisely a better tax system.
Consumer’s Confidence
Consumers confidence is a measure of the degree of optimism a consumer has
towards the overall economy’s state (Dees et al. 9). It also relates to how consumers feel
about their personal financial status about the economy.
The study of consumer confidence refers to consumers’ intention to spend and save
(Dees et al. 9). If they have faith in their personal finance and the future economy, they will
spend more than they can save.
The trust of consumers is a significant indicator of the market. If the confidence of
the consumer is high, more purchases will take place. Also, if the consumers are not
confidence enough, they will save more than what they spend.
