Question

Need a little help please :)

How would raising the minimum wage make taxes increase?

Answer 1

Raising the minimum wage would help stimulate the economy due to the increased spending power of workers receiving higher wages. Increase spending will lead to large production of goods & services which then lead the economy in to the peak/boom phase. As the economy stimulates towards this phase, the increase in production/consumption allows governments to increase taxes.

Answer 2

That makes sense :) Thank you so much!

Answer 3

Any time :)