Author Question: Who is hurt and who benefits from inflation? Why?[br][br][b][color=#FA1639]Question ... (Read 67 times)

fnuegbu · **on:** Jun 30, 2018

Who is hurt and who benefits from inflation? Why?

Question 2

The federal personal income tax was designed to be a:
a. progressive tax.
b. regressive tax.
c. proportional tax.
d. poll tax.
e. payroll tax.

nekcihc358 · **Reply #1 on:** Jun 30, 2018

Answer to Question 1

Inflation hurts those on fixed incomes and those that save at fixed nominal rates of interest. Inflation benefits those who borrow at fixed nominal rates of interest and those whose wealth increases faster than the rate of inflation.

Answer to Question 2

a