One of the ways that has been suggested to alleviate the burden of taxation on the average citizen is lowering the income tax. Explain how this move would affect the revenue stream for federal, state, and local governments in regard to income tax revenue and sales tax revenue.

Cutting taxes reduces government revenues,at lease in the short term, and creates either a budget deficit or increased sovereign debt. The natural countermeasure would be to cut spending.

or...

Lowering the income tax would definitely help raise funds for local governments without hurting any other revenue stream because local governments don’t collect income taxes. With lower income taxes, there is more money for each family to spend and more opportunities for local governments to collect sales tax. State Government: Revenue is gained and lost in for state governments. Money is lost if the income tax is reduced, because the states do collect income taxes. However, states also collect the bulk of the sales tax, and the more money that consumers get to keep, the more money they’ll spend buying products that can be taxed. Federal Government: This move would be bad for the federal government’s revenue stream. Lowering the income tax means less revenue coming into the federal government, and the federal government does not collect sales taxes.

Explanation:

answer; (trauma);

the third answer is correct (c).

the laws that regulate the financing of political campaigns seek to guarantee the smoothness of funding so that there is no abuse of electoral economic power and to avoid the capture of future politicians by the donors.

this is because donor agents have their private interests that are not necessarily the same interests of the society that elected politicians must defend.

thus, interest groups should seek their interests within the legality of lobbying practices that are regulated.