While studying macroeconomics, interaction with taxes are not seen to importantly. I am though interested in an interaction with redistributive taxes (such as the income or the inheritance tax rate), monetary policy and the growth rate. Does anybody of you know good starting points ?
A redistributive taxation or progressive taxation would be used by a government to increase equality/ decrease its gini coefficient. This wouldn’t result in an increase in growth rate as aggregate supply would decrease, because of a decrease in capital of firms. (Usually firms are run by higher earners which wouldn’t benefit from such a taxation.) If redistributive taxation was applied and the government was trying to increase its growth rate, it would probably intervene in the market to increase spending. Therefore, it would decrease interest rates or indirect tax (bigger burden on lower earners). I tried to understand what you were asking, but the question is a bit confused