When Tax Code Changes Increase Saving Incentives, the Interest Rate

question 137

Short Answer

When tax code changes increase saving incentives, the interest rate will _____ and investment will _____.

---

Definitions:

Child and Dependent Care Credit

A tax credit in the U.S. for qualified expenses paid for the care of children under 13 or disabled dependents, enabling the taxpayer to work or look for work.

Qualified Day Care

A childcare facility meeting specific regulatory standards and qualifications, which expenses for may be deductible or eligible for specific tax credits.

Retirement Savings Contributions Credit

A tax credit also known as the "Saver's Credit," aimed at encouraging low- and moderate-income individuals to make retirement contributions.

Head of Household

A filing status for individual US taxpayers who are unmarried and pay more than half the cost of keeping up a home for themselves and a qualifying person.