The surge in retail sales ahead of the sales tax hike on 1st October was as large as the one seen before 1997’s sales tax hike. We’ve pencilled in a 1.7% q/q slump in consumption in the fourth quarter, which would be a little less pronounced than after 1997’s tax hike.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services