what are the sources of income of the government?
Business · High School · Tue Nov 03 2020
Answered on
There are three primary sources of income of the government namely tax revenue, payroll taxes, and other sources of tax revenue. Taxes is what makes the government functioning, and it is given by the employed individuals, business owners, and people who are involved in trading, marketing, finance, etc.. The economy of a country depends on the flow of money, which is determined by the employment rate, since if there is an increase in number in employment rate, the accumulation of taxes will also increase. Another factor to be considered which affects the tax is inflation or the general increase in the level of prices relative to the increase in volume of money, and the decrease in value of the currencies.