Answered: How do governments use spending and…

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Economics

How do governments use spending and taxation to reduce inequality and poverty in an economy?

Economics Today and Tomorrow, Student Edition

1st Edition

ISBN:9780078747663

Author:McGraw-Hill

Publisher:McGraw-Hill

Chapter16: Government Spends, Collects, And Owes

Section: Chapter Questions

Problem 19AA

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How do governments use spending and taxation to reduce inequality

How do governments use spending and taxation to reduce inequality and poverty in an economy?

How do governments use spending and taxation to reduce inequality

Rules by which an authority (usually a government) imposes a financial obligation on individuals or organizations within its domain. Property or transactions can be taxed. While taxes are primarily intended to fund the operation of a government, many tax laws are created to encourage or discourage certain behaviors by citizens or companies.

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