Question

The most common way for a government to raise money is through the collection of taxes. True False

Answer 1

The statement is True.

Most countries all over the world rely on taxing its citizens in order to collect money to manage its expenditure. It also taxes institutions such as private corporations. Some countries also have state owned enterprises and thus the profit they make can be used by the government. They can also borrow money from foreign governments or receive interest payments from wealth funds.

Answer 2

The answer you are looking for is True.