Why is taxation regarded as a leakage and government as an injection

Social Studies

1 answer:

IrinaK [193]3 years ago

6 0

Answer:

Above question need to be reworded as ‘Taxation an injection and government spending a leakage’.

Taxation on the public, injects money into the government coffers and therefore the economy. Whereas government spending is a leakage from the treasury. Various taxes that are levied on products and services, fetch the government, money. Government spending by way of projects, expenses on law-makers etc., are met out of income from taxes or surcharge.

Explanation:

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Why is taxation regarded as a leakage and government as an injection​

Why is taxation regarded as a leakage and government as an injection