Fiscal policy , Financial Accounting

Fiscal Policy

In a democracy, elected officials of the government create programs for the general welfare of the population. To pay for these programs, the government taxes individuals and firms. In this way, the government redistributes income from those it taxes to those who receive goods and services.

Two significant Federal Government programs are Social Security and Medicare. Social Security provides for the needs of the elderly and disabled and is primarily funded through a tax on wages. Medicare is a Federal Government insurance program that covers the health care needs of the elderly. These two programs, in combination, have greatly reduced the level of poverty among elderly Americans.

The government also spends significant resources on areas like military and agricultural subsidies. Groups of individuals and firms can join together to create a special interest and lobby the government for tax breaks or special spending. Every year when the federal budget is passed, careful choices must be made in allocating scarce resources to various government programs.

Posted Date: 2/14/2013 4:14:54 AM | Location : United States







Related Discussions:- Fiscal policy , Assignment Help, Ask Question on Fiscal policy , Get Answer, Expert's Help, Fiscal policy Discussions

Write discussion on Fiscal policy
Your posts are moderated
Related Questions
Procedure after Winding-up Order 1. A copy of the order must be filed by the company with the registrar s.227. 2. The company must deliver a statement of affairs to the Offici

Jim owns and manages a small business, which provides an office design service, as well as buying and selling office furniture. Jim is a sole trader who manages all aspects of the

The bid-offer spread as a function of daily trading volume is given by :p(q) = a + b*exp(cq) where q = daily trading volume a = 0.08 b= 0.10 c = 0.05 A trader wants to unwind

Q. Show the nature of business operations? The nature of business operations that influences the proportion of fixed costs to total costs. Capital intensive business operations

The following transactions transpire during the liquidation of the Marks, Norris, Smith, and Savannah partnership: • Collected 90 percent of the total accounts receivable with the

The following income statement items appeared on the adjusted trial balance of Schembri Manufacturing Corporation for the year ended December 31, 2013 ($ in 000s): sales revenue, $

1. Will implementing SAP R/3 across the entire PCD division provide the division with a competitive advantage?  Justify your answer carefully. 2. The Raleigh team promised IBM c

Peter has worked for five years as an assistant accountant for a large garage and vehicle repair workshop. In the past two weeks he has noticed that one of the managers, Simon, ha

Calculate the present value and determine the npv, Financial Management. Assume today is 3 December 2009. Helen is 30 years old and has a Bachelor of Business. She is currently em

Significant Findings or Issues - Substantive matters which are vital to procedures performed, conclusions reached or evidence obtained and include though aren't limited to: 1.