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Government revenue

From Wikipedia, the free encyclopedia

Government revenue is money received by a government. It is an important tool of the fiscal policy of the government and is the opposite factor of government spending. Revenues earned by the government are received from sources such as taxes levied on the incomes and wealth accumulation of individuals and corporations and on the goods and services produced, exports and imports, non-taxable sources such as government-owned corporations' incomes, central bank revenue and capital receipts in the form of external loans and debts from international financial institutions. It is used to benefit the country. Governments use revenue to better develop the country, to fix roads, build homes, fix schools etc. The money that government collects pays for the services that is provided for the people. The sources of finance used by the central government are mainly taxes paid by the public.

Seignorage is one of the ways a government can increase revenue, by deflating the value of its currency in exchange for surplus revenue, by saving money this way Governments can increase the price of goods too far.

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Transcription

Contents

Sources

Governments across the world earn "public revenue" from the following main sources:

See also

Notes

References

  • Chisholm, Hugh, ed. (1911). "Revenue" . Encyclopædia Britannica (11th ed.). Cambridge University Press.
This page was last edited on 18 November 2018, at 17:16
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