Buy custom Australian Government Policy notes (economics)
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| Topic: |
Business
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| Number of pages / Number of words: |
10 / 2599 |
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Allocative
- Funds for capital or ongoing purposes
- Pay wages, operating expenses (power), capital expenses (roads), capital items
- Always allocated heavily towards education and health
2. Redistributive
- Based on principle of equality through redistribution of income
- Higher income earners pay higher taxes (higher tax brackets) which is used to fund social welfare payments to lower income earners
3...
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Redistributive
- Based on principle of equality through redistribution of income
- Higher income earners pay higher taxes (higher tax brackets) which is used to fund social welfare payments to lower income earners
3. Stabilisation
- When revenue and expenditure is use to influence aggregate demand
- Government has two tools
i...
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General points of the essay
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