3 ms·
Excellent example :) It's the interplay of tax and expenditure which redistributes income. So, to use your example: If the government spent 100% of tax revenue
by iuioiuio777 11y ago
Excellent example :)
It's the interplay of tax and expenditure which redistributes income. So, to use your example: If the government spent 100% of tax revenue on the girls, then there is no redistribution.
And as we all know, in the real world US, virtually all Federal expenditure is on social welfare, defense, and interest on the debt. Thus you could cut ~75% of tax revenue before the effect you discuss comes into being.