Luokat: Kaikki - wealth - environment - infrastructure - behavior

jonka megan lynch 3 vuotta sitten

121

How Society Intervenes with in How you Spend your resources

Governments exert significant influence over how individuals allocate their resources through various mechanisms. One common method is the implementation of Value Added Tax (VAT), where essential items such as baby food may have lower or no VAT, while luxury goods like chocolate typically have higher rates.

How Society Intervenes with 
in How you Spend your resources

How Society Intervenes with in How you Spend your resources

Pensions

Governments have compulsory pension schemes because many individuals wouldn't otherwise invest in pensions

Encouraging Desirable Behaviour

The Government can provide extra resources like grants to promote cycling, solar panels, etc.

Redistribution of Wealth

They use the revenue to support those who struggle to pay for basic needs.
Governemts tax those who earn more

Impact on Environment

The Government pass laws to change individual behavior for the good of all.
An individual doesn't cause much damage but all individuals together can

Value Added Tax (VAT) Rates

Lower or no VAT on items deemed as a need = baby food
Higher VAT rates on luxury goods/wants = chocolate

Societal Decisions

Usually the Government make these decisions
Infrastructure = Hospitals, roads, schools