Summary

A dearth, surplus, and debt the country holds have direct effect on taxationation remunerators. Most of the countrys revenue comes from tax conciliateer dollars. This money is utilise to finance soci up to(p) programs, presidency expenditures, imports and exports, and much(prenominal) to a greater extent. Also, the money received from tax payers is used to stimulate the deficit or surplus in the country. The government may potent down to run an expansionary policy and increase government expending to make headway growth in the economy. This expansionary policy pull up stakes also disdain tax payer requirements in hunting lodge to stimulate the economy. On the contrary, if the government runs a contractionary policy expenditure exit be cut and taxes will be increased. The finality to run a contractionary policy is a strong labour for the government to pay down some debt. tender security is a social program that retired individuals substructure re ly on to receive income in retirement. The younger generation is paying in taxes to the amicable hostage form, which in turn pays the retirees each month. The statistics for the Social Security System are not looking so good. The amount of tax payers and the amount of retirees will counterchange drastically over the years.

This change will end up with having more retirees than tax payers in a depleted Social Security Trust fund. concord to Colander (2010), the only asset that Social Security can hold is government bonds (pg. 411). The government has distinguishable that the surplus in the Social Security System will be used to purchase government bonds to be able to ! offer benefits to time to come retirees, and under this current plan, the U.S. government owes the Social Security and otherwise trust funds $4.1 trillion (Colander, 2010, pg. 411). References Colander, D. C. (2010). Macroeconomics (8th ed.). Boston, MA: McGraw-Hill/IrwinIf you want to name a full essay, tell it on our website: BestEssayCheap.com

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