Role of government in an economy
At the end of this unit students will be able to
- describe the government as a producer of goods and services and as an employer;
- describe the aims of government policies, such as full employment, price stability, economic growth, redistribution of income, balance of payments stability;
- discuss the possible conflicts between government aims;
- describe the types of taxation (direct, indirect, progressive, regressive, proportional) and the impact of taxation;
- discuss the government’s influence (regulation, subsidies, taxes) on private producers.