Government needs revenue to run the country, expecting all capable tax payers to pay tax. However, some rich people are avoiding to pay their shares or parts. Unfortunately, they are able to do so without any penalty because they are very smart to sway around the laws.
Over spending or cosuming cannot drive economic growth, but
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would lead to bankruptcy of persons even a country. This raises a question that consumption-based method to calculate a nations' GDP is problematic. Personally, I support the method of production-based GDP calculation. How can you expect nearly 50% people who have never paid a penny tax to drive the growth of economy of the country (see Mitt Romney's speech, 2012 Republican Presidency Candidate)? Basically, these people lack of abilities to consume goods if they do not have supports from the government. This is the problem facing all levels of governments that how to increase production by reducing consumption, reducing overspending, and saving more for future generations. If this problem, deadly cancer of a nation, was not resolved in a sense of right way, much severer problem would come up that shall result in collapse or division of the nation.
Government needs revenue to run the country, expecting all capable tax payers to pay tax. However, some rich people are avoiding to pay their shares or parts. Unfortunately, they are able to do so without any penalty because they are very smart to sway around the laws.
Government needs revenue to run the country, expecting all capable tax payers to pay tax. However, some rich people are avoiding to pay their shares or parts. Unfortunately, they are able to do so without any penalty because they are very smart to sway around the laws.
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