Why is taxation necessary?

Question

Control the money supply and manage economic growth

prevent a regressive method of production

protect domestic producers from foreign competition

enable government planning of the economy

Answer 1

The money you pay in taxes goes to many places. In addition to paying the salaries of government workers, your tax dollars also help to support common resources, such as police and firefighters. Tax money helps to ensure the roads you travel on are safe and well-maintained. Taxes fund public libraries and parks.