Government is obliged to be set rotation taxes from the people for the people and by the people to a balanced and fair as possible. There are things that lead to increased taxes and fall, SOME THINGS THIS CAUSE related with a state society. Finally, it needs to discuss how the tax reduction effect on a country and its people on demands for goods and services, the society’s ability to fulfill it, and three effects of increasing demands.
If a country is suffering from economic recession , the government can reduce taxation. It has big impact especially for lower society in a country. It is what happened in US, the federal government has decreased while the Social Security tax for 2011. On the surface, this looks to be a fairly simple way for American employees to bring home a little more than the monthly salary. In addition, to the social security tax cuts, it also lowers your taxable income. If all other factors remain the same, this means that any social security tax savings meant into into increased Federal and State income tax. This can be partially or even completely eliminate the potential benefit to the taxpayer. However, taxes decrease will relieve the poor in meeting their needs. This is because the price of nothing is going down and taxes being paid is no longer burden them.
The government always expect the welfare of its people whereas a decline or recession can also be detrimental to society because of the recession when the state budget will go down and reduced. This eventually leads to reduced demand for goods and services something. According to a source, it demonstrates that during a recession, the private sector spending drops for a variety of reasons. Demand for goods and services will go down. Paticular investors tend to restrict their investments. Factories tend to drop production and lay off workers.
According to Uni Sosial Demokrat, a companies which goes bankrupt, automaticaly number of businesses / companies that reduced tax revenues come reduced. It is caused weakening purchasing power thereby potentially lowering economic growth. Of course, a demand of goods and services tax will be reduced when other raised. In the other side, the ruler means raising taxes for the budget fulfillment. Based on Uni Sosial Demokrat, this is considered less accurate because of the increase will increasingly undermine the ability of the enterprise and potentially joint bankruptcy. In turn, raise the tax policy is thus increasingly exacerbating the situation. Similarly, when taxes go up then stuff them at the end raise speedly, it will reduce the society interest especially for lower-middle status to become a consumer of a goods.
When demand for goods and services will increase so will result in any claim for creating new jobs to meet the demand of all kinds. Because based on Steve Mulder, the goal is to get customers' attention, persuade and create demand, market segmentation has historically been based on variables that correlate to creating demand: geography, age, gender, income, education, occupation and other traditional demographics, as well as psychographics around personality, lifestyle, values and attitudes. It works because these attributes are helpful for defining how to effectively speak to different groups of people. This requires not only the government to try to create new field jobs but the active participation of the society to help is also needed so that the good cooperation between the two can benefit and welfare of the nation, the state and also citizens.
Many new jobs will help reduce unemployment. Least number of unemployed will help improve security, as this will reduce crime like stealing, pilfer, gambling, and others. According to The labor Department report, that The nation's unemployment rate dropped to the lowest it has been in almost four years in September, giving President Barack Obama a potential upbeat talking point as the presidential race heads into the final innings. That the unemployment rate fell to 7.8 percent in September, a decline of 0.3 percentage point and the lowest since January 2009. The government said the economy created 114,000 jobs, about as expected, and generated 86,000 more jobs in July and August than first estimated. The increase in demand will have a positive impact as well it also can help the country. When creating new jobs not only reducing the unemployment rate but also increasing state revenues by increasing taxes that will be obtained from each job.
The welfare of a nation can be achieved with it all. Increasing state revenue through taxes that do not have to bother the people will bring a nation and its people toward the common good. Because the needs will increase, which it will require the new jobs. It can reduce the amount unemployment affecting to the security of the country for the better.
Appearantly, increase or decrease in taxes has a positive and negative impact . The state taxes have a strong impact and influence for the welfare of the country or its people. So the government should set it up correctly, do not let the tax burden the people even though the purpose of improving and advancing the country or for general interest. Individual aspects as the right of every citizen must also be considered. Expected both got the same result from the tax.
The third paragraph: thesource.hubpages.com/hub/Government-spending-and-taxes-during-recession
The sixth: https://www.google.com/search?q=4.%09Lower+unemployment&ie=utf-8&oe=utf-8&aq=t&rls=org.mozilla:en-US:official&client=firefox-a#hl=en&gs_rn=11&gs_ri=psy-ab&pq=4.%09lower%20unemployment&cp=21&gs_id=25&xhr=t&q=4.%09Lower%20unemployment&es_nrs=true&pf=p&client=firefox-a&hs=zna&rls=org.mozilla:en-US%3Aofficial&sclient=psy-ab&oq=4.%09Lower+unemployment&gs_l=&pbx=1&bav=on.2,or.r_qf.&bvm=bv.45645796,d.bmk&fp=d305e74069924022&biw=1360&bih=638