Question

A government wants to improve its highway system but doesn't have enough money to fund the project. It comes up with a plan to raise the money by requiring all citizens to pay an extra 5% of the yearly salary to the government. The government believes all citizens will benefit from the new highways so the cost will be worth it.

The government actions described in the passage best so which concept.
A. Spending. B. Taxation. C. Regulation. D. Monetary policy

Answer 1

B taxation because the people are having 5% less so they are paying the government witch is taxes and there for its b I cant explain that well sorry :)