How does the government generate employment? 1?
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Tax cuts create jobs by putting more money directly into the pockets of consumers and businesses. Discretionary spending creates jobs by directly hiring workers, sending contracts to businesses to hire workers, or increasing subsidies to state governments so that they don't have to lay off workers.
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The final communique of the 2014 G20 Leaders Summit called for enhanced economic growth that could be achieved by the promotion of competition, entrepreneurship and innovation. There was also a call for strategies to reduce unemployment, particularly amongst youth, through the encouragement of entrepreneurship.
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