Sejauh manakah , kegiatan ekonomi pada masa kini membantu dalam aspek pemerintahan negara
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Expenses incurred by government spending has a great impact on the state economy. Although, it is possible that by increasing spending and rise in tax could result from an increase in GDP. In the event of a recession, consumers may reduce their expenses which results in an increase in private sector saving. So, a tax hike may not reduce spending to a great extent. The policies of the government can influence economic growth and inflation as well as monetary and fiscal policies. Monetary policy: Change the interest rate affecting the supply of money.
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