why does operating surplus not arise in -general government sector of the economy
Answers
Answered by
30
✎ ʀᴇᴀsᴏɴ ᴛʜᴛ ɢᴏᴠᴇʀᴍᴇɴᴛ's ᴏᴘᴇʀᴀᴛɪɴɢ sᴜʀᴘʟᴜs ɪs ᴢᴇʀᴏ ᴏʀ ɴɪʟ ɪs ᴛʜᴀᴛ ᴍᴀɪɴ ᴍᴏᴛɪᴠᴇ ᴏғ ɢᴏᴠᴇʀɴᴇɴᴛ ɪs ᴍᴀxɪᴍɪsᴀᴛɪᴏɴ ᴏғ sᴏᴄɪᴀʟ ᴡᴇʟғᴀʀᴇ ʀᴀᴛʜᴇʀ ᴛʜᴀɴ ᴘʀᴏғɪᴛ .
ʜᴏᴘᴇ ɪᴛ's ʜᴇʟᴘ ᴜʜʜ
ᴍᴀʀᴋ ᴍʏ ᴀɴsᴡᴇʀ ᴀs ʙʀᴀɪɴʟɪsᴛ
Answered by
0
Answer:
Reason that goverment's operating surplus is zero or nil is that the main motive of government is maximisation of social welfare rather than profit. The subsistence sector relies on natural resources to provide basic needs. Accordingly, their operating surplus is minimal or zero.
Similar questions