why is it it necessary for the government to have equitable distribution of facilities to all?
Answers
Answered by
2
Resources can be defined as the materials present in the environment which are used by humans for their survival and living. Resources should be evenly distributed as:
Even distribution of resources would result in equal development of all areas and make every area self-sustainable. The need of export and import of materials would be minimized and the standard of living would be raised.Even distribution would prevent over exploitation of a resource by a single population as every area will have its own resources and the population of that area would manage those resources. I hope the answer was helpful to you ❤️ If it was please mark it as brainlist!
Even distribution of resources would result in equal development of all areas and make every area self-sustainable. The need of export and import of materials would be minimized and the standard of living would be raised.Even distribution would prevent over exploitation of a resource by a single population as every area will have its own resources and the population of that area would manage those resources. I hope the answer was helpful to you ❤️ If it was please mark it as brainlist!
Answered by
1
People with lower incomes spend virtually all their income on consumption. Middle-income earners save a little but spend most of their income on consumption. High-income earners save and invest a larger percentage of their income than those earning less. So if all income were distributed equally, there would be less savings (and thereby less investment) and more consumption.
In the short term, that would stimulate the economy. But investment is necessary for research and development of new technologies and also for construction of new factories. Therefore, in the long term, the economy would stagnate if consumption is so high that it limits savings/investment.
There is a delicate balance between consumption and investment if you want economic growth. Too much consumption (with inadequate investment) or too little consumption (which triggers a recession) is detrimental. Likewise, too little investment means economic stagnation, but too much savings can restrict consumption and trigger a recession. So you want a healthy amount of consumption but still sufficient savings to fund investment for economic growth.
So, historical experience suggests that equal distribution of income is not best for economic growth, but neither is excessive income inequality (which creates social problems, which ultimately lead to protests and in extreme cases to violent revolutions).
Thus, a delicate balance is needed. Historically, we have seen that a moderate level of income inequality is economically stimulative and in the long run benefits society as a whole, but excessive income inequality is greatly dangerous.
i hope its help you
In the short term, that would stimulate the economy. But investment is necessary for research and development of new technologies and also for construction of new factories. Therefore, in the long term, the economy would stagnate if consumption is so high that it limits savings/investment.
There is a delicate balance between consumption and investment if you want economic growth. Too much consumption (with inadequate investment) or too little consumption (which triggers a recession) is detrimental. Likewise, too little investment means economic stagnation, but too much savings can restrict consumption and trigger a recession. So you want a healthy amount of consumption but still sufficient savings to fund investment for economic growth.
So, historical experience suggests that equal distribution of income is not best for economic growth, but neither is excessive income inequality (which creates social problems, which ultimately lead to protests and in extreme cases to violent revolutions).
Thus, a delicate balance is needed. Historically, we have seen that a moderate level of income inequality is economically stimulative and in the long run benefits society as a whole, but excessive income inequality is greatly dangerous.
i hope its help you
Similar questions