- HoustonMilfDebbie
- 09-13-2012, 12:00 AM
Today, income redistribution occurs in some form in most democraticcountries. In a progressive income taxsystem, a high income earner will pay a higher tax rate than a low income earner. The difference between the Gini indexfor an income distribution before taxation and the Gini index after taxation is an indicator for the effects of such taxation.
- HoustonMilfDebbie
- 09-13-2012, 12:19 AM
Another bit of fact:
The job of the management is more complex than just making a profit. In a capitalist society, the goal of the business firm is maximizing shareholder wealth or the price of the stock of the business firm in order to make each owner as wealthy as possible.
Under capitalism, it is the government's job to make sure there is a level playing field for privately-run companies by enforcing laws and regulations. The amount of governing laws and regulations in a particular industry generally depends on the potential for abuse in that industry.
The job of the management is more complex than just making a profit. In a capitalist society, the goal of the business firm is maximizing shareholder wealth or the price of the stock of the business firm in order to make each owner as wealthy as possible.
Under capitalism, it is the government's job to make sure there is a level playing field for privately-run companies by enforcing laws and regulations. The amount of governing laws and regulations in a particular industry generally depends on the potential for abuse in that industry.