humanities

• tax is a certain amount of money the government takes to pay for life facilities
• progressive tax is the more income a person makes the more tax
• proportional taxes are taxes which are the same percentage regardless of income
• regressive tax refers to the lower 9the tax you pay, the higher the salary
• taxable income refers to the amount of money that can be taken by the government
• income tax refers to the tax that is paid on your income
• allowable deductions is an amount that can be subtracted from someones income, to lower their assessable income
• assessable income refers to the total amount of an income that can be taxed. taxable income come from it after allowed deductions are taken.
• macroeconomics focuses on the actions undertaken by governments and countries that influence the economy
• microeconomics focuses on individual consumers/business and how they make decisions about what goods and services to buy/produce
• gdp refers to gross domestic product
• components of gdp include consumption, investment, government spending and net exports
• living standards refers to the things you need in order for you to enjoy a good, or high quality life
• gdp is measured per capita and it is also used to measure the economy
• budgeting is the process of planning and managing income and expenses
• cpi refers to customer price index and it measures inflation
• cyclical unemployment refers to the level of spending in the economy falling.
• structural unemployment refers to changes in the way goods and services are produced
• seasonal unemployment results from the termination of jobs at the same time each year due to seasonal changes
• frictional unemployment occurs when people move between jobs or leave one job to start another
• inflation occurs when there is an increase in the general level of prices across the economy
• excise tax is when tax is placed on something that the government wants to encourage individuals to stop buying.
• federal government uses tax on military, international exports, international relations, australian defence force and rebates
• state government use taxes on education, healthcare, freeways, airports, public transport
• local government uses tax on waste bins, library, police, fire services, road maintenance
• gst refers to goods and services tax and this tax is on 10% of most goods, services and other items sold or consumed in Australia.
• CPI measures inflation
• Demand side factors: These factors cause an increase in demand that exceeds the current level of goods and services
• supply side factor : These factors lead to an increase in the cost of producing goods and services.
• components of gdp include consumption, investment, government spending and net exports