The Complete Guide to Fiscal Policy: Government Spending, Taxes, and Debt
By Allen Krewzz
What Fiscal Policy Actually Is
The Two Levers: Spending and Taxation
Spending and taxation are best understood together, not separately. A government that only ever spent, without ever taxing, would have no sustainable way to fund itself — and a government that only taxed, without spending, would have no purpose for raising the revenue at all.