What is the role of taxes in funding government services?
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Taxes are the primary source of revenue for governments, used to fund a wide array of public services and infrastructure. These services include healthcare, education, defense, social security, transportation, and law enforcement. By levying taxes on income, sales, property, and businesses, governments are able to collect funds that support the needs of the population. The distribution of tax revenue helps maintain public goods and social welfare systems. Tax policies and rates are often adjusted to balance economic growth with the necessary funding for government operations, aiming for fairness while ensuring financial sustainability.