Good Top 3 Government Expenditures – Short Report Report Example

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The top 3 expenditures of the government are on education, higher education and health & human services. The government of California is experiencing a structural deficit, which means that there are fundamental imbalances in government’s receipts and in their expenditures. A government experiences budget deficit when it spends more than it received in revenues through taxes and structural deficit is when that budget deficit has persisted for a while.
I think the government is spending the right amount as education and health are the top most priority for any government and it should receive the most attention for any economy to grow sustainably. Currently proposition 30 is applied which is temporary taxes to fund education, and it has been there since November 2012. It was done to increase taxes in order to avoid any cuts in educational budget for the state schools in California. After the prop expires, I believe another voting should be done as the prop 30 also won by 55% in 2012. Even though it results in increased personal income tax, it generates greater good for the society. It also charges additional sales tax, but combined together, it generates funds for the state schools. Therefore, I am in support of the prop 30, and I believe it should be re-applied and the education should remain the top priority in the budget. It raised the taxes of sales from 7.25% to 7.50%, and as it may seem to bring inflation, the government defines it as a mission to preserve education which is a bigger issue than inflation. Government has to make policy choices and the decision is in favor of the one which is most needed.