Sector Público y su Función

Sector Público

• Composed of various interconnected organs and administrations, divided into three levels: national, provincial, and municipal
• Impacts domestic income through taxation and transfer payments
• Dictates regulations for the private economic system, addressing market failures
• Aims to maintain economic stability, exemplified by policies to avoid significant fluctuations in variables like national product and prices
• Provides goods and services, often more effectively than the private sector (e.g., education, security).
• Public goods are non-rivalrous and non-excludable, meaning one person's use does not diminish another's and it's difficult to prevent individuals from using them.

Public Sector Function

• Public spending is categorized into current expenditures (mainly related to salaries and running expenses) and capital investments (buildings, equipment, etc.).
• The public sector obtains funding through various methods, including taxation, borrowing (debt), and the creation of money.

Redistribution of Income

• Functional redistribution aims to alter the relative compensation of various factors of production.
• Personal/family income redistribution seeks to influence the distribution of income amongst individuals or families.
• Public actions often affect the real product distribution, but the impact of these changes is not always immediately apparent.

Fiscal Policy

• Policies related to government spending and taxation
• Expansionary policy involves increased public spending and/or reduced taxes, aiming to boost economic activity.
• Contractionary policy relies on decreased public spending and/or increased taxes to curb economic activity, often in response to inflation.
• Fiscal outcomes can influence the overall economic state (inflation and unemployment).

Types of Taxes

• Proportional taxes: Tax rate remains constant regardless of income level.
• Direct taxes: Imposed directly on the individual or entity liable (e.g., income tax)
• Indirect taxes: levied on goods or services, often passed on to the consumer (e.g., sales tax)
• Progressive taxes: higher income earners pay a progressively higher percentage of their income in taxes.
• Regressive taxes: higher percentage of income from lower earners, relative to higher earners.

Budgetary Results

• Budget surplus: Revenues exceed expenditures.
• Budget deficit: Expenditures exceed revenues.
• Balanced budget: Revenues equal expenditures.
• Budgetary results reflect government spending and taxation activities.

Este cuestionario explora la estructura y función del sector público, incluyendo sus niveles, impacto en la economía, y la provisión de bienes y servicios. También se discuten las categorías de gasto público y formas de financiamiento que utiliza. Aprende sobre la importancia de la estabilidad económica y la regulación del sistema económico privado.