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The Canadian Government plays a major role within our mixed economy to help distribute income from...

The Canadian Government plays a major role within our mixed economy to help distribute income from the "Haves" to the "Have Nots". Identify a policy that does this and describe who the money comes from and who it goes to. Then state if you agree with the policy or not describing what would exist if the policy was not in place.

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Answer #1

Canadian government plays active role in economic activities. From time to time, it helped to avert major economic crisis. Following are ways to distribute income to have nots:

  • Unemployment allowances.
  • Old age and other disability pensions.
  • Direct transfers.
  • Health and educational facilities and subsidies.
  • Insurance subsidies.

These policy measures are aimed at reducing growing inequalities in society. Government imposes taxes on richer class of society and seeks to distribute income among the have nots. In this way, government achieve objective egalitarian society. it also justifies the existence of democracy.

Thus, now state is no longer a policy, State has become a welfare state.

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