The role of government

The local government does not have the following role

• Rubbish collection

• Libraries

• Setting of income tax rates

• Street lights

Hong Kong has a total revenue of $604.5m. Hong Kong receives $54.8m from salaries tax and $155.1m from profits tax. What percentage of Hong Kong's revenue is from salaries tax?

• 25.6%

• 9%

• 34.7%

• 35.3%

On a national level the role of the government does not include

• Collection of rubbish

• Economic growth

• Balance of payments

• Stable price levels

What is a tariff?

• A tax on domestic products

• A redistribution of income

• A tax on imports

• A tax on income

Which of the following goods/services is not provided by the public sector?

• Police force

• Fire brigade

• Bottled water

• Parks

What is meant by a 'trading bloc'?

• Reduced barriers to trade between countries

• No trade between countries

• Firms replacing labour with capital

• The government subsidising firms