Government improves economic equity in society by redistributing the nation's income.
The government raises revenue through the taxation system which is then spent for the benefit of households. Some households pay more tax than they receive in benefits while others pay less tax and receive more benefits. These differences in amounts paid and received change the distribution of income. Some taxes and benefits have a more direct impact on households than others. The data presented in this review refer only to taxes and benefits which could be directly associated with different household types.