Government

The revenue that the federal government collects each year comes mostly from private and corporate income tax. Corporations by their nature create jobs and individuals are paid by corporations. As long as these two areas continue to grow government income grows. The goal of conservatives is to reduce regulations and provide subsidies for research to encourage the development of new ideas and thus new industries and thus new jobs. The liberals wait until the profits grow and then increase taxes and use the increased revenue to expand public assistance and create new public programs. The country has grown over the years by balancing these two different approaches but the second depends on the first.