Seignorage is one of the ways a government can increase revenue, by deflating the value of its currency in exchange for surplus revenue, by saving money this way governments can increase the price of goods too far.
Government revenue is derived from:
- Tax revenue: including taxes on the incomes and wealth accumulation of individuals and corporations and on the goods and services produced, exported and imported.
- Non-tax revenue: includes dividends from government-owned corporations, central bank revenue and capital receipts in the form of external loans and debts from international financial institutions.
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