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That’s why the Chamber funds only the highways and defence. And it means that a small civil service is enough to help deliver pubic goods. It also means that everything else has to be paid for. If you want it, you pay for it. If you want a bank account, you pay the bank a regular fee!”
“There are two other types of taxes in Wolfland. An import duty on certain types of goods. And a local tax on properties, both residential and commercial. The local tax is devoted entirely to local amenities like street cleaning, refuse collection, the libraries and the fire brigade, etc. The whole machinery of central government relies on the sales tax, when people buy things, and on some import duties, when commercial traders import certain things.”
Mr Rafone returns to his original question.
“So, what exactly is the Work Impost?”
Complete silence! Again!
“Who funds this school?”
With a slightly nervous, questioning tone Kayt suggests, “government?”
“Interesting! But no! Let’s try it this way. Who pays my wages?”
A few whispers go around the class. Without responding directly to Mr Rafone, a spontaneous discussion develops among the students.
“Parents! If everything else has to be paid for, and parents want their kids to be educated, then surely they’re the ones who are paying?”
“My parents don’t pay! They have no money at all!”
“Nor does my mum, well that’s what she keeps telling me!”
“Interesting!” says Mr Rafone, “why parents?”
“So that we’re better qualified, we get better jobs, and we earn higher wages?”
“OK, aside from parents, who else might be paying for this?”
“Teachers?”
“Or the students themselves?”
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