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Question

What role does the government play in generating employment opportunities?

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Solution

The government generates employment through direct and indirect efforts. The government makes direct efforts at employing people in various departments for administrative purpose. It runs various enterprises and when they result in an increased output of goods and services, they lead to further increase in employment. The various private enterprises that are linked to government enterprises might also benefit from increase their output and employment also. This way the government also indirectly generates employment.


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