Federalism will bring about “budgetary justice” for the taxes collected from the people and business entities in a particular state. In this system, the taxes collected by each and every state would accrue to the latter and it is the state government that has the power, through its own state congress, to appropriate it through its own budget laws.
The money retained in the territory where it came from is “justice” to where that money came from. The agricultural industries where the taxes came from have their respective problems inherent in the nature of their industry. If the taxes collected from them would be spent to solve the problems in agricultural industries located in another place, how about the problems of the same agricultural industries where that money came from?
In our present system, considering that most of our revenues would be transmitted to the central government, which the latter would allocate for the expenditures of the entire government for the entire country, it is vulnerable to an outcome where a region contributing bigger to the national revenue would be receiving lesser allocation because of their weakness in the lobbying. On the other hand, some cities would receive bigger shares when they contributed less because of favoritism. The sharing in our present system is not based mainly on “natural fruit” but on “legal fruit”.
There is no one in the congress orchestrated that effect, it is no one’s fault among them, but that is the natural outcome in a system where the entire collection from the nation would be “put in one box” to be divided again for the entire nation. It is not to blame anyone of them, it is not to blame the budget laws they passed. It is the system.
While it is true that when the money was collected by the government it is no longer owned by the person or entity where it was collected, but we should not have a system where the government would totally forget where the money came from and the only reality is that it is within their budgetary powers. In that situation, there is a total separation between the laws and the history of such funds.
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