Home > Terms > English (EN) > hypothecation
hypothecation
Earmarking taxes for a specific purpose. It may be a clever way to get around public hostility to paying more in taxation. If people are told that a specific share of their income tax will go to some popular cause, say education or health, they may be more willing to cough up. At the very least they may be forced to make more informed decisions about the trade-offs between taxes and public services. There is a downside, however. Hypothecated taxes may tie the hands of a government at times when the hypothecated revenue could be spent to better effect elsewhere in the public sector. Conversely, and perhaps more likely, hypothecated taxes may prove to be less hypothecated than the public is led to believe. Civil servants, doubtless under pressure from their political bosses, can usually find ways to fudge the definition of the specific purpose for which a tax is hypothecated, letting government regain control over how the money is spent.
- Part of Speech: noun
- Synonym(s):
- Blossary:
- Industry/Domain: Economy
- Category: Economics
- Company: The Economist
- Product:
- Acronym-Abbreviation:
Other Languages:
Member comments
Terms in the News
Billy Morgan
Sports; Snowboarding
The British snowboarder Billy Morgan has landed the sport’s first ever 1800 quadruple cork. The rider, who represented Great Britain in the 2014 Winter Olympics in Sochi, was in Livigno, Italy, when he achieved the man-oeuvre. It involves flipping four times, while body also spins with five complete rotations on a sideways or downward-facing axis. The trick ...
Marzieh Afkham
Broadcasting & receiving; News
Marzieh Afkham, who is the country’s first foreign ministry spokeswoman, will head a mission in east Asia, the state news agency reported. It is not clear to which country she will be posted as her appointment has yet to be announced officially. Afkham will only be the second female ambassador Iran has had. Under the last shah’s rule, Mehrangiz Dolatshahi, a ...
Weekly Packet
Language; Online services; Slang; Internet
Weekly Packet or "Paquete Semanal" as it is known in Cuba is a term used by Cubans to describe the information that is gathered from the internet outside of Cuba and saved onto hard drives to be transported into Cuba itself. Weekly Packets are then sold to Cuban's without internet access, allowing them to obtain information just days - and sometimes hours - after it ...
Asian Infrastructure Investment Bank (AIIB)
Banking; Investment banking
The Asian Infrastructure Investment Bank (AIIB) is an international financial institution established to address the need in Asia for infrastructure development. According to the Asian Development Bank, Asia needs $800 billion each year for roads, ports, power plants or other infrastructure projects before 2020. Originally proposed by China in 2013, a signing ...
Spartan
Online services; Internet
Spartan is the codename given to the new Microsoft Windows 10 browser that will replace Microsoft Windows Internet Explorer. The new browser will be built from the ground up and disregard any code from the IE platform. It has a new rendering engine that is built to be compatible with how the web is written today. The name Spartan is named after the ...
Featured Terms
Iconoclasm
The Byzantine Iconoclasm (Eikonomachía) refers to two periods in the history of the Byzantine Empire when the use of religious images or icons was ...
Contributor
Featured blossaries
stanley soerianto
0
Terms
107
Blossaries
6
Followers
Top 10 Famous News Channels Of The World
Browers Terms By Category
- Zoological terms(611)
- Animal verbs(25)
Zoology(636) Terms
- Medicine(68317)
- Cancer treatment(5553)
- Diseases(4078)
- Genetic disorders(1982)
- Managed care(1521)
- Optometry(1202)
Health care(89875) Terms
- Health insurance(1657)
- Medicare & Medicaid(969)
- Life insurance(359)
- General insurance(50)
- Commercial insurance(4)
- Travel insurance(1)
Insurance(3040) Terms
- General astronomy(781)
- Astronaut(371)
- Planetary science(355)
- Moon(121)
- Comets(101)
- Mars(69)
Astronomy(1901) Terms
- Contracts(640)
- Home improvement(270)
- Mortgage(171)
- Residential(37)
- Corporate(35)
- Commercial(31)