Revenue and expenditure analysis plays a crucial role in promoting transparency and accountability, as it provides citizens with basic information that will contribute to building trust between the government and its citizens. When people can see where their tax money is going, they are more likely to trust that their government is acting in their best interests. This trust is essential for maintaining social cohesion and the legitimacy of the government. A government that is seen as trustworthy is also more likely to be effective because its citizens are more willing to comply with laws and regulations, including those related to tax payments.
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