What are taxes primarily used for?

Taxes are primarily used to fund government services and programs, which include essential public services such as education, healthcare, infrastructure, law enforcement, and social welfare programs. These services are vital for maintaining the functioning of society and ensuring that the government can provide for the common good. By collecting taxes, governments can allocate resources to areas that benefit all citizens, regardless of their income level. This funding helps to create a stable environment where individuals can thrive and businesses can operate effectively.

The other options do not accurately reflect the primary purpose of taxes. Supporting private businesses is not a direct function of tax revenue, as taxes are intended for public expenditure rather than private profit. Assisting individual investments is also not a primary use of tax revenue; instead, investments typically come from private savings and income. Creating competition among businesses is an economic principle that may arise from business practices but is not a direct application of tax funds. Thus, funding government services and programs remains the core purpose of taxation.