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when certain countries have more of a natural resource than other countries do, they can export, or sell, that resource to other countries. exporting resources can be a way for governments to make money. the events below show one way governments make money from exports. place the following events in order. earlier mali’s government makes money from these taxes and uses the money to pay for government services, such as running schools and building roads. private companies see an opportunity to make money, so they hire people to mine the gold. before the companies can export the mined gold, they are required to pay a tax for every load of gold they send out of the country. people discover gold in rivers and in underground mines in mali.
The sequence follows the logical flow of resource discovery, private sector response, regulatory tax requirement, and government use of tax revenue. First, the resource (gold) must be discovered. Then, private companies act on the profit opportunity by mining it. Next, a tax requirement is enforced before export. Finally, the government uses the collected tax funds for public services.
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- People discover gold in rivers and in underground mines in Mali.
- Private companies see an opportunity to make money, so they hire people to mine the gold.
- Before the companies can export the mined gold, they are required to pay a tax for every load of gold they send out of the country.
- Mali's government makes money from these taxes and uses the money to pay for government services, such as running schools and building roads.