The main economic functions of the Australian government are: the reallocation of resources and redistribution of income through taxation and government expenditure; the stabilisation of economic activity through the use of monetary and fiscal policies; the provision of goods and services through public trading enterprises; and the improvement of allocative efficiency in specific markets through the use of economic policies such as competition and environmental policies. The Federal Budget is an estimate of Commonwealth taxation revenue and government expenditure; it is based on forward projections. A Government’s decision regarding how tax is sourced and spent is known as a Fiscal Policy. The Government uses fiscal policies to achieve economic