Schultze, C. (1995) “The Balanced Budget Amendment: Needed? Effective? Efficient? National Tax Journal, Vol 48 Buchanan,J. (1995) “Clarifying Confusion about the Balanced Budget Amendment” National Tax Journal,Vol 48 Rosen H,Gayer T(2010) “Public Finance, 9th
The Ministry of Finance is a Cabinet-level department of Government of Pakistan. It is concerned with the promoting economic growth and economic activities within the country. The Ministry’s executive and political head of authority is known as Finance Minister of Pakistan, Ministry’s executive must be an elected Member of Parliament of Pakistan. The Finance Division dealings include financial matters affecting the country as a whole, preparation of annual budget statements and supplementary/excess
With probity in the public finances elevated to a first-order political issue, it is not difficult to appreciate why public discourse appears to have assimilated seamlessly the notion that elected governments inherently misappropriate ‘taxpayers’ money’. Greater independence for the OBR may occasionally lead to embarrassment
and investment. Despite the poor recent Spanish economy, Spain's international trade situation has improved. In May 2013, Spain had a 2.19 billion (euros) trade surplus, narrowing the trade deficit. The economic downturn has also hurt Spain's public finances. The government budget deficit peaked at 11.2% of GDP in 2010 and the process to reduce the deficit has been slow despite the central government's efforts to raise new tax revenue and cut spending. Spain reduced its budget deficit to 9.4% of GDP
budgets to expenditures on Medicaid and on retirement benefits that they have promised to their past and current employees. As these expenditures consume more of their budgets, there is less to spend on transportation, parks and recreation, education, public safety, and all the other services that these governments provide. We are thus experiencing the onset of a New Fiscal Ice Age, a period in which a given level of tax revenue purchases a considerably lower level of current services (Kiewiet & McCubbins
the economy to deviate from the price which would otherwise have been determined in presence of stable price level. They also provide evidence that greater independence of the Central Bank leads... ... middle of paper ... ...uilibrium in public finances and distorted tax system particularly rely on seignorage. More specifically, fiscal policy has a significant effect on inflation in countries where government securities markets are less developed. In this connection, Telatar, Telatar and Ratti
after previous work from key economists like Adam Smith, stating that over time as the economy develops, public expenditure should increase. The study explored 21 OECD democracies’ relationship between GDP per capita and public education expenditure from 1980-2001. Using different classifications of variables, he found that economic variable (GDP per capita) was positively associated with public education spending. However, during this time there were only 30 OECD members, excluding Israel. Yet, similar
All throughout the United States for the past several years, states are “hurting because of falling state revenues,” (Emeagwali), and schools are trying to cope with tremendous budget cuts that are resulting in less funds provided for educational services. These cuts are putting pressure on everyone invested in the education system, including students, teachers and any other administration within them (qtd. in Johnson 2), and the reduced budget is not solely affecting any particular level of schooling
Role of Government in Mixed Economies Such As Australia What role do governments have in modern mixed economies such as Australia? Using appropriate indicators (macro economic aggregates) outline the present state of the economy. In what ways is the Commonwealth government using fiscal and monetary policies to influence the Australian economy? What are the main features of the government's micro economic policy? Why is the government concerned about microeconomic reform? Synopsis: The role of
Financial crisis The financial crisis occurred in 2008, where the world economy experienced the most dangerous crisis ever since the Great Depression of the 1930s. It started in 2007 when the home prices in the U.S. Dropped significantly, spreading very quickly, initially to the financial sector of the U.S. and subsequently to the financial markets in other countries. The victims in the United States were: the largest commercial banks, the whole investment banking industry, the major savings
physical funds to achieve the state’s quest for growth and development to generate better welfare for their people. Ahmad and Stein (1991) would say that issues regarding the principles of the theory of taxation on how efficient would the government finance its activities is still questionable. But the question that needs to be asked first is how the state would earn maximum revenues to have funds allocated properly in government expenditures. Theory on optimal taxation would su... ... middle of paper
The United States debt and defecit is a major problem in our society. One thing I would propose to the President would be to tax the rich. Time. It's useful to keep in mind how the rich are different. When you are poor, you are willing to trade your time to earn money. When you are rich, you trade your money to get more time. For example, the rich hire people to clean their homes, and they don't waste time shopping for bargains. In business school I learned that when people have different preferences
of Macroeconomics, 39(Part A), 1-23. http://dx.doi.org/10.1016/j.jmacro.2013.10.005 Lee, Y., & Gordon, R. H. (2005). Tax structure and economic growth. Journal of Public Economics, 89(5-6), 1027-1043. http://dx.doi.org/10.1016/j.jpubeco.2004.07.002 Miron, J. (2010). The case against the fiscal stimulus. Harvard Journal of Law and Public Policy, 33(2), 519-529. Retrieved from http://search.proquest.com.proxy1.ncu.edu/docview/347581655?accountid=28180 Ojede, A., & Yamarik, S. (2012). Tax policy and
of the welfare of the country drastically increased. Compared to the first five year plan budget of 174.7 million ngultrum, the current budget of 11th five year plan is much more which stands nearly at 213 billion. This shows the huge rise in the public expenditure by the government over the last few decades. Of late, with the growth in private sector, inflow of FDI, tourism industry, manufacturing company, more diplomatic relation with other countries etc has further helped in increasing the Gross
increase in government spending or a reduction in net taxes is always aimed at increasing aggregate output (Y). The main aim is to stimulate the economy but this may lead to many problem such as inflations, budget deficit because of needed debt to finance the deficit. Before finding out which is the better options for stimulation of any economy we need to first be clear with the concept of multiplier. In the following report we have first tried to clear the concept of the multiplier then carried
financial year which will result in the attainment of their objectives. The budget is a publication of the government's plans regarding the use of fiscal policy, and is published to parliament and the general public on “budget night”, so as to allow open dissemination about the status of public finances and to promote transparency in Australia's fiscal policy. The 2011-12 budget will have a strong impact on a variety of issues, including economic growth, employment, inflation, external balance, ecologically
quite poor, they focused on justice and work related norms. These ethics prompted Swedes to work hard to support themselves and their families. Swedes believed tha... ... middle of paper ... ...come groups. This pattern could have signified a public desire for increased tax progression since respondents tend to think that high income earners were taxed too lightly whereas low income earners were taxed more heavily. Lastly, the main issue that Sweden needs to address would be to create more jobs
continent with the 44th highest GDP and the 29nd highest HDI in the world. According to the International Monetary Fund, Greece’s GDP for fiscal year 2012 was USD 266 billion. The service sector accounts the largest chunk of it at 78% that includes the public and tourism sector. The industrial sector contributes to 18% of Greece’s GDP. Greece’s agricultural sector contributes a mere 4%, as shown in Figure below: Source: The World Fact book, www.cia.gov.in – Greece (2012) Source: The World Fact book
Introduction The spending by the government has elicited controversial discussions regarding how to ensure that the economy is affected positively. The government spending is a bad way to stimulate the economy. This issue is described by various persons especially the impact the government spending has on the economy of the United States of America. The point of discussion of this paper focuses around the quote made by Thomas Sowell, an American economist and a political philosopher. The Quote Thomas
Introduction Fiscal policy is the means by which a government calibrates its spending and taxation (injections and leakages) in order to balance and steer the nation’s economy towards constant and sustainable growth. It is closely tied with monetary policy, where a central bank influences a nation’s money supply. These two economic policy branches are used in varying combinations and ratios in order to achieve a nation’s economic goals. Contractionary fiscal policy refers to either a reduction in