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Meaning of Capitalism By capitalism we mean that economic system under which all farms, factories and other means of manufacture are the possessions of personal firms and individuals. They are open to utilize them with a outlook to building profit or not to utilize them if it works well with them. Instruments of production, in other words, are owned and managed by their owners exclusively in their own interest. The yearning for revenue is the only reflection with the goods owners when they de...
Published by Gazu Lakhotia 76 months ago in Economics & The Economy | +1 votes | 0 comments
David Cameron and the coalition will not stop these incredible huge bonuses for bankers and financiers after many times promising. Labour leader Ed Miliband finally puts the full pressure on the government. The taxpayer was demanding to stop it ever since David Cameron came to power. Ed Miliband is now demanding a Judicial Inquiry which will make the whole situation transparent. He then can act on the information.
Published by Maria Hardy 76 months ago in Economics & The Economy | +0 votes | 2 comments
The Financial Services Authority's duty is purely and alone there to watch over big businesses, banks and the financial sector. They did not see the banks heading for bankruptcy to stop them before it was too late. It cost the taxpayer £120billion to bail them out. Yet the FSA demands more fund to carry on with their jobs.
Published by Maria Hardy 76 months ago in Economics & The Economy | +0 votes | 0 comments
Groceries at the grocery store are getting more and more expensive. Shoppers are having to learn how to make the most of their shopping dollars. Instead of purchasing convenience foods, it is much cheaper to buy the food yourself and cook it yourself. Read on to see how this author filled her freezer for less money.
Published by Charlene Collins 77 months ago in Economics & The Economy | +4 votes | 8 comments
Effects of Public Expenditure on Distribution Public expenditure can have a very wholesome influence on the distribution of wealth in the community. It can reduce inequalities of incomes. It is an admitted fact that the benefit to the poor from State activities is far greater than to the rich. A rich man can protect himself.
Published by Niitesh Mundra 77 months ago in Economics & The Economy | +0 votes | 0 comments
Effects of public expenditure on production The popular idea of public expenditure is that it is money just spent and the mailer ends there. Some people would think that all public expenditure is unproductive. But that is not so. Public expenditure has got far-reaching effects both on production of wealth and on its distribution in the community.
Published by Niitesh Mundra 77 months ago in Economics & The Economy | +0 votes | 0 comments
Principles of Public Expenditure Just as there are well-known canons of taxation, similarly it is possible to formulate some canons or principles to which prudent public expenditure should conform.
Published by Niitesh Mundra 77 months ago in Economics & The Economy | +2 votes | 1 comments
Important characteristics of Functional Finance Concept of Functional Finance We have often heard about the concept of functional finance, especially in the Keynesian views on public finance. The main point in Keynesian view of public finance is that Keynes has given it the form of functional finance. The essence of functional finance is that public finance should be used as an instrument for the achievement of certain economic and social objectives.
Published by Gazu Lakhotia 235 months ago in Economics & The Economy | +1 votes | 1 comments
Criticism of the Principle of Maximum Social Advantage It must be pointed out, however, that these are only theoretical principles. As a general principle perhaps no exception can be taken to it. But when we come to the actual application, several difficulties crop up: (i) Difficulty of Measuring Sacrifice and Benefits. We know that public expenditure confers benefits and taxation entails a sacrifice. The Principle of Maximum Social Advantage assumes that the benefits and sacrifices are ca...
Published by Gazu Lakhotia 77 months ago in Economics & The Economy | +1 votes | 0 comments
The Principle of Maximum Social Advantage Just as an individual seeks to maximize his satisfaction or welfare by the use of his resources, similarly the State ought to maximize social advantage or benefit from the resources at its command.
Published by Gazu Lakhotia 235 months ago in Economics & The Economy | +0 votes | 0 comments
Importance of Special Drawing Rights In order to solve the problem of liquidity, in July 1969, the Group of Ten agreed to establish Special Drawing Rights (S.D.R.'s). The essence of this plan is that they create a new international reserve asset. They can be used uncondi­tionally by the participating countries and they are not backed by gold.
Published by Niitesh Mundra 235 months ago in Economics & The Economy | +1 votes | 1 comments
Causes of Inadequacy of International Liquidity The main reasons advanced for the inadequacy of liquidity are as follows: (i) While, on the one hand, total gold reserves have grown since 1950 at 1.4 per cent per year; and total international liquidity at 2.7 per cent per year, on the other hand, the world trade has since 1950 grown at the annual rate of 7.5 per cent per year, in other words, the supply of liquidity has not been keeping pace with the demand for liquidity.
Published by Niitesh Mundra 77 months ago in Economics & The Economy | +0 votes | 0 comments
An Assessment of the Working of the I.M.F. It has been observed that the Fund has not been successful in its fundamental objectives, viz., freeing world trade from quantitative restrictions, restoration of multilateral convertibility, abolition of exchange control, prevent­ing crises in the balance of payments. Whatever progress it has made towards its objectives has been mostly on a regional basis.
Published by Gazu Lakhotia 77 months ago in Economics & The Economy | +1 votes | 0 comments
The international Monetary Fund vs. Gold Standards There is no doubt that the I.M.F. is a vast improvement on the gold standard. To maintain a gold standard was a very costly affair and it was also unnecessary. What matters is that a currency system retained the confidence of the people and should provide stability of its internal and external value.
Published by Gazu Lakhotia 235 months ago in Economics & The Economy | +0 votes | 0 comments
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