In this post we will discuss the basic introduction to public finance including the concepts of budget, various types of budgets, sources of public revenue, types of public expenditure. Moreover, we pass through definitions of fiscal policy and its objective along with tools of fiscal policy. Public finance is the
LQ 1: Define Macroeconomics. Discuss its scope, importance and limitations. Macroeconomics Macroeconomics deals with the behavior and performance of the economy as a whole. It studies aggregate economic activities such as aggregate output, aggregate demand, national income, aggregate price level, employment level, international trade, business cycles etc. Scope of Macroeconomics
GDP has four types of expenditure such as consumption, investment, government expenditure and net exports. We call this expenditure as components of GDP. Each unit of money spend in the economy fall into one of these 4 components of GDP. Before studying components of GDP, we must know what GDP
In the previous lecture we discuss the types and nature of economic data used in any empirical economic analysis. To read click on Types of Economic Data. We also discuss the sources of obtaining economic data. In this post will discuss about the nature of regression analysis, its objectives, uses in
What is Foreign Aid Foreign aid is the transfer of resources from one country (usually a developed country) to another (usually a developing or underdeveloped country) to support economic needs and development goals of recipient. It can be in the form of grants, loans, technical assistance, or goods like food
Types of Economic Data Data is central to any empirical analysis. An empirical analysis uses data to test a hypothesis or theory or to estimate a relationship. The first step in any empirical analysis is to formulate a research question. Model specification is the next step followed by obtaining data.
What is National Income (NI) National Income (NI) is the sum of income earned by all factors like land, labor, capital and entrepreneur in form of rent, wages, interest and profit in a year. It can also be defined as the total market value of all final goods and services
What is National Income? Before defining national income, it is necessary to define income. Any benefit either in form of money or other that is received against a service is called income. There are four sources of income for an individual. Rent: It is the income receive from lending their
Economics studies how individuals, businesses and government make choices in face of scarcity. Microeconomics focuses on small-scale economic activity, whereas macroeconomics examines the entire economy. In this post, we’ll look at what macroeconomics is, how it differs from microeconomics, and why it’s important for understanding the world we live in.
Countries are often classified by levels of income and human development. They are also grouped by levels of poverty, quality of governance, and many other dimensions. The most common way to compare countries is to compare their average income that is Gross National Income Per Capita. The World Bank classifies
Introduction Welcome to the fascinating world of econometrics! Studying econometrics bridges the gap between being a student of economics and becoming a practicing economist. It equips you with essential tools for analyzing economic data, empirically testing economic theories, providing numerical estimates of economic relationships, and forecasting future events. In this