Public finance

the theory of political instability and deficit bias, arguing that changing governments give rise to excessively high budget deficit either because they are unaware of each others’ preferences or because they are in conflict on how to allocate the public spending. The greater the likelihood of a government change the more unstable is the political system and stronger would be the deficit bias. Another interpretation of the increasing budget deficit rests on the phenomenon of “war of attrition” between

product has produced a wide literature that offers distinct attempts to expound on the observed relationship[4]. On the other side, studies on public finance have been channels on the identification of the primary causes of the growth in public sector expenditure. Among the earliest trials to explain, the growth in the economic growth and expenditure in the public sector is Wagner’s Law. This law is based on the observations of Adolf Wagner. His observations were first for his country and then for rest

iteratures on the Impact of Government Expenditure on Economic Growth Thomas Stratmann and Gabriel Okolski (2010) raised questions on the decision of U.S government for spending distinctly when the financial crisis happened in the country. They have made analysis of historical records and made a remark that government spending cannot be an automatic solution for an economic growth even during crisis. Their empirical analysis result showed that government expenditure applied with the expectation of

but was unable to get inflation under control. By 1990 inflation had risen to over 1000%, the Gini coefficient was above 0.6 and over a third of the population had fallen below the poverty line, all with an increasing crime rate. In 1992 a new finance minister was appointed and he introduced the Plano Real. This plan

Introduction: Pakistan is a developing country which is deficient in capital. Since its inception it has relied on foreign assistance to fill the financing gap which exists in different sectors. An efficient allocation of funds in each sector would have helped us overcome these difficulties and helped us raise the standard of living across the board. Due to mismanagement on the part of the government, there were wasteful expenditures. Now the country faces fiscal deficits due to corrupt government

1. Overview of Oil and Gas Sector in the North Sea and New Zealand The North Sea is one of the major oil and gas producing region, which of oil and gas production is mainly dominated by Norway and UK accounted for almost 9 percent of world oil and gas production by late 1990. The North Sea has become as one of important oil and gas region in the 1980s and 1990s as an alternative to OPEC supply (Nakhle, 21 April 2016). Figure 5 shows the location of North Sea Oil and Gas Fields. Figure 5. North

low growth, sluggish increase in wages, and excessive healthcare costs among others. Bill Clinton outlined crucial elements of his economic strategy which included shifting emphasis from expenditure to investment, improving the tax code, making the public policy to favor families and laborers, reducing budget deficits, reducing government expenditure, and creating jobs for the American citizens (Godwin, 2009). Bill Clinton was also in favor of the international trade and was committed to the North

The Plummeting Oil Prices: Comparison of Policy Between Kuwait & the UAE Introduction The Gulf Cooperation Council states (GCC) are heavily dependent on oil to generate economic growth. Oil and natural gas are the two main sources of capital inflow that enters into these countries. GCC countries’ dependency creates economies that are sensitive to any decline in oil prices. After four years of relatively stable oil prices of around $105 per barrel (bbl), a sharp and notable decline occurred in June

Policy and its effect on Public services Economists employed by the government are involved in implementing policies, which were especially established to meet government 's objectives that are very often multidimensional. There are four very fundamental objectives for viable economy, including decreasing the unemployment rates in certain regions, lower or stabilise the inflation, constant economic growth and a satisfactory balance of payments position. The UK economy continues to suffer from

FISCAL POLICY AS AN ECONOMIC STABILIZATION MEASURE Fiscal Policy refers to the various decisions undertaken by the government regarding public expenditures and revenue. There are a large number of sub-policies that are encompassed by the fiscal system. But all the policies can be broadly categorized as being either ‘Public Expenditure’ or ‘Public Revenue’. It can be said that the fiscal policy is a direct government intervention in the economic processes of an economy. The fiscal policy