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Financial Sector Reform: Objectives and Key Areas
The financial sector refers to all the players of the financial market and its stakeholders. The financial sector cannot be free from restrictions and boundaries in terms of entry, existence, and exit from the sector. Thus, the concept of financial sector reform evolved and got popularized. Financial sector reform means gradual removal of entry and…
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MCQs on Economics – Set 1
1. Which of the following is an indirect tax? A. Income Tax B. Corporate tax C. Entertainment tax. D. None of these Correct Answer: C 2. Capital budget consist of: A. Revenue Receipts and Revenue Expenditure B. Capital Receipts and Capital Expenditure C. Direct and Indirect Tax D. None of these Correct Answer: B 3.…
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Advantages of Economic Development and Planning
Economic development refers to a situation of economic growth, improvement in living standards, rise in per capita income and GDP, social positive changes, and reduced income inequality among people. It is concerned with different economic indicators being in favor of the country and its economic system. That’s why economic development has to be planned and…
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Nepal’s Economy – What is Its Current Status
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Foreign Exchange : Understanding Its Determinants and Types of Exchange Rate Systems
Foreign exchange refers to an exchange of one currency with another currency. It is the act of converting one currency into another currency based on their relative values. Such an act of foreign exchange is done with the help of a foreign exchange rate. A foreign exchange rate is the price of domestic currency stated…
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Public Debt and Its Management
The public debt is how much a country owes to lenders outside of itself. These can include individuals, businesses, and even other governments. The term “public debt” is often used interchangeably with the term sovereign debt. Public debt usually only refers to the national debt. Some countries also include the debt owed by states, provinces,…
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Inflation – A Precise Note on It
Meaning of Inflation Inflation is an economic indicator that indicates the rate of rising prices of goods and services in the economy. Ultimately it shows the decrease in the buying power of the rupee. It is measured as a percentage. This percentage indicates the increase or decrease from the previous period. Inflation can be a…
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Government Budget and Its Different Aspects
Meaning of Government Budget A government has to perform different responsibilities. These responsibilities are related to public welfare and the general administration of government activities. The government needs financial sources to perform such tasks, duties and responsibilities. The financial sources of the government mean government income from different sources and its spending for different purposes.…
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Fiscal Policy : Meaning, Types, Instruments and Objectives
Meaning of Fiscal Policy The policy adopted by the government of a country for economic stabilization and sustainability is called fiscal policy. It is concerned with ensuring the economic growth and development of a nation through government receipt and expenditure. In other words, fiscal policy is the policy concerned with public receipt, public expenditure, public…
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Monetary Policy : Concept, Types, Instruments and Objectives
Concept of Monetary Policy There are two major types of macroeconomic policies. These are fiscal policy and monetary policy. Of the two, monetary policy is concerned with the management of money and money supply in an economy. Monetary policy is a sister strategy to a fiscal policy that formulates policies to facilitate economic policies guided…