Fiscal Policy

What do you understand by the term ‘Macro Economic instabilities’? Which policy instruments would you like to suggest for stablishing an economy suffering from macroeconomics shocks?

Leave a Comment / MEC-106 /

Introduction Macroeconomic stability is essential for sustained growth, employment, and social welfare. When this stability is disrupted, the economy experiences macroeconomic instabilities, leading to volatile growth, inflation, unemployment, or external imbalances. Understanding the causes of such instabilities and the policy tools to address them is vital for economic governance. What are Macroeconomic Instabilities? Macroeconomic instabilities […]

What do you understand by the term ‘Macro Economic instabilities’? Which policy instruments would you like to suggest for stablishing an economy suffering from macroeconomics shocks? Read More »

Distinguish between public expenditure and private expenditure. To what extent public expenditure should be incurred? Explain the theory of maximum social advantages advanced by H. Dalton in this regard.

Leave a Comment / MEC-106 /

Introduction Public and private expenditures play crucial roles in the economy. While private expenditure is driven by individual choices for personal satisfaction, public expenditure is made by the government to promote social welfare and economic stability. Understanding the distinction between them and the appropriate level of public spending is vital for efficient fiscal policy. H.

Distinguish between public expenditure and private expenditure. To what extent public expenditure should be incurred? Explain the theory of maximum social advantages advanced by H. Dalton in this regard. Read More »

What do you mean by ‘fiscal imbalance?’ Which measures would you like to suggest to correct the fiscal imbalances?

Leave a Comment / MEC-205 /

Introduction Fiscal imbalance refers to a situation where a government’s revenue generation falls short of its expenditures. In other words, it is a mismatch between the income and spending of the government, leading to fiscal deficits and increasing public debt. Fiscal imbalance can occur at both the central and state levels, and if not addressed,

What do you mean by ‘fiscal imbalance?’ Which measures would you like to suggest to correct the fiscal imbalances? Read More »