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Fiscal policy 0810
 

Fiscal policy 0810

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    Fiscal policy 0810 Fiscal policy 0810 Presentation Transcript

    • Session VII
    • Fiscal Policy
    • How does Fiscal Policy Work
      • Non discretionary element
        • Government spending increases during slowdown
          • Increase in benefits to vulnerable sections
          • Increase in eligible beneficiaries
        • Government spending decreases during boom
          • Reduction in benefits to vulnerable sections
          • Decrease in eligible beneficiaries
      • Discretionary element
        • Government investment in infrastructure to boost demand
        • Reduction in tax rates
    • Fiscal stimulant
      • Choice between increase in government expenditure and tax cut
    • Government debt
      • Borrowing from Central Bank
      • Borrowing from domestic market
      • Increased taxes
      • Borrowing from abroad
    • Fiscal deficit
      • Excess of government expenditure over revenue
    • Government Expenditure Government Receipts Fiscal Deficit Revenue Deficit Deficit on Capital Account Revenue Expenditure Revenue Receipts Capital Expenditure Capital Receipts
    • Fiscal deficit and the economy
      • Is fiscal deficit harmful?
      • Why economists are bothered about fiscal deficit
    • Union Budget
      • Annual Financial Statement of the Government
    •