Public Finance

Question 1

What is public finance?

Answer 1

This is a branch of economics that deals with financing of government expenditure, through proceeds from economic resources and debt.

Question 2

What are the functions so public finance?

Answer 2

1. Stabilization function
2. Allocation function
3. Distributive function

Question 3

Discuss what is government expenditure, the types and the theories of public or government expenditure.

Answer 3

Government expenditure can be defined as the amount incurred by government of a particular country in the course of carrying out their civic responsibility

Divided into:
Capital expenditure