bangladesh - B A N Fiscal Policy Click to edit Master...

Info iconThis preview shows pages 1–13. Sign up to view the full content.

View Full Document Right Arrow Icon
Click to edit Master subtitle style B A N G L A D E Fiscal Policy
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Bangladesh Capital Dhaka Official language(s Bengali Demonym Bangladeshi Government Parliamentary republic Independence from Pakistan - Declared March 26, 1971 - Victory Day December 16, 1971 Area - Total 147,570 km 2 55,599 sq mi GDP (PPP ) 2009 estimate - Total $226.205 billion - Per capita $1,398 GDP (nominal) 2008 estimate - Total $84.196 billion - Per capita $690
Background image of page 2
C u r r e n c y Taka
Background image of page 3

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Highest Population Density vise Country Population Density (Pop. per km2) Notes India 1,198,003,000 352.9 Second largest country in terms of population Bangladesh 157,813,124 1,069.0 Largest fast growing country Japan 127,170,110 336.5 Declining in population Philippines 93,843,460 312.8 Fast growing country South Korea 49,354,980 493.4 Steady in population
Background image of page 4
Fiscal Policy-Meaning The word fisc means ‘ state treasury ’ and fiscal policy refers to policy concerning the use of ‘state treasury’ or the govt. finances to achieve the macroeconomic goals. “any decision to change the level, composition or timing of govt. expenditure or to vary the burden ,the structure or frequency of the tax payment is fiscal policy.” -
Background image of page 5

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Objectives of Fiscal Policy It has 2 major objectives: i. GENERAL obj-. aimed at achieving macroeconomic goals ii. SPECIFIC obj-. relating to any typical problems of an economy
Background image of page 6
Fiscal Policy And Macroeconomic Goals Economic Growth : By creating conditions for Employment : By encouraging the use of labour-absorbing technology Stabilization : fight with depressionary trends and booming (overheating) indications in the economy Economic Equality : By reducing the income and wealth gaps between the rich and poor.
Background image of page 7

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Instruments of Fiscal Policy Budgetary surplus and deficit Government expenditure Taxation- direct and indirect Public debt Deficit financing
Background image of page 8
Budgetary surplus and deficit “A budget is a detailed plan of operations for some specific future period” Keeping budget balanced (R=E) or deficit (R<E) or surplus (R>E) as a matter of policy is itself a fiscal instrument. An accumulated deficit over several years (or centuries) is referred to as the government debt A deficit is a flow. And a debt is a stock.
Background image of page 9

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Government Expenditure Ø It includes : Government spending on the Payment of wages and salaries of government servants Public investment Transfer payments
Background image of page 10
Taxation Meaning : Non quid pro quo transfer of private income to public coffers by means of taxes. Classified into 1. Direct taxes- Corporate tax, Div. Distribution Tax, Personal Income Tax, Fringe Benefit taxes, Banking Cash Transaction Tax 2. Indirect taxes- Central Sales Tax,
Background image of page 11

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Internal borrowings 1. Borrowings from the public by means of treasury bills and govt. bonds 2. Borrowings from the central bank ( monetized deficit financing) •. External
Background image of page 12
Image of page 13
This is the end of the preview. Sign up to access the rest of the document.

Page1 / 60

bangladesh - B A N Fiscal Policy Click to edit Master...

This preview shows document pages 1 - 13. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online