Preparation, implementation, and change with change in the technology the policies framed by the government for the development of the economy at large. It helps to maintain price stability, reduce inflation and unemployment. It is also important in terms of allocating natural as well as human resources.
What are the objectives and functions of public finance?
The objectives of public finance are achieved by managing and drafting policies pertaining to key areas such as taxation, management of public revenue and expenditure, raising and servicing public debt, fiscal administration at various levels.
Why is public finance important for Economic Development?
(2) Planned Economic Development. Public finance renders valuable help in the planned economic development of the country. The planning authorities fix the priorities of expenditure for the plan period. The Government raises the necessary funds to implement the plans through direct and indirect taxation.
How does the public sector work in Nigeria?
Public sector spending differs according to country. That notwithstanding, in Nigeria, public sector involves the services of the military, police force, the primary health care, public roads and other services as may be provided by the government from time to time to improve the welfare of the citizens.
How does public sector spending affect economic growth?
public expenditure that bear significant association with economic growth. There have been various debates among scholars about the relationship between the impact of public sector expenditure and the economic growth in Nigeria. Some scholars agreed that increase in government expenditure on socio- economic activities encourages economic growth.
How does public finance relate to fiscal policy?
Public finance encompasses fiscal policy and this fiscally policy refers to the government plan of action concerning the raising of revenue through taxation and other means and deciding the pattern of expenditure to be applied.
