There are two major forms of tax. Direct and Indirect taxes. Direct tax is collected directly from individuals and profits of companies. The profit of direct tax is borne by the payers. Types of Direct Tax 1. Income Tax This is a compulsory contribution imposed on the personal income of individuals based on their gross […]

Reasons For The Imposition of taxes by The government There are various reasons for the imposition of taxes by the government and we shall look at each reason as outlined below. 1. General Administrative Purposes The administrative machinery of a country may collapse if there is no money to maintain it; tax therefore forms one […]

Tax may be defined as a compulsory contribution contribution imposed by a government authority on goods, individuals, corporate bodies, etc, irrespective of the exact amount of services rendered to the tax payer in return, and not imposed as a penalty for any legal offense. Features of a Tax 1. Tax is a compulsory payment. 2. […]

Every society irrespective of the type of economic system adopted; whether capitalism or socialism, is faced with the following basic fundamental economic problems: What To Produce Every society is faced with the first problem of determining what goods and services to be produced and the quantity that are to be produced. This problem arises mainly […]

A budget may be defined as a financial statement of the total estimated revenue and the proposed expenditure of a government in a given period, usually a year.  Types of Budget  1. Balanced Budget  This is when the total estimated revenue is equal to the proposed expenditure. This means that nothing will be left as […]

Sources of Government Borrowing  As government debts were divided into external and internal debts, sources of Government borrowing is also divided into external and internal. External sources are loans that come from foreign countries while internal sources are loans that come from within the country. External sources of government borrowing include; multinational financial institutions like […]

National or public debt refers to the sum total of debts owed by the government of a country both internally and externally. The debts may or may not be with interest. Loans or borrowings constitute some of the sources of fund or revenue to the government of a country. Government may use these two instruments; […]

Public Finance deals with the financial activities of government concerning revenue, expenditure and debt operations and their effects on the economy. It tries to analyse the impacts of these financial activities of government on individuals and corporate bodies. Public finance encompasses fiscal policy and this fiscally policy refers to the government plan of action concerning […]

Unemployment in Nigeria is the situation whereby some people who fall within the ages of the working population, capable and willing to work, are not able to due to certain conditions. The problem of unemployment is becoming chronic without solution being in sight. It has constituted itself into one of the worst enemies of the […]

The various basic concepts of Economics include: Wants Wants simply means the desire or need to own goods or services that give satisfaction. Human beings want or need many things at a particular time. The basic needs or wants of man are food, shelter and clothing. As these basic needs are satisfied, other needs will […]