DATA RESPONSE IN ECONOMICS

PUBLIC FINANCE  This is an aspect of economics which relates to income and expenditure of the government. Every government has various project to execute and government has to derive means of generating income.  BUDGET Budget is a financial statement by the government showing revenue and proposed expenditure for the coming financial year.  A budget consist of packaging of proposals regarding revenue which is likely to be derived from various sources and expenditure which is likely to be met on various items TYPES OF BUDGET DEFICIT BUDGET: A deficit budget means that governments planned revenue for the year is greater than the expenditure.  SURPLUS BUDGET: A surplus budget means that the planned government expenditure is less than the estimated government revenue.  BALANCE BUDGET: This is when the planned government expenditure is equal to the estimated government revenu What is Fiscal policy? Fiscal policy involves the use of government income and expenditure instruments to regulate th

  MONEY Money may be defined as  anything which serve as a medium o f exchange.Anything which is generally acceptable can serve as money. Before the introduction of money ,  the method of exchange that took place was  by means of barter wehereby goods were exchange for  goods  EVOLUTION OF MONEY In ancient times, people were self-sufficient and everybody produced commodities needed to meet their personal needs, but with time specialization began to set in and everybody started producing what they could produce best. This led to what is today known as Barter System of Trade i.e. exchange of goods for goods. People exchange what they had for what they want, but the problem that came along with the barter system was so much that people started looking for a way out. The search leads to the following Development of Commodities; to be used as money e.g. cowries, shells, hides and skins, cereals, etc. soon it was discovered that all these things are easy to come and not scarce at all. Soon p