The distinction between final expenditure and intermediate expenditure depends upon the nature of demand. Final expenditure is the expenditure made on purchase of goods and services meant for final consumption (consumed by us) and capital formation (investment) by private enterprise or company. GoveRead more
The distinction between final expenditure and intermediate expenditure depends upon the nature of demand. Final expenditure is the expenditure made on purchase of goods and services meant for final consumption (consumed by us) and capital formation (investment) by private enterprise or company.
Government intermediate expenditure is the expenditure made by a firm on purchase of goods and services to be used in production of other goods or for sale in the same year. Similarly expenditure on repair and maintenance of stock/ buildings and on research and development is treated as intermediate expenditure.
Legal Tender or Fiat Money is any money backed by the order of the government (Fiat) to act as money. People have to accept it in exchange for goods and services and in discharge of debt as the government has ordered it to be money. It circulates in the country on order of the government. Fiat moneyRead more
Legal Tender or Fiat Money is any money backed by the order of the government (Fiat) to act as money. People have to accept it in exchange for goods and services and in discharge of debt as the government has ordered it to be money. It circulates in the country on order of the government.
Fiat money is generally created and issued by the government at the time of crisses like war or emergency.
It is not backed by gold so this type of money cannot be convert into anything else. Fiat money and fiduciary money are two different things.
Fiduciary money is accepted as money in the basis of trust that the issuer orders not by the order of government. For example Cheques, Demand drafts, Bills of exchange and more. It is also called non legal tender. Simply because it is optional and receiver is not bound to accept it.
Fiduciary money is accepted as money in the basis of trust that the issuer orders not by the order of government.
For example
Cheques, Demand drafts, Bills of exchange and more. It is also called non legal tender. Simply because it is optional and receiver is not bound to accept it.
What is Final expenditure and Intermediate expenditure?
The distinction between final expenditure and intermediate expenditure depends upon the nature of demand. Final expenditure is the expenditure made on purchase of goods and services meant for final consumption (consumed by us) and capital formation (investment) by private enterprise or company. GoveRead more
The distinction between final expenditure and intermediate expenditure depends upon the nature of demand. Final expenditure is the expenditure made on purchase of goods and services meant for final consumption (consumed by us) and capital formation (investment) by private enterprise or company.
See lessGovernment intermediate expenditure is the expenditure made by a firm on purchase of goods and services to be used in production of other goods or for sale in the same year. Similarly expenditure on repair and maintenance of stock/ buildings and on research and development is treated as intermediate expenditure.
A short Description about Fiat Money?
Legal Tender or Fiat Money is any money backed by the order of the government (Fiat) to act as money. People have to accept it in exchange for goods and services and in discharge of debt as the government has ordered it to be money. It circulates in the country on order of the government. Fiat moneyRead more
Legal Tender or Fiat Money is any money backed by the order of the government (Fiat) to act as money. People have to accept it in exchange for goods and services and in discharge of debt as the government has ordered it to be money. It circulates in the country on order of the government.
Fiat money is generally created and issued by the government at the time of crisses like war or emergency.
It is not backed by gold so this type of money cannot be convert into anything else. Fiat money and fiduciary money are two different things.
See lessWhat is Fiduciary Money?
Fiduciary money is accepted as money in the basis of trust that the issuer orders not by the order of government. For example Cheques, Demand drafts, Bills of exchange and more. It is also called non legal tender. Simply because it is optional and receiver is not bound to accept it.
Fiduciary money is accepted as money in the basis of trust that the issuer orders not by the order of government.
For example
Cheques, Demand drafts, Bills of exchange and more. It is also called non legal tender. Simply because it is optional and receiver is not bound to accept it.
See lessWhat will be the effect of a deficit budget on aggregate demand (AD)?
AD curve will increase. This will be the visible effect of deficit budget on aggregate demand.
AD curve will increase. This will be the visible effect of deficit budget on aggregate demand.
See less