KNEC| KASNEB| KISM| Study notes and Revision materials for schools in Kenya. KNEC certificate courses, Diplomas, Higher Diplomas, KISM courses cpsp-k and aps-k, KASNEB cpa, atd, cs, cifa, ccp, dcm, cict and cict, Ksce and Kcpe
The paradox of thrift relates to the possibility of households intending to save more (or less) but actually ending up saving less (or more). Suppose people decide to become more thrifty; that is, they decide to save more at each level of income. One might expect that this would increase the total amount of savings,
The roles which money plays in an economy are: • A medium of exchange. This is the most important function of money. Suppliers of factors of production receive money and then use this money to purchase the goods and services which they require. It obviates the need for a barter system. • A store of
Advantages 1. Indirect Taxes are productive of revenue 2. Indirect Taxes are equitable 3. Payment is convenient for the Taxpayer 4. Indirect Taxes do not constitute a disincentive to work 5. Indirect taxes may have a stabilizing effect on the level of income 6. Indirect Taxes are variable and specific (5 marks) Disadvantages 1. Indirect
The minimum wage is the minimum rate a worker can legally be paid (usually per hour) as opposed to wages that are determined by the forces of supply and demand in a free market. Each country sets its own minimum wage laws and regulations, and many countries have no minimum wage. Advantages and Disadvantages: Minimum