Benefits of interstate commerce

Interstate commerce has the following benefits: a. Enhance friendly relations between nations. Countries that conduct trade with each other would have a more intimate relationship. b. Fulfilled the needs of each country. With the interstate commerce, the lack of production of a country can be met by importing goods from other countries that have surplus… Read More »

Economic system

The economic system is a system that regulates economic life, in order to achieve a desired goal. Each country has different ways to regulate its economic life, it depends on the philosophy and ideology that was followed. Kinds of economic systems in the world of various kinds, some of them: a. Liberalism or economic system… Read More »

Definition of interstate commerce

Interstate commerce is the exchange of goods or services between countries through the export and import activities. Economic activity between countries arise because no country can produce its own everything that is needed by the country. Goods produced by a country different from the goods produced by other countries. Differences of goods produced by a… Read More »

National income

National income is the amount of income received by the public or the owners of factors of production in a country during a certain period of time (usually used measure of time 1 year). When we look back on the current circle of economic activity, household consumption deliver production factors services to the company, and… Read More »

Microeconomic

The basic theory in economics can be divided into two, namely micro-economic theory, discusses the problems that are partial or minor part of overall economic activity. And macroeconomic theory, which addresses the economic problems that are global or comprehensive. Microeconomics is the study of economic activities which are small parts, so it focused its attention… Read More »

Macroeconomic

Macro economy is part of economics that studies the mechanism of operation of the overall economy. Thus the causal relationship that is learned in the macro economy, in essence, is the relationship between economic variables aggregated (overall), such as the level of national income, the level of employment, household consumption expenditure, saving, the national investment,… Read More »

International trade

International trade is better known as import-export activities, the culprit is the exporter and importer. International trade is an activity the exchange of goods and services between two or more countries. Balance of international trade is a picture of the ratio between the value of exports and imports. If the value of exports is greater… Read More »

Types of money

Money can be classified into the following: 1. Currency is legal tender and generally accepted. Consists of: a. coin kinds of coins: – Standard money, is money which is the financial standards of a country. – Mark money, is money whose value depends on the nominal value. – Fitting money, is legal tender in limited… Read More »

Fiscal policy and credit markets

Fiscal policy is a policy to regulate state revenues and expenditures. Fiscal policies pursued to cope with inflation include: a. Reduce state expenditure. b. Savings in government spending (adjusted for the plan). c. Reduction of foreign debt. d. Raise or streamline taxes. The types of credit markets, namely: a. Closed Market: specific to certain circles… Read More »