What do we know about state finance?

What do we know about state finance?Under such concept as finance of the state means set of all economic relationship which are directed not only on accumulation of monetary funds, but also on their distribution that the state normally functioned.

Carry to finance of the state not only sources of the income, but also main objectives of an expense of means from the budget. There are three groups of finance of the state:

  1. Federal finance where enters both the state budget and the state credit, and state means.
  2. Subjects of financing to whom carry finance of citizens and the enterprises, and also the budgetary subjects and off-budget funds. These structures bear responsibility for arrival and an expense of means.
  3. Finance of all organizations of local government to which carry the local budget, the off-budget funds, different unitary and municipal finance.

While the private trader can receive the income, being engaged in various activity (for example, handing over in the truck crane of 160 tons, it is possible to earn not bad), the income of the state represents a part of its finance, the budget of the country filled up by taxes. There are different methods of formation of the income of the country, and only their competent application conducts to successful development and economy prosperity in the country. As a rule, sources of the income are identical to each country, only their size changes. To the main sources of the income of the country carry:

  1. The main part of the income of the country – taxes which happen various. Low taxes lead to serious problems in the budget, and high ruin those who them pays.
  2. The industry well fills up the country budget as production and goods sale it is always favorable. To organize competently economy hardly, not each government can consult with this task, after all it is necessary to cooperate also competently with state institutions and all the components. To heavy losses for production can lead absolutely small mistakes allowed by incompetence.
  3. The credits, gold and foreign exchange reserve and privatization also belong to income sources, but they carry out, as a rule, support function, rather than the previous two sources.

Finance of the state is spent both for payments of salaries to state employees, and on the maintenance of power structures and management personnel.

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