Book: Yu. Mamedov. Modern economics. Page 1

Since economic consciousness lags behind real changes, the movement of economic thought inevitably becomes an expression of a periodically arising theoretical crisis.

A lower tax rate increases the number of objects of taxation and attracts more people to business activities. And vice versa, with an increase in taxes, revenues to the treasury decrease, as some enterprises go bankrupt and some go into the shadow economy.

Nothing requires so much wisdom and intelligence as determining the part that is taken from the subjects and the part that remains with them.

Value added tax, with its high rates, leads to a general increase in prices and increases the burden of indirect taxation, especially for low-income groups of the population. Indeed, in the structure of their consumption, the share of goods of general everyday demand is higher than in the budget of people with high incomes, and excise taxes are, as a rule, imposed on goods of general demand.

In Russia, the introduction of a tax on chimney smoke forced huts to be heated in a black way. The beard tax - the greater the longer it was - introduced by Peter I, forced the boyars to look European.

The social purpose of taxes is manifested in two functions: fiscal and economic. Fiscal consists in the formation of cash income of the state. Economic - in influencing social production through taxes. A significant increase in taxes can not only limit, but also make entrepreneurial activity pointless.

Taxing people is as old as time. It existed already in biblical times and was well organized. Direct tax collectors were not popular among the people, although they only carried out the will of governments. Taxes are payments that are obligatory paid to the state by legal entities and individuals.

To carry out a full-fledged process of foreign economic activity, any modern state must own a certain reserve of foreign currencies. Currency convertibility is the ability of a currency to serve as a means of payment in any country. As a rule, the higher the inflation rate and the level of bank rates, the lower the purchasing power of the national currency.

One of the main products of globalization is the activities of transnational corporations - companies that carry out the bulk of their economic operations outside the country in which they are registered. Transnational companies are the technological leaders of world production.

The national economy of each country is included in the world economic space. The world economy is a set of economies of countries connected by interstate economic relations. As market relations emerged within states, interstate markets began to form. A special economic phenomenon arose - the international division of labor. Production has outgrown national boundaries.

Insurance companies occupy a dominant position in the capital market. Cash inflows in the form of insurance premiums and income from active operations typically far exceed the amount of annual payments to policyholders. This allows insurance companies to increase their investments year after year in high-yield, long-term fixed-maturity securities, primarily industrial bonds, government bonds, and real estate mortgages.

In cases where the provision of insurance protection is necessary from the standpoint of public interests, insurance is compulsory.

Insurance is a strategic sector of the economy, within which the idea of cooperating the material liability of interested parties is implemented in order to compensate for possible financial (property) damage by proportionally distributing such damage between them.

Banks are an integral part of the economic system. The essence of banking is to generate income from the disposal of temporarily free funds. Therefore, banks strive to attract the maximum number of depositors who agree to transfer money to the bank for temporary use for a certain fee, and then provide these funds for a higher fee and for a certain period of time to those who need them.