The Principles Of Public Finance - 828 Words

Literature Review In October 2015, card brands have shifted the liability of fraudulent transaction to the entity that is least prepared to support the EMV technology (How EMV, 2016). In reviewing the impact of this shift there are several principles of public finance that come into play. We will review three principles and discuss the impact this initiative has on all three. Principle of Public Finance 1 – Market Failure Market failure is defined as â€Å"when the market economy fails to fairly and efficiently allocate all resources, products, money income, and assets to their highest valued among alternative (social) uses† (Baker College, 2016, Public Sector Failure and Market Failure section, para. 2). The driving force behind the implementation of EMV (Europay, MasterCard, Visa) is to prevent fraud. EMV was developed to try to mitigate card present fraud that occurs when counterfeit cards or stolen cards are used at a physical point of sale (How EMV, 2016). It is reported that card-present fraud occurs 0.39 out of every 1000 transactions. While this is pretty infrequent, EMV makes this type of fraud extremely difficult (How EMV, 2016). In terms of market failure, card fraud is an example a public finance principle such as market failure. Due to the actions of the criminals (card fraud) the consumers, merchants and financial institut ions pay the price or burden of the cost of their illegal activities. EMV is a key initiative aimed at reducing this type of fraudShow MoreRelatedPrinciples Of Public Finance : Market Failure890 Words   |  4 PagesAnalysis Principle of Public Finance 1 – Market Failure Will deploying the EMV technology protect the U.S. payment systems from suffering market failure? Market Failure is present when card fraud costs U.S. businesses billions of dollars. It was credit and debit card fraud cost $8.6 billion in 2014 and was estimated to increase to $10 billion or higher in 2015 (Austin, n.d.). This money spent on these losses results in the inefficient use of funds or income by consumers, merchants, card issuersRead MoreConcepts of Islamic Finance Essay882 Words   |  4 Pages Islamic finance is the system that practicing financial services according to the principles and rules of the Islamic commercial jurisprudence. It is a system that operates the services based on Islamic law which is called shari’ah which is based on Al-Quran and Sunnah. The objective of the Islamic finance is maximizing profit by minimizing loss but at the same time taking consideration on the welfare (maslahah). In Islamic finance, it is prohibited from any payment which is over and above theRead MoreEthics962 Words   |  4 PagesThey are used to keep track of a business finances, and to make sure the business is following legal and ethical standards. There are four elements to financial management; they are planning, controlling, organizing/directing, and decision making. Each of these plays a vital role in correctly reporting finances. Furthermore, there are principles in accounting for healthcare that help reiterate the reporting practices. Generally acceptable accounting principles or GAAP are certain guidelines that areRead MoreQuestions On Public Financial Management System Essay1461 Words   |  6 PagesDEPARTMENT: Accounting MODULE: Public Sector Accounting MODE OF ENTRY: Visiting LEVEL: 4.1 LECTURER: Ms Nyamwanza ASSIGNMENT â€Å"The civil service and government subscribe to a different code of ethics than the rest of us† Critically discuss this statement with reference to the Zimbabwean public financial management system. [25] The civil service is those branches of public service concerned with all government administrations outside the armed services. Public financial management is definedRead MoreThe Role Of Public-Private Partnership In The Insurance Industry1123 Words   |  5 PagesThirdly, public-private partnership is also key in building climate and disaster resilient developing countries through insurance industry which is unique mechanism for the sharing and transferring of risk (ClimateWise, The Munich Climate Insurance Initiative (MCII), The United Nations Environment Programme Finance Initiative (UNEP FI), 2013).. If there is no risk insurance programme, individuals, households, businesses and governments would accept their own risk exclusively (ClimateWise et alRead MoreEssay on MBA detail course outline1314 Words   |  6 Pages 14) General Management 1st Quarter Effective : Spring Quarter 2011 Human Resource Management Finance Accounting Banking Finance †¢ Organizational Communication †¢ Organizational Communication †¢ Organizational Communication †¢ Organizational Communication †¢ Principles of Management †¢ Principles of Management †¢ Principles of Management †¢ Principles of Management †¢ Research Methods †¢ Research Methods †¢ Research Methods †¢ Research Methods †¢ OrganizationRead MoreThe European Union1015 Words   |  5 Pagesmonetary union (EMU) the EMU was based on four financial principles of inflation, long-term interest rates, fiscal debt and deficit and exchange rate. The aim of the Union was to harmonise trade and economic relations across member states and as such the EMU imposed restriction on infrastructure investment through strict borrowing limits. As a member state Britain had to comply with the four criteria despite the pressure it placed on its public borrowing and financing of infrastructure. To meet itsRead MoreBiblical Concepts Of Accounting And Finance811 Words   |  4 Pagesof accounting and finance date back to the beginnings of recorded history and has evolved over the centuries to become a cornerstone of societies across the globe. Both the Old and New Testament of the Bible discuss the subject of accounting and finance in many scriptures and parables. The biblical concepts taught about accounting and fina nce are, without fail, applicable to modern business. Without an ethical foundation build upon a biblical foundation accounting and finance practices are boundRead MoreEconomic Ideas of Kautilya1527 Words   |  7 Pagesof the old and helpless, marriage and divorce, public finance, maintenance of army and navy, diplomacy, agriculture, spinning and weaving and a number of other subjects. His book contains ample ideas on a welfare state. The Ideas of Kautilya: Economic ideas of Kautilya can be broadly explained under the following topics: ïÆ'Ëœ Nature and purpose of material wealth ïÆ'Ëœ Varta ïÆ'Ëœ Agriculture and Animal Husbandry ïÆ'Ëœ Dignity of Labour ïÆ'Ëœ Trade ïÆ'Ëœ Public Finance ïÆ'Ëœ Population ïÆ'Ëœ Slavery ïÆ'Ëœ Welfare State ïÆ'Ëœ SocialRead MoreNew York State Housing Finance Agency Essay1046 Words   |  5 PagesBackground The New York State Housing Finance Agency (HFA) was formed in 1960, to assist low- and moderate-income family unit charter expansion (â€Å"New York State Housing Finance Agency†, 2012). In this logic its solemn assignment consists of preserving and conserving â€Å"high quality† low-priced rental housing for the population athwart the State of New York. Additionally, HFA provides financing to not-for-profit, and for-profit to construct economical letting houses, including NYCHA, and Mitchell Lama