Premium Essay

Feasibility and Efficiency of Public Goods

In: Business and Management

Submitted By mnjkr123
Words 603
Pages 3
Compare the feasibility and efficiency of producing public goods by tax dollars versus producing them jointly with private funds. Support your argument with specific examples.
Public good may not be 100% funded by tax funds but could well be underwritten and funded by private organizations as well. It is not feasible to produce public goods using private funding. The reason for this is that there is no way to prevent free riders. Public goods, or collective consumption goods, exhibit two properties; non-rivalry and non-excludability. Something is non-rivaled if one person's consumption of it does not deprive another person. A firework display is non-rivaled - since one person watching a firework display does not prevent another person from doing so. A public good is non-excludable. Its use cannot be limited to a certain group of people. The private groups may find it non-profitable to manufacture or create public good if they don’t get tax dollars from government in addition to their own private funds as they would want to maximize their profit as much as possible. An example of this would be the train industry. Amtrak is a private group that provides some funds and runs the system while receiving federal tax dollars in order to operate efficiently and at a profit. Without tax funding in addition to revenue generated from the train usage, Amtrak would not be successful and most likely be bankrupt. On the other hand, the disadvantage of producing public goods with 100 percent tax dollars is that the project or good being produced is being produced for a political purpose regardless of its economic purpose. An example of a public good produced for political purposes is the Metro Train system in Washington DC. The system loses money every year yet it is being expanded for political purposes. When public goods are produced with public and private funds then the project...

Similar Documents

Premium Essay

Audit

...properly controlled, whether care was taken in the collection and custody of revenues, whether expenditures were properly incurred and generally, whether the executives’ intentions were being met. However, this approach does not provide information on waste, inefficiency or ineffectiveness. Increased public expenditure, the need for more rational and informed decision making in the use of resources and the growing demand for public accountability of those who manage public resources necessitated a new and expanded scope audit–performance audit.Today, performance audit has become one of the major tasks in most developed and in some developing countries. According to Financial administration proclamation 648/2001 (E.C) article No 7 sub article 1 (a) Internal audits in Ethiopia are already provided with mandates to undertake performance audit in the public bodies. Traditional financial and compliance audits will continue to play an essential part; it is anticipated, however, that there will be a gradual and planned growth of performance audit work. 1.2 Objective of the study 1.2.1 General objective The general objective of this study is to evaluate whether the Ethiopian public sectors applying the performance auditing. 1.2.2 Specific objectives * To examining the application of performance audit in water and energy minister * To recommend appropriate solutions * The role of OFAG in Ethiopia performance auditing. 1.3 Scope of the......

Words: 7817 - Pages: 32

Premium Essay

Parole

...Abstract This paper will conduct a perspective view on the modern personnel evaluation system of three Arkansas agencies because job evaluations provides plans that are necessarily to provide its own standards of job worth. There would be insight on key factors that should be considered while implementing public personnel evaluations systems. In addition, there would be an outlook on the challenges of public managers that should consider implementing a public personnel evaluation system Introduction To get the accurate measure of your employees’ performance must be organize. Organization set the content of the job with tasks that are associated with knowledge, skills, and abilities. Evaluations make statements just not for individuals but for the agency. Discussion State Agencies Performance evaluation is the measure of the job value. “All that is required is a job evaluation system that is relatively free of bias and ultimately acceptable to both management and labor.” (Tompkins, 1987) Arkansas Department of Health, Department of Humans Services, Department of Finance and Administration all conduct performance evaluations on employees. These agencies uses a performance evaluation and the total duty area score must equal 100%. Second, the performance evaluation system is the same criteria of satisfactory, above average, satisfactory, and unsatisfactory in the rating period. In addition, there must be a justification for rating. The difference with......

Words: 852 - Pages: 4

Premium Essay

Eia Process

...EIA process Resources Screening Scoping Prediction and mitigation Management and monitoring Auditing Public participation Managing uncertainty Techniques Final report - Environmental impact statement The EIA process makes sure that environmental issues are raised when a project or plan is first discussed and that all concerns are addressed as a project gains momentum through to implementation. Recommendations made by the EIA may necessitate the redesign of some project components, require further studies, suggest changes which alter the economic viability of the project or cause a delay in project implementation. To be of most benefit it is essential that an environmental assessment is carried out to determine significant impacts early in the project cycle so that recommendations can be built into the design and cost-benefit analysis without causing major delays or increased design costs. To be effective once implementation has commenced, the EIA should lead to a mechanism whereby adequate monitoring is undertaken to realize environmental management. An important output from the EIA process should be the delineation of enabling mechanisms for such effective management. The way in which an EIA is carried out is not rigid: it is a process comprising a series of steps. These steps are outlined below and the techniques more commonly used in EIA are described in some detail in the section Techniques. The main steps in the EIA process are: • screening • scoping •......

Words: 4233 - Pages: 17

Premium Essay

Leading Innovation and Change

...organisation 1. Explain the importance of innovation for own organization I work in an authority responsible to implement the EU legislation in our country. One of the aims of the organization is to draft policies and to attend meetings concerning the EU policies. EU regulations are directly applicable to each Member State, while directives need to be transposed by the responsible officials. Before any decisions are taken consultations are carried out with the industry, the general public and any interested stakeholders. When a legal tool is in place there is always a transition in which the regulation is implemented hence the industry and the public will have ample time to the new regulations. During this time awareness and publicity is necessary so that we reach as many concerned people as possible. Innovation is important within my organization since there is the need to find new ways to increase publicity of the organization and at the same time we need to educate the public. We are not very reactive to the outside environment hence we need to become more innovative and inherently more adaptable to the external environment. This will allow us to be proactive and more effectively to capture opportunities. Innovation within my organization is needed, mainly in the following aspects: • Service innovation – where new and better service offerings to customers should be provided hence improving the quality of the service; • Process innovation -......

Words: 5625 - Pages: 23

Premium Essay

Uranium Mining Case Study

...is detrimental to the environment and its inhabitant. They sites are characterize by contamination and pollution of the environment of which are at the center of adverse public attention and concern. Uranium mining regardless...

Words: 1752 - Pages: 8

Free Essay

Restoration

...Appreciation & Conservation Assignment 2 Conservation Plan & Feasibility Study ------------------------------------------------- Module Title: BUILDING Appraisal Appreciation & Conservation Assignment 2 Conservation Plan & Feasibility Study Ian Scott Student ID 471727 Module Code: 6104 BEUG Module Leader: P.Kenny & S.Buxbaum Submission Date: 16/04/12 Ian Scott Student ID 471727 Module Code: 6104 BEUG Module Leader: P.Kenny & S.Buxbaum Submission Date: 16/04/12 Liverpool John Moores University School of the Built Environment Conservation Plan & Feasibility Study Of The Wellington Rooms (Known locally as the Irish Centre) The Wellington Rooms 2011 http://flickr.com/photos Report prepared by Mr Ian Scott: Student ID: 471727 Report Contents 1. Executive Summary 3 2. Introduction 3 3. Site Location & Description 3 4. Listing Extract 4 5. Statutory Controls 5 6. Evaluation of Development 5-6 7. Development Options 6-7 8. Appraisal of Repairs 7-9 9. Adaption Works 9-10 10. Conclusion 10 11. References & Bibliography 11 12. Photographs & Illustrations 12-16 ------------------------------------------------- 1.0 Executive Summary This executive summary provides a conservation plan and feasibility study considering the options for the proposed development......

Words: 3390 - Pages: 14

Premium Essay

Keystone Brochure

...Keystone Business Support Company Ltd. ABOUT US Keystone is a professional services company with management and administrative staff headquartered in Dhaka, Bangladesh. The company provides comprehensive business solutions to private businesses, financial institutions, investors, bilateral and multilateral institutions. A special strength of Keystone lies in its ability to help prepare for and implement energy sector projects both with regards to conventional and nonconventional energy sources. Keystone is also particularly strong in the areas of financial modeling and conducting legal and technical due diligence. These strengths are applicable in a wide variety of fields and we are constantly branching out to new areas to expand our product offering. Keystone has a global network of expert consultants across major cities including Boston, Delhi, Dubai, Hong Kong, London, New York, San Francisco, Singapore, Sydney, and Washington DC. Keystone is continually expanding to other major cities as its business grows. OUR APPROACH Keystone’s Project Teams pair international experts with local talent to devise Global Best Practice Solutions tailored to the specific country context. This also allows us to offer a high international quality service locally. Our first and foremost goal is to craft concrete and actionable steps for our clients that deliver results. OUR STRENGTHS Expertise : Keystone draws its strength from its diverse team of international experts. The......

Words: 1321 - Pages: 6

Premium Essay

Biomass Energy in Ruse Region

...the residential consumption of wood briquettes produced from forestry wastes and sawmill byproducts amount to approximately 2 million m3 per year. In addition, wastes generated from agricultural and farming activities are produced in large quantities and exploitation of these wastes can prove to be significant source for energy generation. As the land of Bulgaria is rich and fertile, farming activities occur throughout the various regions, although the majority of the farms are relatively small, independently owned entities. Currently, many organizations from the private and not-for-profit sectors such as Thermoconsult, EE Systems, Energoproekt and the Bulgarian Biomass Association have been actively performing research as to the feasibility and full potential of utilization of such wastes....

Words: 7352 - Pages: 30

Premium Essay

Advanced Financial Management

...launch a new product, set up a new plant, increase existing capacities etc. Projects may be ; New projects, Modernisation projects, Expansion projects, Diversification projects, Other miscellaneous projects. Project Appraisal: Project Appraisal is the process by which a financial institution makes an independent and objective assessment of the various aspects of the investment proposition for arriving at a financing decision. There are four broad aspects of appraisal: 1. Technical feasibility – Analysing the technical aspects of the projects like technical process. Design, size, technology used, availability of resources like labour, raw materials, packing materials etc.,availability of utilities like electricity, water, fuel etc, installed fixed assets and their capacities etc. 2. Financial feasibility – Analysing the financial aspects of the projects w.r.t cost of project, sources of finance, evaluation of revenues and returns on investments and their adequacy. 3. Economic feasibility – Analysing whether the resources commited to the project are effectively used w.r.t to the value of opportunity cost to the economy in their best alternative use. Financial Institutions use cost benefit analysis to evaluate the projects. This is also called as Social cost benefit analysis . The impact of project on distribution of income in the society level of savings and investments in the society, contribution of the...

Words: 7835 - Pages: 32

Premium Essay

Sap for Atlam Case

...Table of Contents 1.0 Introduction 2-3 2.0 Summary of case 3-4 3.0 Company Background 4-5 4.0 Issue 5 4.1 Overcoming staff resistance 5-7 4.2 Implementation of the system......................................................................8 4.2.1 Feasibility Study………………………………………………...8-14 4.2.2 Gantt Chart 15 4.3Managing Team Confilct 18-20 5.0 Conclusion 20 6.0 Bibliography 21 1.0 Introduction “It has never been a better time to be an accountant”, stated by a president of IFAC. (International Federation of Accountants , 2005) This is because accountants are recognized as contributing to every sector and aspect of the global economy. Accountants not only need to act as auditors, but also management accountants, business leaders, corporate financiers and business advisers. (International Federation of Accountants , 2005) This shows that professional accountant has great responsibility, not only toward the company itself, but also toward stakeholders and the public. Accountant must also act as project manager to take part in the project management activities in some organization. Nowadays, project management is a very important activity in the organization due to the changing environment. Organization need to cope with these changes by upgrade the technology used in the organization, introduce new products or revise their working practices. As a project manager, accountant will face some conflict that happened in the team. This is......

Words: 5064 - Pages: 21

Premium Essay

Coconut Charcoal

...THE USE OF BIOMASS WASTES TO FABRICATE CHARCOAL SUBSTITUTES IN KENYA Feasibility Study forming part of the Shell Foundation-supported project on charcoal briquetting in Kenya March 2004 Chardust Ltd. P.O. Box 24371 Nairobi and Spectrum Technical Services P.O. Box 69993 Nairobi Executive Summary This study was designed by Chardust Ltd. and implemented jointly by Chardust and Spectrum Technical Services, a Nairobi-consulting firm. The aim was to determine the viability of producing briquetted charcoal fuel from biomass wastes in Kenya. The study was funded by the Shell Foundation and conducted over a two month period in late 2003. The viability of producing fuel commercially from biomass wastes was assessed from four perspectives: (a) Availability: Existence and accessibility of biomass in bulk, preferably with no competing uses. The study began with a list of 28 potential wastes, which was narrowed down to 20 and then to just ten, according to a ranking system based upon basic availability and accessibility. (b) Conversion Potential: Physical suitability for drying, carbonisation and briquetting. Samples of the ten short-listed wastes were sourced and delivered to Chardust in Nairobi, where production trials were carried out. Based on these trials, a ranking system was devised for comparing the wastes in terms of their suitability for fuel production. (c) Fuel Quality: Energy value and general performance of fabricated fuel. The third part of the study......

Words: 14061 - Pages: 57

Free Essay

Chapter 9

...chapter 9. Evaluating new production and sourcing locations 9.1 Labor costs in manufacturing industries in different countries Norway Belgium Switzerland West. Germany Denmark Finland France Austria Luxemburg Sweden Netherlands Ireland Italy USA Japan UK Spain East Germany Canada Greece Slovenia 43.64 38.59 37.14 36.05 35.08 33.76 33.31 33.20 33.09 32.88 32.75 29.62 27.40 22.95 22.86 22.21 21.87 21.11 21.01 16.44 13.18 South Korea Malta Portugal Czech Rep. Croatia Slovakia Estonia Hungary Poland Lithuania Latvia Turkey Russia Romania Belarus Bulgaria China Ukraine Modavia Georgia Phillippines 11.49 10.27 10.03 8.86 7.89 7.80 7.30 6.94 6.04 5.45 5.25 4.33 3.61 3.39 2.67 2.44 2.25 1.81 1.74 1.65 1.33 Data in EUR per hour, 2009 (adapted from Institut der Deutschen Wirtschaft, 2010) © 2012 R. Grünig/D. Morschett 9. Evaluating new production and sourcing locations 9.2 Total costs of Electrolux for products sourced in different regions Chest-freezers for US market USA China Washing machines for EU market Mexico Production Country = Logistics = Direct labour & overhead Western Europe China Eastern Europe Production Country = Materials & components (Electrolux, 2005) © 2012 R. Grünig/D. Morschett 9. Evaluating new production and sourcing locations 9.3 Components of procurement cost + + + + = Purchasing......

Words: 1598 - Pages: 7

Premium Essay

Ongc

...A SUMMER TRAINING REPORT ON “STUDY OF CORPORATE BUDGET AND PROJECT APPRAISAL” SUBMITTED IN PARTIAL FULFILLMENT OF THE REQUIREMENT FOR THE AWARD OF DEGREE OF POST GRADUATE DIPLOMA IN MANAGEMENT (FINANCE) By Abhay Goyal 13DM006 Under the guidance of Dr. Girish Jain Mr. Anil Kumar Professor DGM (F&A) Accounting and Finance ONGC BIMTECH New Delhi 2013-15 TABLE OF CONTENTS CONTENTS CERTIFICATE FROM MENTOR v CERTIFICATRE FROM HR vi SUMMER PROJECT CERTIFICATE vii ACKNOWLEDGEMENT viii LETTER OF TRANSMITTAL ix LETTER OF AUTHORIZATION x EXECUTIVE SUMMARY 1 1. INTRODUCTION TO THE COMPANY 3 1.1 Background 3 1.2 Overview of the Company 3 1.3 ONGC Group of Companies 4 1.4 Basic Information 5 1.5 Organization Structure (CRC) 5 1.6 Vision and Mission Statement 6 1.6.1 World Class 6 1.6.2 Integrated In Energy Business 6 1.6.3 Dominant Indian Leadership 6 1.7 Strategic Vision 6 1.8 Salient Features about ONGC 6 1.8.1 ONGC in Global Rankings 6 1.8.2 ONGC- Achievements in ensuring Energy Security of India 7 1.9 Corporate Social Responsibility 7 1.10 Future Outlook 8 1.11 ONGC Offices All Over India 8 1.12 Organization Structure of the Finance Function of ONGC 9 2. FINANCIAL STATEMENT ANALYSIS 11 2.1 Financial Performance of ONGC (2012-13) 11 2.1.1 Sales of ONGC 11 2.1.2 Net Profit of ONGC from the Year 2007-13 11 2.1.3 Debt-To-Equity Ratio 12 2.1.4 Dividend of ONGC from 2007-13 12 2.1.5 Earning......

Words: 12141 - Pages: 49

Free Essay

Policy Alternatives for Hunger in the Us

...A Quiet and Dangerous Threat: Addressing Hunger in the United States Through Policy Alternatives When someone asks you the question “What public problems persist in the United States today?” you probably would think of crime rates, homelessness, or illegal immigration. But there is one that many people fail to remember because for a majority, it does not affect them. However, for others, it's the very struggle they face everyday. This public problem is hunger, a situation that has continually been very apparent around the world and more specifically in the United States. According to research from the national food bank organization “Feeding America,” one in six Americans face hunger each day. With this statistic there is also data collected in 2014 in which states that forty-eight million Americans are facing hunger and “food insecurity,” or the lack of access at times to provide food to all members of the family. While we recognize that the United States holds a vast majority of millions of people, the problem is not so much in the lack of food, but rather due to the presence of poverty. After the 2008 recession, more than fifteen percent of the United States population lives in poverty and as a result, struggle to provide the necessary supplements, costs and expenses. These are serious numbers and hunger has put many lives at stake. We as humanity understand the importance and simply the need for food, as it is what allows us to survive, grow, and work efficiently in......

Words: 2588 - Pages: 11

Premium Essay

Security

...BCIS 4740 Test 1 Study online at quizlet.com/_5lakh 1. Security Physical Security The quality or state of being secure - to be free from danger. To protect physical items, objects, or areas from unauthorized access and misuse. To protect the individual or group of individuals who are authorized to access the organization and its operations. To protect the details of a particular operation or series of activities. To protect communications media, technology, and content. To protect the confidentiality, integrity and availability of information assets, whether in storage, processing, or transmission. It is achieved via the application of policy, education, training, and awareness, and technology. The _____ can be the subject and or object of an attack. A "well-informed sense of assurance that the information risks and controls are in balance. _____ includes information security management, computer security, and network security. _____ is central to all information security efforts A subject or object's ability to use, manipulate, modify, or affect another subject or object. The organizational resource that is being protected. An intentional or unintentional act that can cause damage to or otherwise compromise information and/or the systems that support it. Security mechanisms, or procedures that can successfully counter attacks, reduce risk, resolve vulnerabilities, and otherwise improve the security within an organization. A technique used to compromise a system. A......

Words: 3836 - Pages: 16