EFFECT OF FISCAL POLICY IN DEVELOPMENT OF NIGERIA ECONOMY

Economic policy i.e. dominated by monetary and fiscal policies. Other policies include income, prices employment, trade and industry, money supply and government expenditure are two cardinal tools of monetary and fiscal policies respectively. Fiscal policy i.e. defined as the use of government expenditure, taxes, Borrowing and financial administration to further national economic objectives, government uses it’s expenditure and revenue activities to effect desired change in income production prices and employment, these changes concern national economic objective, which are targets at monetary policies using as many at their respective tools as may be deemed efficacious and appropriate. These i.e. consensus that fiscal and monetary policy, jointly and individually affect the level of economic activities on which policies focus. The degree relative superiority at one instrument over the other in achieving these objective has varies among policies makers and economics, and tentative resolutions and attempted empirically for different countries and different periods and circumstances. Therefore this paper is made up of three sections including the introduction. Section two deals with presentation at 1999 fiscal year. Data end evidence. The paper concluded in section three with the summary, conclusion and recommendation.