Page:Indian Journal of Economics Volume 2.djvu/248

 sANLB EoN$ importance of the study of this subject can hardly be overestimated. Finance enters into all the affairs of daily life, both in biness and the home. But it is an important subject, not only becanse its use is so widespread; issnes which bat even more because of the serious bad finance entails, whether it be to an Or for rity, or to the Stgte itself. The individngl rosy rnin his prospects, gnd ghe hgppiness of himself gnd his fgmily for life;-the basiness firm or compgny mgy come to gn end, involving the pgrtners or shgreholders in the misfortnne; the local guthority mgy get into snch difficulties thgt it either fgils to redeem its debt, more probably, cegses argent pnblic needs; to mke deqnte provision nd if the finance of the lod of txtion for ntilities. In every State itself is bad, even a good policy is nullified, and the popnlation becomes gronnd down nnder a heavy e/hich it gets no retnrn in pablic case, almost withoat exception, the heavy losses of money mean real and direct losses of happiness--often a great measnre of their total happiness--to the perssns concerned. Much of this tremendons lass conld be saved by the wide diffusion of a proper nnderstanding of the fundamental principles of finance. These reqnire to be formalareal with a simple and direct clearness. Full acconnt shonld be taken of the broad nnderlyiug generalizations and their applications to everyday financial transactions, which is indeed a simple matter, must be kept free from all the nsnal encumbrance of detail, and from connection with any particular customary method of book-keeping. Once this is done people will learn to guide their conduct by deductions from a few general principles; .and they ill no longer have to depend on what they happen t.o red. ember of the conventional rules of good finance, individnal, a basiness firm or comliany, a public antho-