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Seek advice from a lecturer or tutor on this, if a topic is not already assigned. It is very common for students to bite off more than they can chew, simply because they have not realised the full breadth and complexity of an apparently simple topic. It is better to cover a tiny topic perfectly, than a huge topic superficially.
Look for a topic on which there is polarised opinion. It often helps to pick one in which a question is being asked, for example: Is a particular taxation policy beneficial or disadvantageous to a developing country?
When authors disagree, this provides an opportunity for you to enter the debate and argue for one side or another in your essay. Taking a hatchet to someone’s opinions (a) gives you something to write about, (b) is fun, (c) is the foundation of much modern scholarly writing.
Next topic: Step 2: Collect relevant material
Background:
Steps in writing a literature review
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