Fiscal consolidation is one of the objectives of India’s economic policy. Which of the following would help in fiscal consolidation ?
1. increasing taxes
2. getting more loans
3. reducing subsidies
Important Questions on Fiscal Policy
Consider the following statements regarding Fisal Policy:
- It helps to maintain the economy’s growth rate so that certain economic goals can be achieved.
- It aims to achieve full employment, or near full employment, as a tool to recover from low economic activity.
Which of the statements given above is/are correct?
1. eliminating both revenue deficit and fiscal deficit
2. giving flexibility to RBI for inflation management
Which of the statements given above is/are correct ?
Which one of the following is the largest item of expenditure of the Government of India on revenue account?
a) Defence
b) Subsidies
c) Pensions
d) Interest payments
(A) Revenue deficit is zero
(B) Net interest payments are zero
(C) Fiscal deficit is zero
(D) Fiscal deficit is equal to interest payment
Fiscal deficit implies:
a) Total expenditure – (Revenue receipts + Recovery of loans + Receipts from disinvestment)
b) Total expenditure – Total receipts from all sources ,including borrowings
c) Total expenditure – (Revenue receipts + Fresh loans)
d) Total expenditure – Disinvestment receipts
a) borrowings from public sector scheduled commercial banks
b) external commercial borrowings
c) borrowings from RBI
d) none of the above
Every year the Economic Survey is compiled by:
a) Office of Economic Advisor
b) Central Statistical Office (CSO)
c) National Sample Survey Organisation (NSSO)
d) Department of Economic Affairs
As we all know, some new initiatives were introduced in the area of fiscal Management by the government of India. Which of the following Acts was passed a few years back to keep a check on the fiscal indiscipline on macroeconomic parameters?
