(QUIZ) Economy MCQs : Fiscal System
(QUIZ) Economy MCQs : Fiscal System
1. Consider the following statements.
- A depression is an economic down turn that is less severe.
- A recession is any economic down turn where real GDP declines by more than 10 percent.
Which of the above statements is / are true.
- Both 1 & 2
- 1 only
- Neither 1 nor 2
- 2 only
2. Consider the following statements.
- Difference between fiscal deficit & the interest payments are called primary deficit.
- Revenue deficit is the difference between the Revenue receipts on tax & non tax sides & the revenue expenditure.
Which of the above statements is / are true.
- Both 1 & 2
- 2 only
- 1 only
- Neither 1 nor 2
3. Consider the following statements.
- Difference between what the government earns & its total expenditure is called Budget deficit.
- Peter O Pier is known as the father of Zero Based Budget.
- Borrowings made from the RBI through printing fresh currency is called monetised deficit.
Which of the above statements is / are true.
- 1, 2, & 3
- 2 & 3 only
- 1 & 2 only
- 3 only
4. Consider the following statements.
- Revenue account expenditure essentially the non-plan expenditure that does not create assets.
- Capital account receipts are recoveries of loans made by the union government to states, UTs & PSUs fresh borrowings from inside the country & from abroad.
Which of the above statements is / are true.
- 1 only
- 2 only
- Neither 1 nor 2
- Both 1 & 2
5. Consider the following statements.
- The money printed by the RBI is called high powered money or reserve money.
- Australia was the first country to enact a fiscal responsibility Act in 1994.
- FRBM Act (India) was notified in 2004.
- Fiscal deficits may causes macro economic instability.
Which of the above statements is / are true.
- 1 & 2 only
- 2, 3, 4 only
- 1, 3 & 4 only
- 1, 2, 3 & 4