Fiscal Policy

Consider the following statements: 1. Most of India's external debt is owed by government entities. 2. All of India's external debt is denominated in US dollars. Which of the statements given above is/are correct?

A country is said to be a debt trap if:

There has been a persistent deficit budget year after year. Which action/actions of the following can be taken by the Government to reduce the deficit? 1. Reducing revenue expenditure 2 Introducing new welfare schemes 3. Rationalizing subsidies 4. Reducing import duty Select the correct answer using the code given below.

Which of the following is/are included in the capital budget of the Government of India? 1. Expenditure on acquisition of assets like roads, buildings, machinery, etc. 2. Loans received from foreign governments 3. Loans and advances granted to the States and Union Territories. Select the correct answer using the code given below.

With reference to the governance of public sector banking in India, consider the following statements 1. Capital infusion into public sector banks by the Government of India has steadily increased in the last decade. 2. To put the public sector banks in order, the merger of associate banks with the parent State Bank of India has been affected Which of the statements given above is/are correct?

Assertion (A): Fiscal deficit is greater than budgetary deficit. Reason (R): Fiscal deficit is the borrowing from the Reserve Bank of India plus other liabilities of the Government to meet its expenditure.

With reference to the Indian Public Finance, consider the following statements: 1. External liabilities reported in the Union Budget are based on historical exchange rates 2 The continued high borrowing has kept the real interest rates high in the economy 3. The upward trend in the ratio of Fiscal Deficit of GDP a. recent years has an adverse effect on private investment 4. Interest payments is the single largest component of the non-plan revenue expenditure of the Union Government Which of these, statements are correct?

Which one of the following statements is correct? Fiscal Responsibility and Budget Management Act (FRBMA) concerns:

Who of the following shall cause every recommendation made by the finance Commission to be laid before each House of Parliament?

Which one of the following is responsible for the preparation and presentation of Union Budget to the Parliament?

Consider the following actions by the Government: 1. Cutting the tax rates 2. Increasing the government spending 3. Abolishing the subsidies in the context of economic recession. Which of the above actions can be considered a part of the "fiscal stimulus". package?

In the context of governance, consider the following: 1. Encouraging Foreign Direct Investment inflows 2. Privatization of higher educational Institutions 3. Downsizing of bureaucracy 4. Selling, off-loading the shares of Public Sector Undertakings. Which of the above can be used as measures to control the fiscal deficit in India?

Which of the following are the methods of Parliamentary control over public finance in India? 1. Placing Annual Financial Statement before the Parliament 2 Withdrawal of moneys from Consolidated Fund of India only after passing the Appropriation Bill 3. Provisions of supplementary grants and vote-on-account 4. A periodic or at least a mid-year review of programme of the Government against macroeconomic forecasts and expenditure by Parliamentary Budget Office 5. Introducing Finance Bill in the Parliament. Select the correct answer using the codes given below:

All revenues received by the Union Government by way of taxes and other receipts for the conduct of Government business is credited to the?

Which of the following is /are among the noticeable features of the recommendations of the Thirteenth Finance Commission? 1. A design for the Goods and Services Tax, and a compensation package linked to adherence to the proposed design 2. A design for the creation of lakhs of jobs in the next ten years in consonance with India's demographic dividend 3. Devolution of a specified share of central taxes to local bodies as grants Select the correct answer using the codes given below:

Consider the following statements: 1. Tax revenue as a per cent of GDP of India has steadily increased in the last decade. 2. Fiscal deficit as a per cent of GDP of India has steadily increased in the last decade. Which of the statements given above is/are correct?

In India, deficit financing is used for raising resources for

Consider the following statements 1. The Fiscal Responsibility and Budget Management (FRBM) Review Committee Report has recommended a debt to GDP ratio of 60 % for the general (combined) government by 2023, comprising 40 % for the Central Government and 20 % for the State Governments. 2. The Central Government has domestic liabilities of 21 % of GDP as compared to that of 49 % of GDP of the State Governments. 3. As per the Constitution of India, it is mandatory for a State to take the Central Government's consent for raising any loan if the former owes any outstanding liabilities to the latter. Which of the statements given above is/are correct?

Economic Survey in India is published officially, every year by the:

Along with the Budget, the finance minister also places other documents before the Parliament which include 'The Macro Economic Framework Statement'. The aforesaid document is presented because this is mandated by

Which one of the following is the objective of National Renewal Fund?

With reference to the National Investment Fund to which the disinvestment proceeds are routed, consider the following statements: 1. The assets in the National Investment Fund are managed by the Union Ministry of Finance. 2. The National Investment Fund is to be maintained within the Consolidated Fund of India. 3. Certain Asset Management companies are appointed as the fund managers. 4. A certain proportion of annual income is used for financing select social sectors. Which of the statements given above is/are correct?

With reference to 'National Investment and Infrastructure Fund' which of the following statements is/are correct? 1. It is an organ of NITI Aayog. 2. It has a corpus of 4,00,000 crore at present. Select the correct answer using the code given below:

With reference to the Finance Commission of India, which of the following statements is correct?

What is the difference between "vote-on-account" and "interim budge”? 1. The provision of a "vote-on-account" is used by a regular Government, while an "interim budget" is a provision used by a caretaker Government 2. A "vote-on-account" only deals with the expenditure in Government budget, while an "interim budget" includes both expenditure and receipts Which of the statements given above is/are correct?

Consider the following: 1. Market borrowing 2. Treasury bills 3. Special securities issued to RBI Which of these is/are components(s) of internal debt?

With reference to 'Financial Stability and Development Council', consider the following statements: 1. It is an organ of NITI Aayog. 2. It is headed by the Union Finance Minister. 3. It monitors macroprudential supervision of the economy. Which of the statements given above is/are correct?

Which one of the following statements appropriately describes the "fiscal stimulus”?

Which one of the following is likely to be the most inflationary in its effect?

With reference to Union Budget, which of the following is/are covered under Non-Plan Expenditure? 1. Defence expenditure 2. Interest payments 3. Salaries and pensions 4. Subsidies Select the correct answer using the code given below.

With reference to the Fourteenth Finance Commission, which of the following statements is/ are correct? 1. It has increased the share of States in the central divisible pool from 32 percent to 42 percent. 2. It has made recommendations concerning sector specific grants. Select the correct answer using the code given below.

Why is the Government of India disinvesting its equity in the Central Public Sector Enterprises (CPSEs)? 1. The Government intends to use the revenue earned from the disinvestment mainly to pay back the external debt. 2. The Government no longer intends to retain the management control of the CPSEs Which of the statements given above is/are correct?

Which among the following steps is most likely to be taken at the time of an economic recession?

Which one of the following effects of the creation of black money in India has been the main cause of worry to the Government of India?