SECTION-4

Economics Multiple Choice Questions

 
Q51. Which of the following deficit gives major contribution to total deficit of Government of India?    [MPPCS (Pre) 2005]

(A) Revenue deficit
(B) Budgetary deficit
(C) Fiscal deficit
(D) Primary deficit

Ans:(C) Fiscal deficit

 

Q52. In the Union Budget in India, which one of the following is the largest in amount?
[UPPCS (Pre) 2006]

(A) Plan Expenditure
(B) Non-Plan Expenditure
(C) Revenue Expenditure
(D) Capital Expenditure

Ans:(C) Revenue Expenditure

 

Q53. What is the effect of deficit financing on economy?
[Haryana PSC (Pre) 2017 UPPCS (Pre) 2016]

(A) Reduction in taxes
(B) Increase in wages
(C) Increase in money supply
(D) Decrease in money supply

Ans:(C) Increase in money supply

 

 
Q54. A country is said to be a debt trap if    [UPPSC (Pre) 2002]

(A) it has to borrow to make interest payments on outstanding loans
(B) it has to borrow to make interest payments on to standing loans
(C) it has been refused loans or aid by creditors abroad
(D) the World Bank charges a very high rate of interest on outstanding as well as new loans

Ans:(A) it has to borrow to make interest payments on outstanding loans

 

Q55. A larger part of the fiscal deficit in the Union Budgets is filled by
[UPPCS (Mains) 2005]

(A) Tax revenue
(B) Domestic borrowings
(C) Foreign borrowing
(D) Printing paper currency

Ans:(D) Printing paper currency

 

Q56. As compared to revenue deficit, fiscal deficit will always remainn
[Nagaland PSC (Pre) 2017 UPPCS (Mains) 2009]

(A) higher
(B) lower
(C) some
(D) All of the above

Ans:(A) higher

 

Q57. Fiscal Policy is concerned with    [MPPSC (Pre) 1996]

(A) the volume of currency that banks should put in the economy
(B) the policy regarding taxation and expenditure
(C) policy for regulating stock
(D) the policy for dealing with IMF

Ans:(B) the policy regarding taxation and expenditure

 

Q58. Which one of the following is part of fiscal policy?    [UKPCS (Pre) 2014]

(A) Production policy
(B) Tax policy
(C) Foreign policy
(D) Interest rate policy

Ans:(B) Tax policy

 

Q59. Fiscal policy means     [HCS (Pre) 2004]

(A) policy relating to money and banking in a country
(B) policy relating to non-banking financial institutions
(C) policy relating to government spending, taxation and borrowing
(D) policy relating to financial matters of international trade

Ans:(C) policy relating to government spending, taxation and borrowing

 

Q60. Which one of the following is NOT the objective of fiscal policy of government of India?
[HCS (Pre) 2014]

(A) Full employment
(B) Price stability
(C) Regulation of inter-state trade
(D) Economic growth

Ans:(C) Regulation of inter-state trade

 

    2      3      4      5      6      7      8

Next Page

Back

DEAR READERS IF YOU FIND ANY ERROR/TYPING MISTAKE PLEASE LET ME KNOW IN THE COMMENT SECTIONS OR E-MAIL: [email protected]

Read More Sections of Indian Economy Objective Questions

Each section contains maximum 80 Questions. To practice more questions visit other sections.
 

 Indian Economy Objective Questions – Section-1

 

 Indian Economy Objective Questions – Section-2

 

 Indian Economy Objective Questions – Section-3

 

 Indian Economy Objective Questions – Section-4

 

 Indian Economy Objective Questions – Section-5

 

 Indian Economy Objective Questions – Section-6

Leave a Reply

Your email address will not be published. Required fields are marked *