Government Budget and the Economy (CBSE Class-12 Economics): Questions 10 - 19 of 31

Get 1 year subscription: Access detailed explanations (illustrated with images and videos) to 523 questions. Access all new questions we will add tracking exam-pattern and syllabus changes. View Sample Explanation or View Features.

Rs. 900.00 or

Question number: 10

» Government Budget and the Economy » Government Budget

Short Answer Question▾

Write in Short

How can budgetary policy be used for allocation of resources in the economy?

Question number: 11

» Government Budget and the Economy » Government Budget

Short Answer Question▾

Write in Short

What is a government budget? Give the meaning of:

a) Revenue deficit

b) Fiscal deficit

Question number: 12

» Government Budget and the Economy » Measures of Government Deficit

Short Answer Question▾

Write in Short

What are the implications of a large revenue deficit? Give two measures to reduce this deficit.

Question number: 13

» Government Budget and the Economy » Classification of Expenditure

Short Answer Question▾

Write in Short

Distinguish between revenue expenditure and capital expenditure in a government budget. Give two examples of each.

Question number: 14

» Government Budget and the Economy » Measures of Government Deficit

One Liner Question▾

Write in Brief

Define marginal opportunity cost.

Question number: 15

» Government Budget and the Economy » Government Budget

Appeared in Year: 2010

Essay Question▾

Describe in Detail

How can Government budget be helpful in altering distribution of income in an economy? Explain.

Explanation

The government complete its budgetary policy goes to distribution of income in the economy. The government goals to promote fair and right distribution of income in an economy.

This is done by taxation and expenditure policy. By its taxation policy the government taxes the higher income groups in the economy.… (45 more words) …

Question number: 16

» Government Budget and the Economy » Government Budget

Appeared in Year: 2011

Essay Question▾

Describe in Detail

Explain the ‘redistribution of income’ objective of Government budget.

Explanation

Redistribution of income is one of the important objectives of government budget. The government through its budgetary policy attempts right distribution of income in an economy. This is done through taxation and expenditure policy. The government taxes the higher income groups in the economy. Purchasing power extracted from the higher… (50 more words) …

Question number: 17

» Government Budget and the Economy » Government Budget

Appeared in Year: 2011

Essay Question▾

Describe in Detail

Explain the ‘allocation of resources’ objective of Government budget.

Explanation

Allocation of resources is one of the important objectives of government budget. The private producers aim profit maximization and the government aims welfare maximization. The private sector tend to divert resource areas of high profit and ignore areas of social welfare. The government through its budgetary policy reallocates resources to… (30 more words) …

Question number: 18

» Government Budget and the Economy » Classification of Expenditure

Appeared in Year: 2009

Short Answer Question▾

Write in Short

Why is repayment of loan a capital expenditure?

Question number: 19

» Government Budget and the Economy » Measures of Government Deficit

Appeared in Year: 2011

Essay Question▾

Describe in Detail

From the following data about a Government budget, find out (a) Revenue deficit, (b) Fiscal deficit and (c) Primary deficit:

Revenue deficit Fiscal deficit and Primary deficit

In detail Revenue deficit Fiscal deficit and Primary deficit

( Rs. Arab)

Capital receipts net of borrowings

95

Revenue expenditure

100

Interest payments

10

Revenue receipts

80

Capital expenditure

110

Explanation

(a) Revenue Deficit = Revenue Expenditure –Revenue Receipts

100 - 80 = Rs. 20 Arab

(b) Fiscal deficit = Revenue expenditure + Capital expenditure - Revenue receipts - Capital receipts net of borrowings

=100 + 110 – 80 - 95

= Rs. 35 Arab

(C) Primary deficit = Fiscal deficit… (10 more words) …

f Page
Sign In