Chapter 9: Fiscal Economics March 11, 2024 Maven Leave a Comment Welcome to the Chapter 9: Fiscal Economics Quiz! This quiz is based on the book back questions. Name Email 1. Which of the following is a direct tax? a) Excise duty b) Income tax c) Customs duty d) Service tax None 2. The modern state is a) Laissez-faire state b) Aristocratic state c) Welfare state d) Police state None 3. Which of the following canons of taxation was not listed by Adam smith? a) Canon of equality b) Canon of certainty c) Canon of convenience d) Canon of simplicity None 4. “Revenue Receipts” of the Government do not include a) Interest b) Profits and dividends c) Recoveries and loans d) Rent from property None 5. Which of the following is not a tax under Union list? a) Personal Income Tax b) Corporation Tax c) Agricultural Income Tax d) Excise duty None 6. GST is equivalence of a) Sales tax b) Corporation tax c) Income tax d) Local tax None 7. Consider the following statements and identify the correct ones. i. Central government does not have exclusive power to impose tax which is not mentioned in state or concurrent list. ii. The Constitution also provides for transferring certain tax revenues from union list to states. a) i only b) ii only c) both d) none None 8. The direct tax has the following merits except a) equity b) convenient c) certainty d) civic consciousness None 9. One of the following is NOT a feature of private finance a) Balancing of income and expenditure b) Secrecy c) Saving some part of income d) Publicity None 10. The tax possesses the following characteristics a) Compulsory b) No quid pro quo c) Failure to pay is offence d) All the above None 11. The difference between revenue expenditure and revenue receipts is a. Revenue deficit b. Fiscal deficit c. Budget deficit d. Primary deficit None 12. The difference between total expenditure and total receipts including loans and other liabilities is called a. Fiscal deficit b. Budget deficit c. Primary deficit d. Revenue deficit None 13. The word budget has been derived from the French word “bougette” which means a) A small bag b) An empty box c) A box with papers d) None of the above None 14. Which one of the following deficits does not consider borrowing as a receipt? a) Revenue deficit b) Budgetary deficit c) Fiscal deficit d) Primary deficit None 15. Finance Commission determines a) The finances of Government of India b) The resources transfer to the states c) The resources transfer to the various departments d) None of the above None 16. Consider the following statements and identify the right ones. i. The finance commission is appointed by the President ii. The tenure of Finance commission is five years. a) i only b) ii only c) both d) none None 17. The primary purpose of deficit financing is a) Economic development b) Economic stability c) Economic equality d) Employment generation None 18. Conversion of public debt means exchange of a) new bonds for the old ones b) low interest bonds for higher interest bonds c) Long term bonds for short term bonds d) All the above None 19. Deficit budget means a) An excess of government’s revenue over expenditure b) An excess of government’s current expenditure over its current revenue c) An excess of government’s total expenditure over its total revenue d) None of above None 20. Methods of repayment of public debt is a) Conversion b) Sinking fund c) Funded debt d) All these None Time's up Related Posts:Chapter 1: Introduction to Micro EconomicsChapter 12: Mathematical Methods for EconomicsChapter 1: Introduction to Macro EconomicsChapter 5: Monetary Economics
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