Course: Public Finance and Fiscal Policy (808)

Semester: Autumn, 2010

Level: M.Sc Economics

Total Marks: 100

Pass Marks: 40
(Units 15)

Q.1 Define merit and mixed goods. Also highlight the distinguishing features of both
goods.
(20)
Q.2 Describe the problems encountered during budget preparation, its implementation
and evaluation in Pakistan.
(20)
Q.3 Describe different discount rates and which should be appropriate discount rate for
appraisal of public project?
(20)
Q.4 Define Gini- coefficient and its relation to Lorzen curve. Mention other measures
of income inequality and also show effect of a tax on income distribution.
(20)
Q.5 What is the rational of wealth taxation? Is wealth taxation progressive and can a
property- owner shift property-taxes partially to others?
(20)

ASSIGNMENT No. 1
(Units 15)
Total marks: 100

Pass Marks: 40

Q.1 What is meant by discretionary policy?

Q.2

(20)

Do you agree with the statement that a contractionary fiscal policy and expansionary
monetary policy are considered to be most suitable for economic growth?
(20)

Q.3 Why marginal cost pricing principle fail in case of decreasing cost industry?

(20)

Q.4 Describe the problems of debt management.

(20)

Q.5 Write notes on the followings.

a)
Ingredients of Economic Development

b)

(10+10)
Pricing of Social Facilities