, bo MCQs on Indian Economy - Part | (oc Rol ool aR fee MOA TON eer) Saswati Chattopadhyay * Lesson 9 » Mar 12, 2022* Public Finance is the concept a) that includes all the matter connected to receipts and payment of public money. b) that basically deals with the financing of government or in ae terms budget. both (a) and (b) d) Neither (a) nor (b)* Which of the following is not the objective of Fiscal Policy ? a) To achieve higher rate of economic growth ’ efarotewonsy foot b) To maintain price stability.” _, mbar gow Meg Cc) To reduce inequality © maintain the stability of value of currency in international market x wig* Which of the following fiscal measures may help in reducing inequalities of income and wealth in the society a) Progressive taxes imposed on the rich people b) Tax exemption of the poor section c) Heavy tax on luxury commodities wane of the above* Withdrawal rons aE which fund requires post-facto approval of the Parliament ? a) Consolidated Fund of India ‘ontingency fund of India c) Public account in India d) All of these* GST falls under a) specific tax Biatoren tax c) Lump sum tax d) None of these* For which tax real burden on rich is more than the poor rogressive tax b) Regressive tax c) Proportional tax d) Digressive tax* Consider the following statements regarding taxation 1. It is a compulsory payment 2. It is legally imposed by the government 3. Tax payers must get return in exchange of it x Select the correct answer using the codes given below : a) 1 only (by1 and 2 c)1land3 d) All of the above* Consider the following statements regarding direct taxation 1. Point of incidence and point of impact falls on the same apa = ee yyackamy . Progressive in natupe \e \ 3. May promote inflation v Select the correct answer using the codes given below : Land2 b)1and3 c)2and3 d) All of the aboveConsider the following statements regarding Corporate Income Tax 1. It is levied on profit earned by the companies 2. Companies (both public and private) which are registered under the Companies (Amendment) Act, 2019, are liable to pay corporate tax. Select the correct answer using the codes given below : a) only 1 b) onl oth 1 and 2 d) Neither 1 and 2* Inthe Union Budget 2020-21 which tax rate is extended to new electricity generation companies a) 10% b) 15% c) 20% d) 12%* For the companies having turnover more than Rs.250 crore the corporate tax rate is a) 20% b) 25% {2} 30% d) None of these. For Inter-state Trade which is imposed on the Goods and Services ? a) CGST ST c) SGST d) Both CGST and SGST* Both CGST and SGST are imposed on the goods and services in the case e of a) Inter-state Trade aes Trade c) Both (a) and (b) d) Neither (a) nor (b)* What is the rate of GST for rough precious and semi-precious stones ? a) 5% b) 3% 25% d) 2%* What is the rate of GST in lottery authorized by State Govt. ? a) 18 28% c) 12% d) None* What are the benefits of GST ? a) Better control on tax leakage b) Higher revenue efficiency c) Eas) pliance through online portal Il of the above* Which of the following tax/taxes are imposed and collected by the Union but shared between Centre and States a) Sales‘Tax Bicome Tax c) Excise duty d) All of these+ When there is one central authority to decide all aspects of planning, then the planning is called a) Indicative Planning mperative Planning c) Perspective Planning d) Decentralised Planning* Consider the following statements regarding LPG Strategy 1. This was coined by Rao-Singh (P.V.Narsimha Rao and Monmohan Singh) 2. It ended the License-Permit Raj 3. It encouraged privatisation and allowed Foreign Direct Investment Select the correct answer using the codes given below: a)1and2 b) 3 only c) Land3 1,2 and3* Which of the following measure is/are not undertaken to channelize globalisation ? a) Import liberalisation programme through reducing import duties and import quota. b) Opening up the economy to FDI ‘olicy of disinvestment by selling Govt. equity d) Allowing convertibility of rupee on current account* Policy of dereservation of PSEs and policy of disinvestment are important policies under Liberalisation. b) Privatisation ,” § 4} 7 c) Globalisation Za d) None of these* The aim of which Five Year Plan is to make India ‘self-reliant’ and ‘self-generating’ economy ? — | a) 5t FYP ee r= te —— b) 4rth FY. FYP d) 8t FYP- * ‘Poverty eradication’ and ‘attainment of self-reliance’ are the main objectives of which FYP ? ifth FYP b) 24 FYP c) 3° FYP d) 4rth FYP* Policy of Liberalisation, Privatisation and Globalisation was underfaken in 8" FYP b) 9th FYP c) 10" FYP d) 11" FYP* Consider the following statements regarding NITI Aayog 1. It is a non-constitutional and non-statutory body 2. It is a policy think tank established to provide strategic and technical advice to the Central Government 3. It is an advisory body with no financial role 4. It enjoys financial powers to allocate funds to states Select the correct-dnswer using the codes given below : a) land2 1,2and3 c)1land3 d)1,2,3and4* Govt council of NITI Aayog replaced a) Planning Commission ational Development Council c) Central Statistical Organisation d) None of these* Time liabilities of Bank includes a) Fixed Deposits b) Cash Certificates c) Recurring Deposits All of these* Marginal Standing Facility was introduced by RBI in a) 2010 7 1: Oro work al c) 2012 aoe a)2014 a on* Cash serve Ratio and Statutory Liquidity ratio are called eserve ve Requirement b) Liquidity Adjustment Facility res c) Margin Requirement d) None of these AyNITI Aayog d) None of these* The money which does not have any intrinsic value is called a) Legal tender money Gu fot money > Prank Gurbing, Err, VS sae c) Money on account d) None of these 2B* Consider the following statements regarding Seigneiorage 1. Seigniorage earned by RBI through printing currency notes becomes a major source of profit 2. A part of seigniorage is retained by RBI and the rest of it is transferred to the Government of India. Choose the correct answer using the codes given below : a) 1only — b)2only ‘Bier land2_ d) Neither 1 nor 2* When interest rates fail to work then the last resort used by RBI to stimulate spending in economy is called a) LTRO b) TLT uantitative Easing d) Operation Twist. In a year the MPC meets at least a) three times b)t imes Four times d) Once* According to Sustainable Development Goals India Index, 2019 released by NITI Aayog the highest performer state is a) Matrarashtra erala c) Himachal Pradesh d) Andhra Pradesh