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This set of Public Finance Multiple Choice Questions & Answers (MCQs) focuses on Public Finance Set 3
Q1 | External debts can be raised from ...........
- individuals
- rbi
- commercial banks
- world bank
Q2 | Debts that are repaid at some specific future date are known as
- redeemable debts
- irredeemable debts
- treasury bill
- none of the above
Q3 | External loans are raised from
- idbi
- icici
- rbi
- wto
Q4 | The concept of Merit goods was developed by ................
- musgrave
- marshall
- adam smith
- zak
Q5 | Non-rival consumption is the feature of ..............
- public good
- private good
- merit good
- necessary good
Q6 | The theory of second best was introduced by ...............
- lipse and lancester
- allen and hicks
- samuelson and hicks
- horrod and dommor
Q7 | Wagner’s Law of increasing ............ activities.
- central
- state
- local
- one of these
Q8 | Wiseman-Peacock was studied expenditure of .............. in 1890-1955.
- ussr
- usa
- uk
- none of these
Q9 | Pure theory of public expenditure is based on ..............
- benefit
- loss
- profit
- none of these
Q10 | Social marginal productivity criteria was developed by ...........
- malthus
- a. e. khan
- a. k. sen
- none of these
Q11 | Balanced budget means ................ between revenue and expenditure.
- balance
- unbalance
- unequal
- none of these
Q12 | ................... budget concept was first introduced in USA in 1964.
- zero-base
- no zero-base
- surplus base
- none of these
Q13 | Public debt is the debt owed by ................
- industry
- individual
- central government
- bank
Q14 | In a concept of budgetary deficit, ............... is always greater than the total revenue.
- public expenditure
- taxes amount
- money supply
- crr
Q15 | The value of balanced budget multiplier is always ................
- 0
- 1
- 2
- indefinite
Q16 | ............ tax is in the jurisdiction of the Central government.
- land revenue
- corporation tax
- excise on alcohol
- tax on electricity consumption
Q17 | In internal debt ................ are important.
- external loans
- market loans
- personal loans
- none of these
Q18 | Public debt in Indian Economy is .................... in nature.
- increasing
- decreasing
- constant
- none of these
Q19 | Fiscal Crisis was carried in ................. period.
- planning
- new economic policy
- before indpendence
- none of these
Q20 | Which of the following is a Revenue Receipt?
- loan from the imf
- grant received from the world bank
- borrowing from the public
- sale of the shares held by the government in hmt
Q21 | Which of the following is a Capital Receipt?
- profit tax
- railway ticket fare
- fee of the government hospital
- borrowing from the public
Q22 | Which one of the following is not the form of Tax Revenue?
- income tax
- sales tax
- license fee
- excise duty
Q23 | Identify the Capital Receipts
- penalty
- corporation tax
- dividends on investments made by the government
- sale of a public sector undertaking
Q24 | Existence of Centre State economic inequalities is known as
- vertical imbalance
- horizontal imbalance
- parallel imbalance
- none of these
Q25 | A multilevel decentralized fiscal system involving sharing of fiscal responsibilities between central,state and local governments is referred to as:
- fiscal union
- fiscal federalism
- fiscal equalisation
- fiscal generalism