12th Standard CBSE - Economics - Government Budget

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Question - 1

----------- is the year which begins on 1st April and ends on 31st March of the following year

  • A Current year
  • B Fiscal year
  • C New year
  • D None of the these

Question - 2

Which objectives of government budget increase equality in the society?

  • A Re-distribution of income and wealth 
  • B Economic stability
  • C Allocation of resources 
  • D Economic growth

Question - 3

Which part of government budget shows the current receipts?

  • A Capital budget
  • B Revenue budget, as they are recurring in nature
  • C Both (a) and (b)
  • D Neither (a) nor (b) 

Question - 4

---------- items are those items which do not create a liability or do not lead to reduction in assets.

  • A Capital
  • B Development
  • C Non-development
  • D Revenue

Question - 5

The final burden of ----------cannot  be shifted to others 

  • A direct tax
  • B indirect tax
  • C Both (a) and (b)
  • D Neither (a) nor (b)

Question - 6

Loans granted to State Governments is an example of-----------

  • A revenue receipts 
  • B capital receipts
  • C revenue expenditure 
  • D capital  expenditure 

Question - 7

------------- taxes do not depend on the level of income.

  • A Direct
  • B Indirect
  • C Progressive 
  • D Lump sum

Question - 8

Zero _____ means that the government has to resort to borrowings only to make interest payments.

  • A budget deficit
  • B fiscal deficit
  • C primary deficit
  • D revenue deficit

Question - 9

High----------gives a warning to the government either to cut its expenditure or increase its tax receipts

  • A budget
  • B revenue deficit
  • C primary deficit
  • D fiscal deficit

Question - 10

Fiscal deficit is equal to----------

  • A total expenditure
  • B total receipts
  • C capital receipts
  • D borrowings