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प्रश्न
State two objectives of fiscal policy.
संक्षेप में उत्तर
उत्तर
The following objectives of fiscal policy are as follows:
- Raising Revenues: In order to meet the state expenditure for carrying out its functions, the government levy taxes of different types so that its revenue may increase.
- Economic Growth: Economic growth is nothing, but an increase in the economic activities or economic variables over a period of time along with reduction in poverty, unemployment and income inequalities.
Economic growth enables a country to produce more goods and services and thereby help in raising the standard of living of the people. Moreover, high rate of economic growth helps in solving the problems of poverty and unemployment in developing countries like India.
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Role of State in Economic Development
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संबंधित प्रश्न
The essential feature of a tax.
The government imposes tax ______.
Monetary policy means regulation of money supply by the monetary authority.
The state can promote economic development by ______.
Match the following:
| Column I | Column II | ||
| A. | Direct tax | (i) | Tax rate increases with tax base |
| B. | Indirect tax | (ii) | Tax rate remains constant |
| C. | Proportional tax | (iii) | Imposed on goods and services |
| D. | Progressive tax | (iv) | Impact and incidence lie on the same person |
Citing reason state the advantage of a direct tax over an indirect tax.
Classify the following type of tax into direct and indirect taxes:
Entertainment tax
Classify the following type of tax into direct and indirect taxes:
Sales tax
State two differences between income tax and commodity tax.
Explain the following with examples:
Progressive tax
