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प्रश्न
State two objectives of fiscal policy.
थोडक्यात 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
Fiscal policy means public expenditure and tax policy of the government.
Identify the tax which is most likely to faster civic conciousness.
The tax whose rate remains unchanged irrespective of the income of the taxpayer is called as ______.
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 |
Match the following:
| Column I | Column II | ||
| A. | Impact of tax | (i) | Price stability |
| B. | Incidence of tax | (ii) | Simple to calculate |
| C. | Objective of Monetary Policy | (iii) | Ultimate burden of tax |
| D. | Proportional tax | (iv) | Original imposition of tax |
Name any two instruments of Fiscal Policy.
What is meant by shifting of tax burden?
Classify the following type of tax into direct and indirect taxes:
House tax
Give two reasons why the government imposes tax?
Explain how indirect taxes can be made progressive.
