Types of Deficits and Fiscal Indicators CDS Questions

CDS Economy

Types of Deficits and Fiscal Indicators MCQ Questions


1.
Which of the following is measured as the difference between total expenditure and total revenue of the government?
A.
Fiscal Deficit
B.
Revenue Deficit
C.
Primary Deficit
D.
Budget Deficit
😑 View Answer Rough Work Error
ANSWER :
A. Fiscal Deficit
2.
Which deficit indicates the borrowing requirement of the government, excluding interest payments?
A.
Revenue Deficit
B.
Fiscal Deficit
C.
Primary Deficit
D.
Effective Revenue Deficit
😑 View Answer Rough Work Error
ANSWER :
C. Primary Deficit
3.
Revenue Deficit arises when...
A.
Capital expenditure exceeds capital receipts
B.
Revenue expenditure exceeds revenue receipts.
C.
Total expenditure exceeds total revenue.
D.
Revenue receipts exceed revenue expenditure.
😑 View Answer Rough Work Error
ANSWER :
B. Revenue expenditure exceeds revenue receipts.
4.
The concept of ‘Effective Revenue Deficit’ was introduced in which budget?
A.
2008-09
B.
2010-11
C.
2011-12
D.
2012-13
😑 View Answer Rough Work Error
ANSWER :
C. 2011-12
5.
Primary Deficit is equal to:
A.
Fiscal Deficit – Capital Expenditure
B.
Fiscal Deficit – Interest Payments
C.
Revenue Deficit – Capital Receipts
D.
Revenue Deficit – Interest Payments
😑 View Answer Rough Work Error
ANSWER :
B. Fiscal Deficit – Interest Payments
6.
The term ‘Budget Deficit’ is used when:
A.
Total expenditure equals total revenue.
B.
Total expenditure exceeds total revenue.
C.
Only revenue expenditure exceeds revenue receipts.
D.
Only capital expenditure exceeds capital receipts.
😑 View Answer Rough Work Error
ANSWER :
B. Total expenditure exceeds total revenue.