Types of Deficits and Fiscal Indicators CDS Questions

CDS Economy

Types of Deficits and Fiscal Indicators MCQ Questions


7.
Which deficit shows the gap between government revenue receipts and revenue expenditure?
A.
Effective Revenue Deficit
B.
Fiscal Deficit
C.
Budget Deficit
D.
Revenue Deficit
😑 View Answer Rough Work Error
ANSWER :
D. Revenue Deficit
8.
A negative primary deficit indicates:
A.
Fiscal surplus.
B.
High revenue expenditure.
C.
No new borrowings, but interest payments remain.
D.
Government debt repayment.
😑 View Answer Rough Work Error
ANSWER :
C. No new borrowings, but interest payments remain.
9.
Which indicator is considered an ideal measure of government borrowing?
A.
Fiscal Deficit
B.
Revenue Deficit
C.
Budget Deficit
D.
Primary Deficit
😑 View Answer Rough Work Error
ANSWER :
A. Fiscal Deficit
10.
Which of the following includes only capital transactions of the government?
A.
Revenue Deficit
B.
Fiscal Deficit
C.
Capital Budget
D.
Current Account Deficit
😑 View Answer Rough Work Error
ANSWER :
C. Capital Budget
11.
What does a high fiscal deficit generally indicate?
A.
Low public debt
B.
High government borrowings
C.
Surplus in balance of payments
D.
Reduction in capital expenditure
😑 View Answer Rough Work Error
ANSWER :
B. High government borrowings
12.
Revenue expenditure includes:
A.
Loan repayments
B.
Subsidies
C.
Capital creation projects
D.
Public debt interest payments
😑 View Answer Rough Work Error
ANSWER :
B. Subsidies