Fiscal Policy and Monetary Policy Tnpsc Question, Group 1 2 2a 4, VAO Group Question

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Fiscal Policy and Monetary Policy

1.

Fiscal policy in India is formulated by

A. the Finance ministry B. the RBI C. he SEBI D. the CSO

Answer : A. the Finance ministry

2.

The major finance for small scale industries is

A. shares and debentures B. bank loans C. public deposits D. foreign aid

Answer : B. bank loans

3.

Which of the following provides the largest part of the demand for loanable funds in India?

A. Hire-purchase borrowers B. Private house purchasers C. Corporate businesses D. Farmers

Answer : C. Corporate businesses

4.

______________ is NOT a Central government tax

A. Income tax B. Customs duty C. Land Revenue D. Corporation Tax

Answer : C. Land Revenue

5.

What is 'hard currency' ?

A. Currency earned after a hard work B. A foreign currency short in supply C. the amount borrowed to be repaid with a high interest D. Currency earned through income tax by the government

Answer : B. A foreign currency short in supply

6.

An ad valorem tax is a tax levied on the basis of

A. the price of a commodity B. the unit of a commodity C. the cost of production of a commodity D. value of real estate of personal property

Answer : D. value of real estate of personal property

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