Public Economics Multiple Choice Questions and Answers

151. Public goods are non-rivial if

1. Some people cannot be prevented from consuming it
2. Consumption by one person reduces consumption of other individuals
3. Some people are excluded from consuming it
4. all the above

152. Redemption of public debt means

1. Repayment of debt
2. Repayment of FDI
3. Additional borrowing
4. Deficit financing

153. Salaries and pensions paid by governments are called

1. Capital expenditure
2. Development expenditure
3. Revenue expenditure
4. Plan expenditure

154. Scope of public finance includes

1. Public revenue
2. Public debt
3. Public expenditure
4. All of these

155. Securities Transactions Tax(STT) was introduced in the year

1. 2004-05
2. 2005-06
3. 2006-07
4. 2007-08

156. Service tax in India was introduced in

1. 1991-92
2. 2001-02
3. 2006-07
4. 1994-95

157. Shortcoming of public debt is

1. Political slavery
2. danger of insolvency
3. danger to countrys freedom
4. all of the above

158. Short-period debts are called as

1. Unfunded debts
2. Funded debts
3. Redeemable debts
4. None

159. Sound tax policy is devised mainly on the basis of

1. Maximum tax revenue
2. Elastic tax base
3. High income elasticity
4. High price elasticity

160. Special Assessment means

1. A tax on special benefits
2. General tax on all people
3. A periodical tax
4. Gift tax