ECONOMY MCQS SET 112

ECONOMY MCQS SET 112

1111) Which one of the following is the major source of the States Taxes on income in the Indian economy?
A) Agricultural Income Tax
B) Professional tax
C) Both 'a' and 'b'
D) None of the above
Correct Answer: Both 'a' and 'b'
   
1112) Which one of the following is the major source of the revenue to State Government in India?
A) Agricultural Income Tax
B) Professional Tax
C) General Sales Tax
D) Stamp Duties
Correct Answer: General Sales Tax
   
1113) Which of the following is/are the example(s) of Transfer Payment(s)?
1. Unemployment allowance
2. Payment of salary
3. Social security payments
4. Old age pension
Select the correct answer using the codes given below
A) 1 and 3
B) 1, 2 and 3
C) 1, 3 and 4
D) None of these
Correct Answer: 1, 3 and 4
   
1114) Which one of the following is correct about the component of the State Government's Budget in India?
1. The first part consist the current receipts and expenditure.
2. The second part consist the capital receipts and expenditure.
3. The third part consist market borrowings and grants receipts from the Union Government.
Select the correct answer using the codes given below
A) 1 and 2
B) 1 and 3
C) 2 and 3
D) All of these
Correct Answer: 1 and 2
   
1115) A country is said to be in a debt trap if
A) it has to borrow to make interest payments on outstanding loans.
B) it has to borrow to make interest payments on standing loans.
C) it has been refused loans or aid by creditors abroad.
D) the World Bank charges a high rate of interest on outstanding as well as new loans.
Correct Answer: it has to borrow to make interest payments on standing loans.

1116) India has experienced persistent and high food inflation in the recent past. What could be the reasons?
1. As a consequence of increasing incomes, the consumption pattern of the people have undergone a significant change.
2. The food supply chain has structural constraints.
3. Due to gradual switch over to the cultivation of commercial crops, the area under the cultivation of food grains has steadily decreased in the last five years by about 30%.
Which of the statements given above is/are correct?
A) 1 and 2
B) 1 and 3
C) 2 and 3
D) Only 2
Correct Answer: 1 and 2
   
1117) Human Development Index comprises literacy rates, life expectancy at birth and
A) Gross Domestic Product per head in the US dollars
B) Gross Domestic Product per head at real purchasing power
C) Gross National Product in US dollars
D) National Income per head in US dollars
Correct Answer: Gross Domestic Product per head at real purchasing power    

1118) One which one among the following subjects the State's Excise Duties is imposed in India?
A) Alcoholic drinks
B) Opium
C) Hemps
D) All of these
Correct Answer: All of these
   
1119) Consider the following statements
1. The Corporate tax is gradually decreased since the liberalisation of the Indian economy.
2. The rates of the Cooporate tax of the domestic and foreign companies are different.
Which of the statements given above is/are correct?
A) Only 1
B) Only 2
C) Both 1 and 2
D) Neither 1 nor 2
Correct Answer: Both 1 and 2
 
1120) Consider the following statements
1. The Union Government of India passed the General Sales Tax in 1956.
2. The General Sales Tax in the State is imposed at special rate on the sale of goods in inter-state trade.
Which of the statements given above is/are correct?
A) Only 1
B) Only 2
C) Both 1 and 2
D) Neither 1 nor 2
Correct Answer: Both 1 and 2