FISCAL SYSTEM MCQS SET 17

FISCAL SYSTEM MCQS SET 17

161) Which of the following are the main causes of slow rate of growth of per capita income in India?
1. High capital-output ratio
2. High rate of growth of population
3. High rate of capital formation
4. High level of fiscal deficits
A) 1 and 2
B) 2, 3 and 4
C) 1 and 4
D) 1, 2, and 4
Answer: 1 and 2

   
162) The National Income is more at current prices than at constant prices because:
A) increase in price is equal to increase in production
B) increase in price is more than production
C) increase in production is more than increase in price
D) of decrease in production only
Answer: increase in production is more than increase in price
    

163) The first estimate of national income in India was made by:
A) Mahalanobis
B) V.K.R.V. Rao
C) Dadabhai Naoroji
D) Prof. Sheroi
Answer: Dadabhai Naoroji

   
164) The per capita income is obtained by:
A) summing up the income of all the citizens of the country
B) dividing national income by the population
C) estimating the minimum income of individual citizens
D) dividing the total national capital with the profit earned
Answer: dividing national income by the population

   
165) Which of the following is correct regarding the Gross Domestic Saving in India?
A) Contribution of Household sector is the largest
B) Contribution of Government sector is the largest
C) Contribution of Corporate sector is the largest
D) None of these
Answer: Contribution of Household sector is the largest


166) Which of the following is not required while computing Gross National Product (GNP)?
A) Net foreign investment
B) Private investment
C) Per capita income of citizens
D) Purchase of goods by government
Answer: Per capita income of citizens

   
167) National income is the same as:
A) Net Domestic Product at market price
B) Net Domestic Product at cost factor
C) Net National Product at market price
D) Net National Product at factor cost
Answer: Net National Product at factor cost

   
168) Which of the following is not shared by the Centre and the States?
A) Sales Tax
B) Corporation Tax
C) Income Tax
D) Union Excise Duties
Answer: Sales Tax

   
169) Which of the following taxes is not levied by the Union Government?
A) Wealth Tax
B) Excise Duty
C) Profession Tax
D) Income Tax
Answer: Profession Tax
   
170) The principal source of revenue to the State Government in India is :
A) Income Tax
B) Sales Tax
C) State Excise Duties
D) Land Revenue
Answer: Sales Tax