Tag: macro economic analysis

Quizzes (9) Questions (55)

Questions Related to macro economic analysis

Multiple choice economics macro economic analysis public debt public debt main feature of tax

What is correct about a concessional loan in India in the cases of external borrowing ?

  1. An external loan which carries a grant element of 25 per cent or more.

  2. When the interest component on an external loan is not more then 50 per cent of the prevailing interest on the external commercial loans.

  3. When the loan is long-term and has at least 75 per cent grant component in it.

  4. None of the above.
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

All the external loans which constitue at least 25 per cent (or more) grant (relaxation/subsidy) on its interest rates are considered 'concessional loans' by the government.

Multiple choice economics macro economic analysis public debt public debt main feature of tax

In the budget, when the government's revenue is more than its expenditure it is called __________.

  1. deficit budget

  2. surplus budget

  3. balanced budget

  4. imbalanced budget
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

A budget surplus is a period when income or receipts exceed outlays or expenditures. A budget surplus often refers to the financial states of governments; individuals prefer to use the term 'savings' instead of the term 'budget surplus.' A surplus is an indication that the government is being effectively managed.