Tag: arbitration, tribunal adjudication and alternate dispute resolution

Questions Related to arbitration, tribunal adjudication and alternate dispute resolution

Which one of the following is the main source of revenue in the states?

legal studies arbitration, tribunal adjudication and alternate dispute resolution public debt public debt main feature of tax

  1. Property Tax

  2. Excise Duty

  3. Sales Tax

  4. None of the above

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Correct Option: C
Explanation:

States collect revenue within its territory on the subjects under List II or State List of Seventh schedule of the Constitution. Excise duty comes under Union List  whereas Property tax is generally levied by local authorities and not state government. So, the main source of revenue in the states is the sales tax which is a consumption tax imposed by the government on the sale of goods and services.  It is the tax imposed on the sale and purchase of goods within the state and different states have different sales tax laws for their states.

 It is levied by the Government. Sales tax is charged at both the levels of Legislation, Central and State. The tax imposed by the Central Government is known as the Central Sales Tax, whereas tax imposed by the states is called Sales Tax.

The government can force the people to lend to it, but no private individual can compel another individual to give loans to him.

economics public debt public debt main feature of tax arbitration, tribunal adjudication and alternate dispute resolution

  1. True

  2. False

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Correct Option: A

Public debt produces a deep impact on production of wealth in the country. As against this, private debt produces no such impact.

economics public debt public debt main feature of tax arbitration, tribunal adjudication and alternate dispute resolution

  1. True

  2. False

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Correct Option: A

External debt represents a claim of __________ against the real income (GNP) of the country.

economics public debt public debt main feature of tax arbitration, tribunal adjudication and alternate dispute resolution

  1. countrymen

  2. foreigners

  3. both A and B

  4. none of the above

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Correct Option: B
Explanation:

Public borrowings from other countries, are referred to as External Debt. External debt permits import of real resources. It enables the country to consume more than it produces. The sources of external debts are loans from foreign government, IMF, World Bank etc.

Which of the followings is/are the source/s of external debt?

economics public debt public debt main feature of tax arbitration, tribunal adjudication and alternate dispute resolution

  1. Loans and advances from foreign government

  2. From IMF, World Bank and International Financial Institutions

  3. From foreigners

  4. All of the above

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Correct Option: D

When is the public debt said to be unproductive?

economics public debt public debt main feature of tax arbitration, tribunal adjudication and alternate dispute resolution

  1. When government borrows for developmental expenditure so that it generates revenue

  2. When the public borrow for expenditure so that it generates revenue

  3. When government borrows for non-developmental expenditure such as war finance or extravagance in public administration

  4. When public borrow for expenditure such as extravagance

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Correct Option: C

What are the limitations of the public debt?

economics public debt public debt main feature of tax arbitration, tribunal adjudication and alternate dispute resolution

  1. Possibility of excessive borrowing

  2. Taxation for repayment

  3. Burden on future generation

  4. All of the above

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Correct Option: D
Explanation:

Unless public debt is not used on developmental procedures which generate revenue, the above will be a problem. 

Which of the following may be source/s of internal debt due to the nature of their operations?

economics public debt public debt main feature of tax arbitration, tribunal adjudication and alternate dispute resolution

  1. Reserve Bank of India

  2. Commercial and General Banks

  3. Through selling of Government Securities

  4. All of the above

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Correct Option: D

In Private banking .. percent FDI is allowed now _____________.

economics public debt public debt main feature of tax arbitration, tribunal adjudication and alternate dispute resolution

  1. 100

  2. 49

  3. 74

  4. 26

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Correct Option: C

Which of the following is most likely to cause an increase in the size of the national debt?

economics public debt public debt main feature of tax arbitration, tribunal adjudication and alternate dispute resolution

  1. An increase in taxation

  2. A rise in long-term government borrowings

  3. An increase in national income

  4. A reduction in government expenditure.

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Correct Option: B