CBSE Class 12 Economics Government Budget And The Economy VBQs read and download in pdf. Value Based Questions come in exams for Economics in Standard 12 and are easy to learn and helpful in scoring good marks. You can refer to more chapter wise VBQs for Class 12 Economics and also get latest topic wise very useful study material as per latest 2021 NCERT book for Class 12 Economics and all other subjects for free on Studiestoday designed as per latest Grade 12 CBSE, NCERT and KVS syllabus and examination pattern
1. Between direct and indirect tax, which should be used more for equitable distribution of income and why?
Ans :- Direct tax as it is progressive in nature
2. What is a Zero PRIMARY deficit budget?
Ans:- It means that the Government has to borrow only for making interest payments of the previous years, and that there are no fresh borrowings.
3. What will be the effect of reduction of subsidies on fiscal deficit?
Ans :- It will reduce the Revenue expenditure and hence fiscal deficit will also be reduced
4. There has been a consistent rise in the price of fruits and vegetables in India. Which measure of the budget will help to reduce the price
Ans:- Public Distribution system, measures against hoarding
5. Public goods are provided by the government, is it necessary?
Ans:- Public goods are those goods and services for which consumption by some individuals, do not reduce the amount available to others. Example parks, roads. People receive benefits from public good