CUET Economics 2022 PYQ's by Lilha Education Centre

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1. Economic Variables such as 'National Income' and 'Profits' can be classified under which of the following heads?

1- Stock concept

2- Flow Concept

3- Depreciation

4- Final Goods

Clear selection

2. Elasticity of demand is constant and equal to 1 at every point on the demand curve. The shape of such a demand curve would be:

1- Horizontal straight line

2- Vertical straight line

3- Downward sloping curve

4- Rectangular hyperbola

Clear selection

3. Name the architect of Indian Planning:

1- William Digby

2- PC Mahalnobis

3- V.K.R.V. Rao

4- Dadabhai Naoroji

Clear selection

4. Which of the following is not included in Human Development Indicators?

1- Women Empowerment

2- Infant Mortality Rate

3- Access to basic sanitation

4- Gross National Income Per Capita

Clear selection

5. Which of the following statements are incorrect?

A) Circular flow of income does not take place in a closed economy.

B) Real flow consists of flow of factor services from households to firms.

C) In a two-sector economy, total production is always equal to total consumption.

D) Money flow consists of flow of factor payments from households to firms.

Choose the correct answer from the options given below:

1- A and B only

2- A, B and C only

3- A and D only

4- C and D only

Clear selection

6. Identify the correct statement regarding money supply

A) Money supply is a stock concept.

B) Money supply is a flow concept.

C) Money supply is the currency (cash and coins) with the public and demand deposit in banks.

D) Money supply is the currency held with banks.

E) Money supply is the concept of real flow.

Choose the correct answer from the options given below:

1- A and C

2- A and D

3- B and E

4- C and D

Clear selection

7. Given the following set of data calculate equilibrium income.

C = 100 + 0.8 y

Investment = Rs. 260 Cr.

1- Rs. 1,500 Cr.

2- Rs. 2,300 Cr.

3- Rs. 2,200 Cr.

4- Rs. 1,800 Cr.

Clear selection

8. Suppose a country only produces bread. In the year 2000 it had produced 100 units of bread, price was Rs. 10 per bread. In 2001, the same country produced 110 unit of bread at price was Rs. 15 per bread. In 2001, the nominal and real GDP are: (base year is 2000)

1- Rs. 1,550 and Rs. 1,000

2- Rs. 1,400 and Rs. 2,000

3- Rs. 1,650 and Rs. 1,100

4- Rs. 1,500 and Rs. 1,000

Clear selection

9. Identify the quantitative tools used by RBI to control money supply.

A) Moral Suasion

B) Bank Rate

C) Cash Reserve Ratio

D) Open Market Operations

E) Margin requirement

Choose the correct answer from the options given below:

1. A only

2. B, C and D only

3. B and C only

4. A, D and E only

Clear selection

10. Match List- I(Event) with List - II (Year):

1. A-III, B-IV, C-II, D-I

2. A-III, B-I, C-II, D-IV

3. A-I, B-IV, C-III, D-II

4. A-III, B-II, C-IV, D-I

Clear selection

11. Rs. 48,000 Cr. is allotted for PM Awas Yojna in this years budget'. Identify the government objective fulfilled from the statement above.

1. Economic Stability

2. Redistribution of income

3. Reallocation of resources

4. Reducing regional disparities

Clear selection

12. If the reserve ratio is 10% and the initial deposit with the commercial banks are Rs. 450 Cr, the total money creation by the banking system will be:

1. Rs. 4,000 Cr

2. Rs. 5,000 Cr

3. Rs. 3,500 Cr

4. Rs. 4,500 Cr

Clear selection

13. Which of the following is considered as an intermediate good?

1. Mobile purchased by a student

2. Car purchased by a household

3. Seeds and fertilizers purchased by a farmer

4. Vegetables purchased by households

Clear selection

14. Match List I (Financial Terms) with List II (Examples)

1. A-I, B-II, C-III, D-IV

2. A-III, B-I, C-IV, D-II

3. A-II, B-IV, C-I, D-III

4. A-IV, B-III, C-II, D-I

Clear selection

15. Which one of the following is the apex body to coordinate the activities of all institutions invovled in the rural financing system?

1. NABARD

2. NSSO

3. SEBI

4. RBI

Clear selection

16. Infrastructure is divided into two categories:

1. Primary and Secondary

2. Commercial and Social

3. Service and Industry

4. Social and Economic

Clear selection

17. What would be the value of investment multiplier if MPC = MPS?

1. 4

2. 3

3. 2

4. 1

Clear selection

18. Which of the following is a function of RBI?

1. Accepting deposits from general public

2. Giving loans to general public

3. Banker to the government

4. Credit creation

Clear selection

19. If MPC = 0.75, autonomous consumption = 100 Crore, then find the level of consumption at income level = 8,000 Crore:

1. 7,000 Crore

2. 6,100 Crore

3. 6,900 crore

4. 7,100 crore

Clear selection

20. Rearrange the following in chronological order of their occurrence.

A) Establishment of People's Republic of China

B) Great Proletarian Cultural Revolution

C) First Five Year Plan of Pakistan

D) First Five Year Plan of India

E) Economic Reforms of Pakistan

Choose the correct answer from the options given below:

1. A, B, C, D, E

2. A, C, D, B, E

3. A, B, D, C, E

4. A, D, C, B, E

Clear selection

21. Which of the following is not a function of the Central Bank?

1. Bank Rate

2. Open Market Operation

3. Lender of Last Resort

4. Deficit financing

Clear selection

22. If tea and coffee can be used in place of one another, then which of the following statements hold true?

A) Increase in price of tea leads to decrease in demand for coffee.

B) Increase in price of tea leads to increase in demand for coffee.

C) Tea and coffee are substitute goods.

D) Decrease in price of tea leads to increase in price of coffee.

E) Tea and Coffee are complimentary goods.

Choose the correct answer from the options given below:

1. A and E only

2. B and E only

3. C and D only

4. B and C only

Clear selection

23. Suppose the producers plans to add Rs. 100 cr worth of goods to her stock by the end of the year. However, due to an unforeseen upsurge of demand for her goods in the market, she had to sell goods worth Rs. 30 Cr. from her existing stock.

Now, determine Ex-ante Investment and Ex-post Investment from the above information.

1. 100 Cr, 100 Cr

2. 100 Cr, 70 Cr

3. 70 Cr, 70 Cr

4. 70 Cr, 100 Cr

Clear selection

24. What is the value of education cess levied on Union taxes by the Government of India?

1. 5%

2. 10%

3. 12%

4. 2%

Clear selection

25. Some of the factors responsible for land degradation in India an:

A) Organic farming

B) Forest fire and overgrazing

C) Planned irrigation system

D) Excession use of fertilizers and pesticides

E) Shifting cultivation

Choose the correct answer from the options given below:

1. B, D and E only

2. B, D only

3. A, B only

4. B, E only

Clear selection

26. Which of the following is not a reason for excess demand?

1. Reduction in Taxes

2. Fall in propensity to consume

3. Increase in investments

4. Increase in government spending

Clear selection

27. Which among the following is not a part of Qualitative Measure of Monetary Policy of RBI?

1. Margin Requirement

2. Moral Suasion

3. Reverse Repo Rate

4. Selective Credit Control

Clear selection

28. Match List I with List II

1. A-II, B-IV, C-III, D-I

2. A-I, B-IV, C-III, D-II

3. A-II, B-III, C-IV, D-I

4. A-III, B-IV, C-I, D-II

Clear selection

29. In China, Commune system is related to the____________ sector.

1. Informal

2. Industry

3. Service

4. Agriculture

Clear selection

30. Identify the statement that stands true during deficient demand:

A) Actual output falls short of potential output

B) Potential output falls short of actual output

C) Actual demand is less than expected demand

D) Expected demand is less than actual demand

Choose the correct answer from the options given below:

1. D only

2. A and C only

3. A and B only

4. B only

Clear selection

31. Suppose you are a member of the "Advisory Committee to the Finance Minister of India". The finance minister is concerned about the rising Revenue Deficit in the budget.

Which measure would you suggest to control the rising Revenue Deficit of the government?

1. To increase grants given to the State Government

2. To increase the subsidy

3. To increase taxation

4. To increase government administrative expenses

Clear selection

32. Five Year Plans in India were guided by which the following goals:

A) Modernisation

B) Equity

C) Subsidies

D) Self Reliance

E) Growth

Choose the correct answer from the options given below:

1. A, B, C, E

2. A, C, D, E

3. B, C, D, E

4. A, B, D, E

Clear selection

33. Identify the casual worker from amongst the following alternatives:

1. Santu, who works on the farm of Sohan as he doesn't own land of his own

2. Raghav, who owns a restaurant in a city.

3. Angad, who is a lawyer running, his own firm

4. Radha, who is a nurse working in a hospital

Clear selection

34. Raising the value of country's currency under fixed exchange rate system is:

1. Devaluation

2. Appreciation

3. Revaluation

4. Depreciation

Clear selection

35. Match List I with List II

1. A-I, B-II, C-IV, D-III

2. A-II, B-III, C-IV, D-I

3. A-III, B-IV, C-I, D-II

4. A-IV, B-I, C-II, D-III

Clear selection

36. When consumption function starts from y axis, it indicates that?

1. Consumption is Zero when income is Zero

2. Consumption is positive when income is zero

3. Saving is negative when income is positive

4. Saving is positive when income is zero

Clear selection

37. Owing to the current political instability across many countries, the Indian rupee has sharply lost its value in terms of US dollars. The impact of this would be:

A) A rise in imports from USA

B) A fall in imports from USA

C) A rise in exports to USA

D) A fall in exports to USA

Choose the correct answer from the options given below:

1. A and B only

2. B and D only

3. C and D only

4. B and C only

Clear selection

38. Which of the following is included in the estimation of National Income?

1. Sugar purchased by a restaurant

2. Expenditure incurred by a household on goods and services

3. Contribution towards social security scheme by an employee

4. Steel purchased by a car manufacturing company

Clear selection

39. The Central problems of an economy that relate to the question 'what to produce and in what quantities, does not deal in:

1. Technique of production

2. Distribution of resources between different goods produced

3. Quantities of different of goods

4. Combination of goods to be produced in the economy

Clear selection

40. Suppose in an economy there are only two firms A and B. Calculate Gross Domestic Product at Market Price from the given table.

1. Rs. 270 Cr.

2. Rs. 140 Cr

3. Rs. 330 Cr

4. Rs. 170 Cr

Clear selection

Read the following Case Study based on Sustainable energy sources and answer question based on it.

India has been giving a push for alternate fuels such as Ethanol and more recently, Methanol to improve its energy security. India meets 85% of its crude oil requirement, 53% of its natural gas requirement, and 25% of its coal requirement through imports. Ethanol is primarily used for blending with gasoline citing twin benefits: substitution of gasoline to arrest rising crude imports and using a relatively cleaner fuel than gasoline. The Government of India regulates the prices of ethanol derived from various sources and procures it through the Oil Marketing Companies at pre-determined prices. However, ethanol primarily derived from molasses and sugarcane juice can ignite a fuel vs food security debtate; Methanol, on the other hand, can be derived from different sources such as natural gas, coal, naphtha, biomass etc. Natural gas is the most widely used feestock to produce methanol across the world accounting for almost 70% of the gloabl production. India has given a strong push for Methanol from coal since coal is abundantly available in India whereas natural gas is a scarce resource. India is on the cusp of a major transformational change as it transitions towards a low carbon economy. The energy policies of the country and those on the anvil demonstrate and focus on the country's transition toward cleaner fuels in a sustainable manner. And coal gasification of domestically available coal to produce methanol (deployed with Carbon Capture & Storage - CCS) presents an opportunity to accelerate this transition in an energy secure manner.

41. 'Alternate fuel' refers to

1. fossil fuel

2. conventional energy sources

3. non-conventional energy sources

4. non-biodegradable energy sources

Clear selection

Read the following Case Study based on Sustainable energy sources and answer question based on it.

India has been giving a push for alternate fuels such as Ethanol and more recently, Methanol to improve its energy security. India meets 85% of its crude oil requirement, 53% of its natural gas requirement, and 25% of its coal requirement through imports. Ethanol is primarily used for blending with gasoline citing twin benefits: substitution of gasoline to arrest rising crude imports and using a relatively cleaner fuel than gasoline. The Government of India regulates the prices of ethanol derived from various sources and procures it through the Oil Marketing Companies at pre-determined prices. However, ethanol primarily derived from molasses and sugarcane juice can ignite a fuel vs food security debtate; Methanol, on the other hand, can be derived from different sources such as natural gas, coal, naphtha, biomass etc. Natural gas is the most widely used feestock to produce methanol across the world accounting for almost 70% of the gloabl production. India has given a strong push for Methanol from coal since coal is abundantly available in India whereas natural gas is a scarce resource. India is on the cusp of a major transformational change as it transitions towards a low carbon economy. The energy policies of the country and those on the anvil demonstrate and focus on the country's transition toward cleaner fuels in a sustainable manner. And coal gasification of domestically available coal to produce methanol (deployed with Carbon Capture & Storage - CCS) presents an opportunity to accelerate this transition in an energy secure manner.

42. New energy policies of the country aim at promoting:

1. fossil fuel sources

2. conventional energy sources

3. crude oil imports

4. sustainable use of cleaner fuels

Clear selection

Read the following Case Study based on Sustainable energy sources and answer question based on it.

India has been giving a push for alternate fuels such as Ethanol and more recently, Methanol to improve its energy security. India meets 85% of its crude oil requirement, 53% of its natural gas requirement, and 25% of its coal requirement through imports. Ethanol is primarily used for blending with gasoline citing twin benefits: substitution of gasoline to arrest rising crude imports and using a relatively cleaner fuel than gasoline. The Government of India regulates the prices of ethanol derived from various sources and procures it through the Oil Marketing Companies at pre-determined prices. However, ethanol primarily derived from molasses and sugarcane juice can ignite a fuel vs food security debtate; Methanol, on the other hand, can be derived from different sources such as natural gas, coal, naphtha, biomass etc. Natural gas is the most widely used feestock to produce methanol across the world accounting for almost 70% of the gloabl production. India has given a strong push for Methanol from coal since coal is abundantly available in India whereas natural gas is a scarce resource. India is on the cusp of a major transformational change as it transitions towards a low carbon economy. The energy policies of the country and those on the anvil demonstrate and focus on the country's transition toward cleaner fuels in a sustainable manner. And coal gasification of domestically available coal to produce methanol (deployed with Carbon Capture & Storage - CCS) presents an opportunity to accelerate this transition in an energy secure manner.

43. India meets its crude oil requirements through domestic sources of:

1. 10%

2. 75%

3. 15%

4. 85%

Clear selection

Read the following Case Study based on Sustainable energy sources and answer question based on it.

India has been giving a push for alternate fuels such as Ethanol and more recently, Methanol to improve its energy security. India meets 85% of its crude oil requirement, 53% of its natural gas requirement, and 25% of its coal requirement through imports. Ethanol is primarily used for blending with gasoline citing twin benefits: substitution of gasoline to arrest rising crude imports and using a relatively cleaner fuel than gasoline. The Government of India regulates the prices of ethanol derived from various sources and procures it through the Oil Marketing Companies at pre-determined prices. However, ethanol primarily derived from molasses and sugarcane juice can ignite a fuel vs food security debtate; Methanol, on the other hand, can be derived from different sources such as natural gas, coal, naphtha, biomass etc. Natural gas is the most widely used feestock to produce methanol across the world accounting for almost 70% of the gloabl production. India has given a strong push for Methanol from coal since coal is abundantly available in India whereas natural gas is a scarce resource. India is on the cusp of a major transformational change as it transitions towards a low carbon economy. The energy policies of the country and those on the anvil demonstrate and focus on the country's transition toward cleaner fuels in a sustainable manner. And coal gasification of domestically available coal to produce methanol (deployed with Carbon Capture & Storage - CCS) presents an opportunity to accelerate this transition in an energy secure manner.

44. Methanol is preferred as an alternate fuel over ethanol because it:

A) hampers energy security of the country

B) will not create fuel vs food security debate

C) polluting energy source

D) coal is abundantly available

E) relatively cleaner fuel than gasoline

Choose the correct answer from the options given below:

1. A and E only

2. B and D only

3. A, C and D only

4. B, D and E only

Clear selection

Read the following Case Study based on Sustainable energy sources and answer question based on it.

India has been giving a push for alternate fuels such as Ethanol and more recently, Methanol to improve its energy security. India meets 85% of its crude oil requirement, 53% of its natural gas requirement, and 25% of its coal requirement through imports. Ethanol is primarily used for blending with gasoline citing twin benefits: substitution of gasoline to arrest rising crude imports and using a relatively cleaner fuel than gasoline. The Government of India regulates the prices of ethanol derived from various sources and procures it through the Oil Marketing Companies at pre-determined prices. However, ethanol primarily derived from molasses and sugarcane juice can ignite a fuel vs food security debtate; Methanol, on the other hand, can be derived from different sources such as natural gas, coal, naphtha, biomass etc. Natural gas is the most widely used feestock to produce methanol across the world accounting for almost 70% of the gloabl production. India has given a strong push for Methanol from coal since coal is abundantly available in India whereas natural gas is a scarce resource. India is on the cusp of a major transformational change as it transitions towards a low carbon economy. The energy policies of the country and those on the anvil demonstrate and focus on the country's transition toward cleaner fuels in a sustainable manner. And coal gasification of domestically available coal to produce methanol (deployed with Carbon Capture & Storage - CCS) presents an opportunity to accelerate this transition in an energy secure manner.

45. Match List-I with List-II

1. A-IV, B-II, C-I, D-III

2. A-IV, B-III, C-I, D-II

3. A-II, B-III, C-IV, D-I

4. A-IV, B-III, C-II, D-I

Clear selection

Read the following Case Study based on Sustainable energy sources and answer question based on it.

Budget 2022 which seeks to lay the blueprint for the next 25 years for growth for India has been widely recognized by the business community as a growth and infrastructure-focused budget that will put the country on the right trajectory. In terms of performance the government has done well in collecting tax revenues, keeping spending tight, and is now taking steps towards long-term fiscal stability. The key areas of attention are future income and employment-generating capital expenditure. 317,643 crore will be allocated to grants-in-aid including MNREGA.

As far as expenditure is concerned, the government proposes to spend Rs. 39,44,909 crore in 2022-23, which is 4.6% higher than the updated estimate of 2021-22. The receipts (excluding borrowings) in 2022-23 are estimated to be Rs. 22, 83,713 crore, an increase of 4.8% over the revised estimate of 2021-22. The expectation from tax collections is higher than last year, which is expected to come in from direct taxes, both on personal and corporate income. The FM has estimated GDP growth of 9.27% which is among the highest in the world's large economies.

The fiscal deficit in 2022-23 is targeted at 6.4% of GDP, which is lower than last year. And Interest expenditure at Rs. 9,40,651 crore is estimated to be 43% of revenue receipts. The budget has not relied on EBR (Extra Budgetary Resources) or loans from the National Small Savings Fund. As far as ministry allocation is concerned the highest percentage-wise increase is seen for the Ministry of Communications, Ministry of Road Transports & Highways, and Ministry of Jal Shakti.

46.For the business community, which of the following relates to the Budget 2022?

1. Economic stability

2. Focus on growth and infrastructure

3. Reduction of inequalities

4. Encouragement to save more

Clear selection

Read the following Case Study based on Sustainable energy sources and answer question based on it.

Budget 2022 which seeks to lay the blueprint for the next 25 years for growth for India has been widely recognized by the business community as a growth and infrastructure-focused budget that will put the country on the right trajectory. In terms of performance the government has done well in collecting tax revenues, keeping spending tight, and is now taking steps towards long-term fiscal stability. The key areas of attention are future income and employment-generating capital expenditure. 317,643 crore will be allocated to grants-in-aid including MNREGA.

As far as expenditure is concerned, the government proposes to spend Rs. 39,44,909 crore in 2022-23, which is 4.6% higher than the updated estimate of 2021-22. The receipts (excluding borrowings) in 2022-23 are estimated to be Rs. 22, 83,713 crore, an increase of 4.8% over the revised estimate of 2021-22. The expectation from tax collections is higher than last year, which is expected to come in from direct taxes, both on personal and corporate income. The FM has estimated GDP growth of 9.27% which is among the highest in the world's large economies.

The fiscal deficit in 2022-23 is targeted at 6.4% of GDP, which is lower than last year. And Interest expenditure at Rs. 9,40,651 crore is estimated to be 43% of revenue receipts. The budget has not relied on EBR (Extra Budgetary Resources) or loans from the National Small Savings Fund. As far as ministry allocation is concerned the highest percentage-wise increase is seen for the Ministry of Communications, Ministry of Road Transports & Highways, and Ministry of Jal Shakti.

47. Identify direct taxes from the following:

A) Goods and Services Tax

B) Corporate Tax

C) Capital Gains Tax

D) Value added Tax

Choose the correct answer from the options given below:

1. A and B only

2. A, B and C only

3. B and C only

4. B and D only

Clear selection

Read the following Case Study based on Sustainable energy sources and answer question based on it.

Budget 2022 which seeks to lay the blueprint for the next 25 years for growth for India has been widely recognized by the business community as a growth and infrastructure-focused budget that will put the country on the right trajectory. In terms of performance the government has done well in collecting tax revenues, keeping spending tight, and is now taking steps towards long-term fiscal stability. The key areas of attention are future income and employment-generating capital expenditure. 317,643 crore will be allocated to grants-in-aid including MNREGA.

As far as expenditure is concerned, the government proposes to spend Rs. 39,44,909 crore in 2022-23, which is 4.6% higher than the updated estimate of 2021-22. The receipts (excluding borrowings) in 2022-23 are estimated to be Rs. 22, 83,713 crore, an increase of 4.8% over the revised estimate of 2021-22. The expectation from tax collections is higher than last year, which is expected to come in from direct taxes, both on personal and corporate income. The FM has estimated GDP growth of 9.27% which is among the highest in the world's large economies.

The fiscal deficit in 2022-23 is targeted at 6.4% of GDP, which is lower than last year. And Interest expenditure at Rs. 9,40,651 crore is estimated to be 43% of revenue receipts. The budget has not relied on EBR (Extra Budgetary Resources) or loans from the National Small Savings Fund. As far as ministry allocation is concerned the highest percentage-wise increase is seen for the Ministry of Communications, Ministry of Road Transports & Highways, and Ministry of Jal Shakti.

48. Given the information in the passage, find out the fiscal deficit:

1. Rs. 39,44,909

2. Rs. 22,83,713

3. Rs. 18,84,311

4. Rs. 16,61,196

Clear selection

Read the following Case Study based on Sustainable energy sources and answer question based on it.

Budget 2022 which seeks to lay the blueprint for the next 25 years for growth for India has been widely recognized by the business community as a growth and infrastructure-focused budget that will put the country on the right trajectory. In terms of performance the government has done well in collecting tax revenues, keeping spending tight, and is now taking steps towards long-term fiscal stability. The key areas of attention are future income and employment-generating capital expenditure. 317,643 crore will be allocated to grants-in-aid including MNREGA.

As far as expenditure is concerned, the government proposes to spend Rs. 39,44,909 crore in 2022-23, which is 4.6% higher than the updated estimate of 2021-22. The receipts (excluding borrowings) in 2022-23 are estimated to be Rs. 22, 83,713 crore, an increase of 4.8% over the revised estimate of 2021-22. The expectation from tax collections is higher than last year, which is expected to come in from direct taxes, both on personal and corporate income. The FM has estimated GDP growth of 9.27% which is among the highest in the world's large economies.

The fiscal deficit in 2022-23 is targeted at 6.4% of GDP, which is lower than last year. And Interest expenditure at Rs. 9,40,651 crore is estimated to be 43% of revenue receipts. The budget has not relied on EBR (Extra Budgetary Resources) or loans from the National Small Savings Fund. As far as ministry allocation is concerned the highest percentage-wise increase is seen for the Ministry of Communications, Ministry of Road Transports & Highways, and Ministry of Jal Shakti.

49. Match List-I with List -II

1. A-III, B-I, C-IV, D-II

2. A-III, B-IV, C-I, D-II

3. A-III, B-I, C-II, D-IV,

4. A-II, B-IV, C-I, D-III

Clear selection

Read the following Case Study based on Sustainable energy sources and answer question based on it.

Budget 2022 which seeks to lay the blueprint for the next 25 years for growth for India has been widely recognized by the business community as a growth and infrastructure-focused budget that will put the country on the right trajectory. In terms of performance the government has done well in collecting tax revenues, keeping spending tight, and is now taking steps towards long-term fiscal stability. The key areas of attention are future income and employment-generating capital expenditure. 317,643 crore will be allocated to grants-in-aid including MNREGA.

As far as expenditure is concerned, the government proposes to spend Rs. 39,44,909 crore in 2022-23, which is 4.6% higher than the updated estimate of 2021-22. The receipts (excluding borrowings) in 2022-23 are estimated to be Rs. 22, 83,713 crore, an increase of 4.8% over the revised estimate of 2021-22. The expectation from tax collections is higher than last year, which is expected to come in from direct taxes, both on personal and corporate income. The FM has estimated GDP growth of 9.27% which is among the highest in the world's large economies.

The fiscal deficit in 2022-23 is targeted at 6.4% of GDP, which is lower than last year. And Interest expenditure at Rs. 9,40,651 crore is estimated to be 43% of revenue receipts. The budget has not relied on EBR (Extra Budgetary Resources) or loans from the National Small Savings Fund. As far as ministry allocation is concerned the highest percentage-wise increase is seen for the Ministry of Communications, Ministry of Road Transports & Highways, and Ministry of Jal Shakti.

50. Which one of the following statement is true?

1. The lowest percentage wise increase in allocation is seen for the Ministry of Jal Shakti.

2. The highest percentage wise increase in allocation is seen for the Ministry of Communications.

3. The budget has relied heavily on loans from the National Small Savings Fund.

4. The government has not done well in collection of tax revenues.

Clear selection