This quiz works best with JavaScript enabled. Home > Finance > Public Finance > Public Finance – Quiz 8 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Public Finance Quiz 8 (30 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Which of the following is a potential challenge facing public finance in today's global economy? A) Decreasing government debt. B) Decreasing income inequality. C) The elimination of taxes. D) The rising cost of healthcare. Show Answer Correct Answer: A) Decreasing government debt. 2. ..... is a new technique for the preparation of budget. A) Public Debt. B) Federal Finance. C) Budget. D) Zero Base Budgeting. Show Answer Correct Answer: D) Zero Base Budgeting. 3. The government's activities of mobilizing revenue, incurring expenditure and raising loans are called A) Trade policy. B) Monetary policy. C) Public policy. D) Fiscal policy. Show Answer Correct Answer: D) Fiscal policy. 4. What caused the birth of the first global sovereign bond markets? A) Independence of Latin American states. B) The First World War. C) The Hundred Years War. D) The birth of the USA. Show Answer Correct Answer: A) Independence of Latin American states. 5. What is the role of international financial institutions such as the IMF and World Bank in public finance? A) To regulate interest rates in developed countries. B) To provide tax breaks to multinational corporations. C) To regulate government expenditures in developed countries. D) To provide loans to governments in developing countries. Show Answer Correct Answer: D) To provide loans to governments in developing countries. 6. Scope of public finance A) 1. Government budget 2. Imports 3. Taxes 4. Public debt. B) 1. Loans 2. Income 3. Exports 4. Public debt. C) 1. National budget 2. Revenue 3. Expenses 4. Public debt. D) 1. National budget 2. Revenue 3. Loans 4. Treasury balance. Show Answer Correct Answer: C) 1. National budget 2. Revenue 3. Expenses 4. Public debt. 7. Deficit financing leads to A) Rise in prices. B) Fall in prices. C) Control on prices. D) None of these. Show Answer Correct Answer: A) Rise in prices. 8. In the equation Y = C + I + G + (X-M), the letter G corresponds to which of the following? A) Gross domestic product. B) Private consumption. C) Private sector investment. D) Government spending. Show Answer Correct Answer: D) Government spending. 9. Which of the following is an example of mandatory spending? A) Interest payments on public debt. B) Defense spending. C) Infrastructure spending. D) Social security benefits. Show Answer Correct Answer: D) Social security benefits. 10. There are many different types of non-tax income. But which one is not? A) Income from the sale of goods and services. B) State commercial income. C) Guarantee income. D) Income from fines. Show Answer Correct Answer: C) Guarantee income. 11. A deficit budget requires a State to ..... A) Spend less. B) Borrow money. C) Increase taxes. D) None of above. Show Answer Correct Answer: B) Borrow money. 12. Good budget principles Dr. Puey Ungphakorn offers in many ways. But which one is not? A) Principles of coordination of benefits (Interest). B) Principles of Justice (Equity). C) Principles of Foresight. D) Principles of Utility (Utility). Show Answer Correct Answer: A) Principles of coordination of benefits (Interest). 13. INPUT-OUTPUT AND IMPACT IS REPRESENTING A) MODIFIED BUDGETING SYSTEM. B) OUTCOME BASE BUDGETING SYSTEM. C) TRADITIONAL BUDGETING SYSTEM. D) PROGRAMME PERFORMANCE BUDGETING SYSTEM . Show Answer Correct Answer: D) PROGRAMME PERFORMANCE BUDGETING SYSTEM . 14. The government withdraws its investment from its own industries.This is called A) Public investment. B) Revenue investment. C) Disinvestment. D) Capital investment. Show Answer Correct Answer: C) Disinvestment. 15. Scope of public finance includes A) Public revenue. B) Public debt. C) Public expenditure. D) All the options. Show Answer Correct Answer: D) All the options. 16. Irredeemable debt is known as ..... A) Perpectual debt. B) Unfunded. C) Compulsory. D) Funded. Show Answer Correct Answer: A) Perpectual debt. 17. Which is the main point on the basis of which public finance can be separated from private finance: A) Borrowings. B) Secrecy. C) Price policy. D) Elasticity in income. Show Answer Correct Answer: B) Secrecy. 18. What tax does the Customs Tariff correspond to? A) Customs duty. B) VAT. C) Excise tax. D) Internal Revenue Tax. Show Answer Correct Answer: A) Customs duty. 19. Which of the following is clearly inversely related? A) Money supply and inflation. B) Unemployment and interest rates. C) Money supply and interest rates. D) Exchange rate and unemployment. Show Answer Correct Answer: C) Money supply and interest rates. 20. These represent marketing, general, and administrative expenses. A) OTHER EXPENSES. B) OPERATING EXPENSES. Show Answer Correct Answer: B) OPERATING EXPENSES. 21. State enterprises correspond to which of the following in English? A) Public Enterprise. B) Public Government. C) Business Government. D) State Mechanism. Show Answer Correct Answer: A) Public Enterprise. 22. A zero Budget is also known as A) Deficit budget. B) Limited budget. C) Surplus budget. D) Balanced budget. Show Answer Correct Answer: D) Balanced budget. 23. Which of the following is the primary objective of public finance? A) Maximize economic growth. B) Maximize social welfare. C) Maximize shareholder wealth. D) Maximize profits for businesses. Show Answer Correct Answer: B) Maximize social welfare. 24. What is the total budget for fiscal year 2022? A) 3.25 trillion baht. B) 3.1 trillion baht. C) 3.4 trillion baht. D) 3.3 trillion baht. Show Answer Correct Answer: B) 3.1 trillion baht. 25. The loan obtained from citizens of the country, banks, financial institutions and industries is calleda) External debtb) Foreign debtc) Internal debtd) None of the aboveAnswer:c) Internal debt A) External debt. B) Foreign debt. C) Internal debt. D) None of the above. Show Answer Correct Answer: C) Internal debt. 26. Which statement is wrong? A) Fees is the reward collected for the government'sservices. B) Fines and penalties are punishments for violating thelaws. C) Grants are the financial aid provided by onegovernment or organisations for meeting a specificobjective. D) Individual receive interest for loans given tovarious enterprises, agencies and countries. Show Answer Correct Answer: D) Individual receive interest for loans given tovarious enterprises, agencies and countries. 27. 1-The roles of government are ..... A) *to correct market failure. B) Solving economic problems. C) *to raise funds and provide basic public goods. D) All of the above. Show Answer Correct Answer: D) All of the above. 28. This concept indicates that money increases in value with the passing of time. A) TIME VALUE OF MONEY. B) MAXIMIZING NET PRESENT WORTH. Show Answer Correct Answer: A) TIME VALUE OF MONEY. 29. The vast majority of trust fund revenues pay for? A) Food and Agriculture. B) Social Security and Medicare. C) Education. D) Energy and Environment. Show Answer Correct Answer: B) Social Security and Medicare. 30. Which of the following types of income is exempt from tax? A) Salary. B) Dividends received from capital contribution to purchase shares. C) Interest earned on deposit from the bank. D) Income from operating activities. Show Answer Correct Answer: C) Interest earned on deposit from the bank. ← PreviousNext →Related QuizzesFinance QuizzesPublic Finance Quiz 1Public Finance Quiz 2Public Finance Quiz 3Public Finance Quiz 4Public Finance Quiz 5Public Finance Quiz 6Public Finance Quiz 7Public Finance Quiz 9Public Finance Quiz 10 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books