This quiz works best with JavaScript enabled. Home > Public Finance > Public Finance – Quiz 14 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Public Finance Quiz 14 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Which is not a method for establishing a state enterprise? A) State enterprises established according to Cabinet resolutions. B) State enterprises are established by Royal Decree. C) State enterprises established by enactment of the Act. D) State enterprises established by Royal Decree. Show Answer Correct Answer: D) State enterprises established by Royal Decree. 2. How many people are there in the Monetary Policy Committee (MPC)? A) 7 people. B) 6 people. C) 5 people. D) 4 people. Show Answer Correct Answer: A) 7 people. 3. Money paid by the government to sb who doesn't work A) VAT. B) Inheritance tax. C) Unemployment benefit. D) Rebate. Show Answer Correct Answer: C) Unemployment benefit. 4. When the House & Senate pass different versions of a budget, they must meet in a ..... to create a unified plan to vote on and submit to the President. A) Bicameral conference committee. B) Joint session. C) Rules Committee. D) Filibuster. Show Answer Correct Answer: A) Bicameral conference committee. 5. The value of money is its purchasing power A) True. B) False. Show Answer Correct Answer: A) True. 6. Budget consists of A) Surplus budget. B) Deficit budget. C) Balanced budget. D) All of these. Show Answer Correct Answer: D) All of these. 7. ..... is the vehicle by which allocation policy decisions are established A) Allotment process. B) Development process. C) Budget process. D) Stabilization process. Show Answer Correct Answer: C) Budget process. 8. How come, even though that there is more than enough money in the world to finance the SDGs, there is an apparent lack of funding for financing the SDGs of developing countries: A) Actually, the assumption is wrong, there is not enough money in the world to finance the SDGs. B) Because developed countries are fed up giving financial aid to developing countries. C) Because the world's income and wealth are concentrated in the hands of the few. D) Because developing countries are 100% corrupt, hence, there is always a lack of funds. E) Because developing countries in the first place are poor, they have no available funding. Show Answer Correct Answer: C) Because the world's income and wealth are concentrated in the hands of the few. 9. He define public finance as the provision, distribution and governance of resources which are required to perform the governmental functions A) Harley Leist. B) Harley Charles. Show Answer Correct Answer: A) Harley Leist. 10. Every year the Economic Survey is compiled by: A) Office of Economic Advisor. B) Central Statistical Office (CSO). C) National Sample Survey Organisation (NSSO). D) Department of Economic Affairs. Show Answer Correct Answer: D) Department of Economic Affairs. 11. "Fiscal policy in which the government increases government spending by creating a deficit budget. and reduce the amount of tax collection The implementation of such fiscal policy causes the economic system to expand. Employment will be created and national income will increase." Which of the following is most true? A) Contractionary fiscal policy. B) Expansionary fiscal policy. C) Deliberate fiscal policy. D) Automatically stabilized fiscal policy. Show Answer Correct Answer: B) Expansionary fiscal policy. 12. Which of the following descriptions is correct? "It's using various tools to make the money supply smaller. It is often used in cases where the economic system has problems such as inflation, the economy is expanding too much, or people are spending more than the production capacity of the economy." A) Easy monetary policy. B) Expansionary monetary policy. C) Restrictive monetary policy. D) Restrictive fiscal policy. Show Answer Correct Answer: C) Restrictive monetary policy. 13. What are the important duties of the central bank to financial institutions and the banking system? A) Serve as a banker for commercial banks. B) He determines all types of interest rates. C) Lending to the public and the general public. D) It is the last source of loan. Show Answer Correct Answer: D) It is the last source of loan. 14. A technique of reducing or forgoing one or more desirable outcomes in exchange for increasing or obtaining other desirable outcomes in order to maximize the total return or effectiveness under given circumstances. A) Trade-off. B) Opportunity cost. C) PPF. D) Scarcity. Show Answer Correct Answer: A) Trade-off. 15. Which of the following is an element of public revenue? A) Grants. B) Loans. C) Taxes. D) All of the above. Show Answer Correct Answer: C) Taxes. 16. Which statement is correct regarding the budget of the Ministry of Defense and the budget of the Ministry of Public Health? A) The Ministry of Defense budget in fiscal year 2021 is 6.6 percent. B) The Ministry of Defense budget in fiscal year 2022 is smaller than the Ministry of Public Health budget. C) The Ministry of Public Health budget in fiscal year 2021 is larger than the Ministry of Defense budget. D) The Ministry of Public Health budget is smaller than the Ministry of Defense budget. Show Answer Correct Answer: D) The Ministry of Public Health budget is smaller than the Ministry of Defense budget. 17. When the average tax rate declines as income increases A) Progressive tax. B) Regressive tax. C) All are correct. D) Proportional tax. Show Answer Correct Answer: B) Regressive tax. 18. Tax on imported goods is an example of A) Direct tax. B) Indirect tax. C) Company tax. D) Personal income tax. Show Answer Correct Answer: B) Indirect tax. 19. What is the example of transfer payment? A) Unemployment benefits. B) Defense. C) Materials. D) None of above. Show Answer Correct Answer: A) Unemployment benefits. 20. It has to be paid on goods imported from other contries A) Corporation tax. B) Income tax. C) Excise duties. D) Fee. Show Answer Correct Answer: C) Excise duties. ← PreviousNext →Related QuizzesPublic Finance Quiz 1Public Finance Quiz 2Public Finance Quiz 3Public Finance Quiz 4Public Finance Quiz 5Public Finance Quiz 6Public Finance Quiz 7Public Finance Quiz 8Public Finance Quiz 9Public Finance Quiz 10 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books