This quiz works best with JavaScript enabled. Home > Public Finance > Public Finance – Quiz 3 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Public Finance Quiz 3 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Who dominated the international lending in the 19th Century? A) The Dutch. B) The French. C) The English. D) The Italians. Show Answer Correct Answer: C) The English. 2. We have ..... taxation systems A) 4. B) 2. C) 5. D) 3. Show Answer Correct Answer: D) 3. 3. Which statement correctly describes the components of public debt? A) Long-term national development plan. B) Borrowing to create growth. C) The difference between income and expenses. D) Government obligations resulting from borrowing. Show Answer Correct Answer: D) Government obligations resulting from borrowing. 4. This category deals with the area of general finance not classified under public finance A) PUBLIC FINANCE. B) PRIVATE FINANCE. Show Answer Correct Answer: B) PRIVATE FINANCE. 5. When someone dies, their heir has to pay A) Income tax. B) Inheritance tax. C) VAT. D) Rebate. Show Answer Correct Answer: B) Inheritance tax. 6. The government increase the personal income tax rates that discourage household spending. This is an example of ..... A) An expansionary fiscal policy. B) An inflationary fiscal policy. C) A contractionary fiscal policy. D) A monetary policy. Show Answer Correct Answer: C) A contractionary fiscal policy. 7. What is the role of the central bank in public finance? A) To collect taxes on behalf of the government. B) To regulate the money supply and interest rates. C) To regulate the money supply and interest rates. D) To set tax rates. Show Answer Correct Answer: B) To regulate the money supply and interest rates. 8. The ..... is detailed investigation and analysis of a proposed business venture to determine its viability. A) FEASIBILITY STUDY. B) FINANCIAL STATEMENT. Show Answer Correct Answer: A) FEASIBILITY STUDY. 9. The compulsory payment by citizens to the government without expecting any direct benefit in return is called A) Tax. B) Revenue receipts. C) Public revenue. D) Net revenue. Show Answer Correct Answer: A) Tax. 10. 8-By using a mix of monetary and fiscal policies governments can control economic phenomena A) True. B) False. Show Answer Correct Answer: A) True. 11. ..... refers to sustained increase in a country's output of goods and services, or more precisely product per capita over a long period of time. A) Economic Growth. B) Economic Development. C) Economics. D) Public Goods. Show Answer Correct Answer: A) Economic Growth. 12. Public Expenditures of the government include: A) A-Money spent on infrastructure. B) A-Money spent on private enterprises. C) A-Money spent on healthcare. D) A and c. Show Answer Correct Answer: D) A and c. 13. An example for Indirect tax is A) Corporate tax. B) GST. C) Personal income tax. D) Stamp duty. Show Answer Correct Answer: B) GST. 14. Who issues the guidelines on the release and utilization of funds? A) Senate. B) House of Representatives. C) Office of the President. D) Department of Budget and Management. Show Answer Correct Answer: D) Department of Budget and Management. 15. When the average tax rate increases as income increases (the more you make, the more you pay)! A) Progressive tax. B) Regressive tax. C) All are correct. D) Proportional tax. Show Answer Correct Answer: A) Progressive tax. 16. The case of a sharply stagnant economy corresponds to what type of aggregate demand? A) Aggregate demand in the economy is too high. B) Aggregate demand in the economy is too little. C) Aggregate demand in the economy is too tight. D) Aggregate demand in the economy is too tight. Show Answer Correct Answer: B) Aggregate demand in the economy is too little. 17. OBJECTIVE IS ONE OF THE IMPORTANT CHARACTERISTICS IN PREPARING BUDGET A) YES. B) NO . Show Answer Correct Answer: A) YES. 18. Corporate income tax ..... A) In the long run, some of the tax may be borne by workers through lower wages. B) In the short run the full tax falls on owners of the businesses. C) All of the choice. D) None of above. Show Answer Correct Answer: C) All of the choice. 19. PUBLIC expenditure refers to expenditures made by ..... A) Private firms. B) Public authorities. C) NGOs. D) International agencies. Show Answer Correct Answer: B) Public authorities. 20. The government of General Prayut Chan-o-cha has used the power from the State Fiscal Discipline Act 2018 to expand the public debt ceiling. A) Section 47. B) Section 48. C) Section 49. D) Section 50. Show Answer Correct Answer: D) Section 50. ← PreviousNext →Related QuizzesPublic Finance Quiz 1Public Finance Quiz 2Public Finance Quiz 4Public Finance Quiz 5Public Finance Quiz 6Public Finance Quiz 7Public Finance Quiz 8Public Finance Quiz 9Public Finance Quiz 10Public Finance Quiz 11 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books