List of top Economics Questions on Government Budgeting asked in CBSE CLASS XII

Identify, which of the following is not to be considered while estimating Revenue Deficit of a country.

"On the basis of the given image, explain the steps which may be taken by the Government of India to control the indicated macroeconomic issue."

Two friends Ramesh (a software engineer) and Pihu (a bakery owner) are discussing their contribution to the nation's economy through tax payments. Ramesh earns 8,00,000 per year, which makes him liable to pay income tax. Pihu pays Goods and Service Tax (GST) on the sale of cakes and pastries. On the basis of the given text, identify whether Ramesh is paying a direct tax or an indirect tax. Explain valid differences between the two types of taxes.
"The government generally levies higher Goods and Services Tax (GST) on socially undesirable products like cigarettes, tobacco, liquor etc." Identify and explain the indicated government budget objective in the above statement.
The budget under which the government may spend an amount equal to the revenue it collects is referred to as a ...... Budget.
“Government Budget can be a useful instrument in reducing inequalities in the distribution of income and wealth in an economy.” Do you agree with the given statement? Present valid arguments in favour of your answer.