Question : The government's borrowings from the public are known as ____________.
Option 1: Revenue receipts
Option 2: Capital receipts
Option 3: Revenue expenditure
Option 4: Capital expenditure
Correct Answer: Capital receipts
Solution : The correct answer is (B) Capital receipts.
Capital receipts refer to the funds raised by the government through borrowing, disinvestment of public assets, or other forms of capital inflows. When the government borrows money from the public, it issues bonds, treasury bills, or other debt instruments to raise capital. This borrowing increases the government's liabilities and leads to the accumulation of public debt.
Revenue receipts, on the other hand, refer to the government's regular income sources, such as taxes, non-tax revenues, grants, and other revenue inflows.
Revenue expenditure refers to the government's spending on day-to-day expenses and current obligations, while capital expenditure refers to the government's spending on long-term investments and assets.
Question : The dividends received by the government from Public Sector Undertakings (PSUs) are ________.
Option 1: capital expenditure
Option 2: capital receipts
Option 3: non-tax revenue receipts
Option 4: tax revenue receipts
Question : The revenue deficit is calculated as ____________ minus revenue receipts.
Option 1: Total expenditure
Option 3: Capital expenditure
Option 4: Fiscal deficit
Question : The government's fiscal deficit can be reduced by ____________.
Option 1: Increasing revenue expenditure
Option 2: Decreasing capital receipts
Option 3: Controlling non-plan expenditure
Option 4: Expanding borrowings
Question : Salaries, pension, interest, etc are the examples of _____________.
Option 1: Capital receipts
Option 2: Capital expenditure
Option 3: Revenue receipts
Option 4: Revenue expenditure.
Question : Non-tax revenue is part of ______.
Option 1: Revenue expenditure
Option 2: Revenue receipts
Option 4: Capital receipts
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