Q328
Which of the following statements are true in context of fiscal policy? (i) Fiscal policy plays a key role in elevating the rate of capital formation both in the public and private sectors. (ii) Fiscal policy helps mobilize considerable amount of resources for financing its numerous projects through taxation. (iii) Fiscal policy helps in providing stimulus to elevate the savings rate. (iv) Fiscal policy gives adequate incentives to the private sector to expand its activities. (v) Fiscal policy aims to minimize the imbalance in the dispersal of income and wealth.
A.
(i), (iii) and (v)
B.
(i), (ii), (iii) and (v)
C.
(ii), (iii) and (v)
D.
(i), (ii), (iii), (iv) and (v)
AnswerAnswer: Option D
Solution
Answer: Option D
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