Economy

1 question

• 2018 · Question 9 · Fiscal Policy

  Consider the following statements : 1. The Fiscal Responsibility and Budget Management (FRBM) Review Committee Report has recommended a debt to GDP ratio of 60% for the general (combined) government by 2023, comprising 40% for the Central Government and 20% for the State Governments. 2. The Central Government has domestic liabilities of 21% of GDP as compared to that of 49% of GDP of the State Governments. 3. As per the Constitution of India, it is mandatory for a State to take the Central Government’s consent for raising any loan if the former owes any outstanding liabilities to the latter. Which of the statements given above is/are correct ?

  Choose your answer

  (a)1 only(b)2 and 3 only(c)1 and 3 only(d)1, 2 and 3

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  Source: UPSC, Civil Services (Preliminary), General Studies Paper I (opens in a new tab)