A zero-primary deficit indicates that: MCQ with Answer and Explanation

A zero-primary deficit indicates that:
A. total expenditure equals revenue receipts
B. there is no fiscal deficit
C. fiscal deficit equals interest payments
D. revenue deficit is zero
Answer: Option C
Solution (By JKSSB Mock Tests)
Primary deficit is fiscal deficit minus interest payments; zero primary deficit means fiscal deficit equals interest payments.

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Practice More Economy Set 1 Questions

Question #1
The concept of 'Social Reproduction' in feminist economics refers to:
A. Only market production of goods
B. The activities and processes that maintain and reproduce the labour force on a daily and intergenerational basis, often performed unpaid within households
C. Only the reproduction of capital
D. Only biological reproduction without social dimensions

Correct Answer: Option B


Explanation:
Social reproduction encompasses the unpaid and paid activities—care, domestic work, education, health—that reproduce people as social and economic beings on a daily and generational basis.

This question belongs to: Economy GK Economy Set 1
Question #2
Non-Banking Financial Companies are regulated by:
A. SEBI
B. Reserve Bank of India
C. IRDA
D. Ministry of Finance

Correct Answer: Option B


Explanation:
NBFCs are regulated by the Reserve Bank of India.

This question belongs to: Economy GK Economy Set 1
Question #3
The 'Finance Commission' recommends distribution of which tax proceeds between the Centre and states?
A. central excise duties only
B. Customs duties only
C. corporate tax only
D. net proceeds of divisible taxes

Correct Answer: Option D


Explanation:
The Finance Commission recommends distribution of net proceeds of divisible taxes between Centre and states.

This question belongs to: Economy GK Economy Set 1