The term 'Invisible Trade' in the balance of payments refers to:
A. Only foreign direct investment
B. Only capital transfers
C. Trade in goods only
D. Trade in services, income and transfers
Answer: Option D
Solution (By JKSSB Mock Tests)
Invisible trade (or invisibles) includes trade in services (such as tourism, software, transportation), income (interest, dividends) and unilateral transfers.
Explanation:
A progressive tax is one where the tax rate increases with the increase in the taxable amount. Personal income tax in India is progressive with different slabs.
Explanation:
In a traditional economy, economic decisions regarding production and distribution are based on customs, traditions and hereditary practices.
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