Which of the following is a feature of the 'Modern Supply-Side Economics' emphasis? MCQ with Answer and Explanation

Which of the following is a feature of the 'Modern Supply-Side Economics' emphasis?
A. Complete neglect of incentives
B. Tax incentives and structural reforms to raise potential output and improve incentives to work, save and invest
C. Only monetary expansion
D. Only demand management through fiscal expansion
Answer: Option B
Solution (By JKSSB Mock Tests)
Supply-side approaches stress policies that expand the productive capacity of the economy by improving incentives, reducing distortions and raising the efficiency of resource allocation.

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Practice More Economy Set 1 Questions

Question #1
The 'Safeguard duty' is imposed under WTO rules to:
A. permanently ban imports
B. tax all exports
C. temporarily protect domestic industry from a sudden surge in imports
D. promote free trade

Correct Answer: Option C


Explanation:
Safeguard duty is a temporary measure to protect domestic industry from an import surge.

This question belongs to: Economy GK Economy Set 1
Question #2
In the context of international economics, 'Dumping' is considered:
A. A form of export promotion subsidy only
B. A tariff barrier
C. A fair trade practice
D. An unfair trade practice of selling below cost or domestic price in foreign markets

Correct Answer: Option D


Explanation:
Dumping involves selling a product in a foreign market at a price lower than the domestic price or below the cost of production, often subject to anti-dumping duties.

This question belongs to: Economy GK Economy Set 1
Question #3
The 'National Intellectual Property Rights Policy' was released in India in which year?
A. 2018
B. 2020
C. 2016
D. 2013

Correct Answer: Option C


Explanation:
The National IPR Policy was released in 2016.

This question belongs to: Economy GK Economy Set 1