A budgetary deficit means ?

Related Mcqs:

1. Fiscal deficit in the budget means ?

   A. Revenue deficit plus the net borrowings of the government
   B. Budgetary deficits plus the net borrowings of the government
   C. Capital deficit plus revenue deficit
   D. Primary deficit minus capital deficit

2. A current account deficit means that a country may ?

   A. reduce its stock of foreign assets
   B. increase its stock of foreign assets
   C. increases its savings
   D. increases its foreign currency reserves

3. What could a government do to correct the current account deficit ?

   A. Reduce the deficit on the balance of trade
   B. Reduce the repayment of loans
   C. Reduce the surplus on the capital account
   D. Reduce the volume of exports

4. Estimated income and plane for expenditure is called Budget. What is Budget deficit ?

   A. Less Public spending than amount of revenue corporation
   B. Balance between public spending and amount of revenue
   C. More public spending than amount of revenue
   D. None of them

5. Exchange rate of which of the following currencies falls because of persistent balance of payments deficit ?

   A. Gold currency
   B. Hard currency
   C. Silver currency
   D. Soft currency

6. A capital account surplus might be expected to cause a current account deficit because the associated ?

   A. capital outflow would cause the nation’s currency to depreciate contributing to a trade deficit
   B. capital inflow would cause the nation’s currency to depreciate contributing to a trade deficit
   C. capital inflow would cause the nation’s currency to appreciate contributing to a trade deficit
   D. capital outflow would cause the nation’s currency to appreciate contributing to a trade deficit

7. When a country has a trade deficit it ?

   A. purchases more stocks and bonds from the rest of the world than it sells
   B. purchases more goods from the rest of the world than it sells
   C. sells more goods to the rest of the world than it purchases
   D. sells more stocks and bonds to the rest of the world than it purchases

8. Which fixed exchange rates and no private capital flows, to correct a balance of payments deficit, the central bank will _______ and ________ ?

   A. buy foreign exchange, sell domestic currency
   B. sell foreign exchange buy domestic currency
   C. buy foreign exchange buy domestic currency
   D. sell foreign exchange sell domestic currency

9. Annual GNP growth of 6% poverty reduced by 1% point of the population Balance of payments deficit not in excess of $200 million For a planner, the above are ?

   A. achieved only through socialism
   B. target variables
   C. bound by soft budget
   D. recurrent expenditures

10. Which of the following groups would be most harmed by a UK government budget deficit ?

    A. Foreigners who wish to buy assets in the UK
    B. BAe Systems wishing to sell aircraft to Saudi Arabia
    C. UK residents wishing to buy foreign Produced cars
    D. Lenders of loanable funds