Tag: fiscal deficit

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How do sovereign credit ratings affect a country’s cost of borrowing? Evaluate their wider implications for domestic investment and economic growth.

Topic: Indian Economy and issues relating to planning, mobilization of resources, growth, development and employment. Q6. How do sovereign credit ratings affect a country’s cost of borrowing? Evaluate their wider implications for domestic investment and economic growth. (10 M) Difficulty Level: Medium Reference: IE Why the question The economic significance of sovereign credit ratings amid …

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Discuss the significance of surplus transfers by the Reserve Bank of India in the contemporary fiscal framework. Analyse their impact on monetary-fiscal relations.

Topic: Indian Economy and issues relating to planning, mobilization of resources Q6. Discuss the significance of surplus transfers by the Reserve Bank of India in the contemporary fiscal framework. Analyse their impact on monetary-fiscal relations. (10 M) Difficulty Level: Difficult Reference: TH Why the question The record surplus transfer by the RBI to the Union …

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“Bond markets often act as silent referees of fiscal credibility.” Explain how government bond yields reflect investor confidence. Evaluate their significance for macroeconomic management.

Topic: Indian Economy and issues relating to planning, mobilization of resources. Q6. “Bond markets often act as silent referees of fiscal credibility.” Explain how government bond yields reflect investor confidence. Evaluate their significance for macroeconomic management. (10 M) Difficulty Level: Difficult Reference: IE Why the question Government bond yields are increasingly influencing fiscal policy, monetary …

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Analyse the economic and fiscal implications of rising agricultural subsidies in India. How do they affect long-term development priorities?

Topic: Issues related to direct and indirect farm subsidies and minimum support prices; Q6. Analyse the economic and fiscal implications of rising agricultural subsidies in India. How do they affect long-term development priorities? (10 M) Difficulty Level: Medium Reference: IE Why the question Due to rising concerns regarding the growing fiscal burden of agricultural subsidies …

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Discuss the implications of a front-loaded fiscal deficit on macroeconomic stability. How does it affect expenditure prioritisation during the rest of the fiscal year? Evaluate policy options to smoothen deficit distribution.

Topic: Indian Economy and issues relating to planning, mobilization of resources, growth, development and employment. Q5. Discuss the implications of a front-loaded fiscal deficit on macroeconomic stability. How does it affect expenditure prioritisation during the rest of the fiscal year? Evaluate policy options to smoothen deficit distribution. (15 M) Difficulty Level: Medium Reference: TH Why …

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Debt-to-GDP Ratio

Context: The Union Government has announced a shift from fiscal deficit to debt-to-GDP ratio as the primary fiscal anchor from FY 2026-27, targeting a 50±1% ratio by 2031. About Debt-to-GDP Ratio: It represents the proportion of a country’s total debt to its GDP, indicating economic stability and repayment capacity. Formula: What it represents? A higher …

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FRBMA has taken concrete steps towards intergenerational equity in fiscal management and long-term macro-economic stability by removing fiscal impediments in the effective conduct of the monetary policy and prudential debt management. Critically Examine.

  Topic: Indian Economy and issues relating to planning, mobilization of resources, growth, development and employment 4. FRBMA has taken concrete steps towards intergenerational equity in fiscal management and long-term macro-economic stability by removing fiscal impediments in the effective conduct of the monetary policy and prudential debt management. Critically Examine. (250 words) Difficulty level: Tough …

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What are revenue, fiscal and primary deficits? Examine the impact of fiscal deficit on the Indian Economy.

  Topic: Indian Economy and issues relating to planning, mobilization of resources, growth, development and employment 3. What are revenue, fiscal and primary deficits? Examine the impact of fiscal deficit on the Indian Economy. Difficulty level: Easy Reference: Instapedia Why the question: The question is part of the static syllabus of General studies paper – …

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How does fiscal deficit impact the Indian economy? Suggest measures to overcome the fiscal deficit created by the impact of the pandemic.

Topic: Government Budgeting. 5. How does fiscal deficit impact the Indian economy? Suggest measures to overcome the fiscal deficit created by the impact of the pandemic. (250 words) Difficulty level: Easy. Reference: Indian Express Why the question: The last budget had presented a roadmap for fiscal consolidation, projecting to bring down the fiscal deficit from …

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THE UNION BUDGET (GENERAL) 2012-2013 – HIGHLIGHTS (PDF)

BUDGET SPEECH click here (pdf, 234KB) HIGHLIGHTS Budget identifies five objectives relating to  growth recovery, private investment, supply bottlenecks, malnutrition and governance matters GDP growth to be 7.6 per cent (+ 0.25 percent) during 2012-13 Amendment to the FRBM Act proposed  as part of Finance Bill.  New concepts of “Effective Revenue Deficit” and “Medium Term …

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