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प्रश्न
Explain clearly tour ways by which the state can promote economic growth and development.
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उत्तर
Role of State in Economic Development:
- The provision of economic infrastructure is mainly the government's responsibility, which is essential for economic development.
- Capital formation is an essential condition for economic development. The state can use its fiscal and monetary policy to generate resources for capital formation. In our country, public sector investment in industries and expenditure on infrastructure has led to huge capital formation.
- Basic and heavy goods industries require huge investment and have a long gestation period. The private sector is reluctant to invest in the development of these industries, but our government has established such industries.
- Economic development in India would be incomplete without agricultural development. The government can promote agricultural development by providing various facilities and incentives to the agricultural sector.
संबंधित प्रश्न
Fiscal policy means public expenditure and tax policy of the government.
Match the following and select the correct option:
| Column A | Column B | ||
| (i) | Taxes imposed on income and wealth | A. | Regressive |
| (ii) | Taxes imposed on goods and services | B. | Progressive |
| (iii) | A tax system where the rate of tax decreases with increase income | C. | Direct taxes |
| (iv) | A tax system where the rate of tax increases as income increase | D. | Indirect taxes |
Which of these taxes is most likely to be progressive?
Which of the following taxes generate civic consciousness among people?
'The role of the State is important in developing the economic infrastructure of a developing economy'. Give two reasons to support your answer.
What is meant by shifting of tax burden?
Classify the following type of tax into direct and indirect taxes:
Income tax
Briefly explain why direct taxes foster civic consciousness among people.
Explain how indirect taxes can be inflationary.
Define the following term:
Fiscal deficit
