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(English Medium) ICSE Class 10 - CISCE Question Bank Solutions

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Monetary policy means regulation of money supply by the monetary authority.

[6] The State and Economic Development
Chapter: [6] The State and Economic Development
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Observe the relationship of the first pair of words and complete the second pair: 

Tax paid by person on whose it is imposed : Direct tax.

A tax is paid by some person and the final burden is born by some other person : ______.

[6] The State and Economic Development
Chapter: [6] The State and Economic Development
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The state can promote economic development by ______.

[6] The State and Economic Development
Chapter: [6] The State and Economic Development
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A policy under which the government uses its expenditure and revenue to produce desirable effect and avoid undesirable effects on the national income, production and employment. This defines ______.

[6] The State and Economic Development
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Identify the tax which is most likely to faster civic conciousness.

[6] The State and Economic Development
Chapter: [6] The State and Economic Development
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The following table indicates: 

Tax Base in ₹ Rate of tax in %
10,000 8
20,000 8
30,000 8
40,000 8
[6] The State and Economic Development
Chapter: [6] The State and Economic Development
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The major objective of monetary policy is ______.

[6] The State and Economic Development
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Which of these taxes is most likely to be progressive?

[6] The State and Economic Development
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The tax whose rate remains unchanged irrespective of the income of the taxpayer is called as ______.

[6] The State and Economic Development
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Wealth tax is an example of:

[6] The State and Economic Development
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Which of the statement is true for income tax?

[6] The State and Economic Development
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Which of the following taxes generate civic consciousness among people?

[6] The State and Economic Development
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Match the following:

Column I Column II
A. Direct tax (i) Tax rate increases with tax base
B. Indirect tax (ii) Tax rate remains constant
C. Proportional tax (iii) Imposed on goods and services
D. Progressive tax (iv) Impact and incidence lie on the same person
[6] The State and Economic Development
Chapter: [6] The State and Economic Development
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Match the following:

Column I Column II
A. Impact of tax (i) Price stability
B. Incidence of tax (ii) Simple to calculate
C. Objective of Monetary Policy (iii) Ultimate burden of tax
D. Proportional tax (iv) Original imposition of tax
[6] The State and Economic Development
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Read the following statements carefully and choose the correct alternative:

Assertion (A): Income tax is a direct tax.

Reason (R): GST is an indirect tax.

[6] The State and Economic Development
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Define fiscal policy.

[6] The State and Economic Development
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Name any two instruments of Fiscal Policy.

[6] The State and Economic Development
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How can tax be used as an instrument to bring about equitable distribution of wealth and income?

[6] The State and Economic Development
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State two objectives of fiscal policy.

[6] The State and Economic Development
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Distinguish between fiscal policy and monetary policy.

[6] The State and Economic Development
Chapter: [6] The State and Economic Development
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