Question

Which of the following is not associated with fiscal policy?

Options

• Public revenue

• Public expenditure

• Public debt

• Open market operations

Answer 1

Open market operations

Explanation:

Open market operations are not a part of fiscal policy. Fiscal policy deals with government revenue, expenditure, and public debt, including tax collection, government spending, and borrowing. In contrast, open market operations belong to monetary policy and are carried out by the Reserve Bank of India (RBI) to regulate money supply and interest rates through the buying and selling of government securities.