Practicing Success

Target Exam

CUET

Subject

Business Studies

Chapter

Business Environment

Question:

How have public sector undertakings responded to the decline in budgetary support from the central government?

Options:

By reducing efficiency

By generating their own resources

By relying on external funding

By increasing government dependency

Correct Answer:

By generating their own resources

Explanation:

The central government’s budgetary support for financing the public sector outlays has declined over the years. The public sector undertakings have realised that, in order to survive and grow, they will have to be more efficient and generate their own resources for the purpose.