Practicing Success
Practicing Success
CUET Preparation Today
| Article 112 of the Constitution of India requires the government to present before the Parliament a statement of estimated receipts and expenditures of the government in respect of every financial year. This financial year runs from 1 April to 31 March. This ‘Annual Financial Statement’ constitutes the main budget document of the government. Two types of budget were prepared every year. One the general budget also called as union budget. The other was the railway budget. The Union Cabinet had in 2016 decided to merge the Railway Budget with the General Budget, thus ending the 92-year-old tradition of having a separate Railway Budget. It was for the first time on 1 February, 2021 that the finance minister of the country Mrs. Nirmala Sitharaman presented the first digital budget. This move was aimed at a paperless Budget with a digital tabl.et completely replacing 'bahi khata' (a ledger wrapped in a red cloth) from which the fiancé minister read the budget. |
| Expenditure is made by government on public goods. Which of the following options suits best for the above statement? |
Public goods are rivalrous Public goods are non excludable Public goods are non rivalrous Both 2 and 3 |
| Both 2 and 3 |
| One person’s consumption of a good does not reduce the amount available for consumption for others and so several people can enjoy the benefits, that is, the consumption of many people is NOT ‘rivalrous’. In case of public goods, there is no feasible way of excluding anyone from enjoying the benefits of the good. That is why public goods are called non-excludable |
