Target Exam

CUET

Subject

Economics

Chapter

Macro Economics: Government Budget and Economy

Question:

"Government of India has recently implemented various measures (like cash transfers to senior citizens and widows)". The government is trying to achieve the objective of _______ using such measures.

Options:

Reallocation of resources

Regional equality

Redistribution of income

Economic instability

Correct Answer:

Redistribution of income

Explanation:

The correct answer is Option (3) → Redistribution of income

When the government provides cash transfers to senior citizens and widows, it is aiming to reduce income inequality by transferring money from the more well-off sections (through taxes) to the weaker sections of society. This is called redistribution of income. Such measures help promote social justice and economic equality.