Q. Which of the following area/s was/were given more emphasis during ninth plan?
1.Reduction in the revenue deficit
2.Cutting down subsidies
3.Collection of user charges on economic services
How many of the statements given above are correct?

[A] Only one

[B] Only two

[C] Only three

[D] None

Answer: C
Notes:

Explanation: The issue of fiscal consolidation became a top priority of the governments for the first time (9th plan), which had its focus on the following related issues:

  • Sharp reduction in the revenue deficit of the government, including centre, states and the PSUs through a combination of improved revenue collections and control of in-essential expenditures;
  • Cutting down subsidies, collection of user charges on economic services (i.e., electricity, transportation, etc.), cutting down interest, wages, pension, PF, etc;
  • Decentralization of planning and implementation through greater reliance on states and the PRIs.

Source: Ramesh Singh

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