Q. Which of the following is/are the main objectives of Fiscal Policy in India?
1. To maintain and achieve full employment
2. To maintain equilibrium in the Balance of Payments
3. To regulate magnitude of interest rates
Select the correct answer using the codes given below:
Answer: A
Notes:
Objectives of Fiscal Policy
- To maintain and achieve full employment
- To stabilize the price level
- To stabilize the growth rate of the economy
- To maintain equilibrium in the Balance of Payments
- To promote the economic development of underdeveloped countries
Source: Ramesh Singh
