India's fiscal deficit widens significantly due to increased Government spending on subsidies while tax revenue remains unchanged. Which one of the following is the most likely consequence?
Inflation will rise, interest rates may rise, and private investment may slow down
When the fiscal deficit widens mainly because of higher subsidy (unproductive/current) spending while tax revenue stays flat, the government must borrow more, which tends to push inflation upward and can raise interest rates. Such an inflationary, higher-interest-rate environment generally makes conditions less favourable for private investment, so private investment growth may slow rather than accelerate.
Which one of the following best explains the "crowding-in effect" observed in India?
The first Economic Survey of India was presented in ______.
As announced in the Union Budget of FY 2022, how many pilot projects are to be set up for coal gasification?
What is the approximate amount to be mobilised for the National Highways Network expansion as per the Union Budget 2022-23?
Which of the following budget was primarily focused on the I.T sector and promoting India as a major software hub?
What name did the Delhi government give to the annual financial statement "Budget" in the year 2021?