Question : The intervention of the government whether to expand demand or reduce it constitutes the ___________.
Option 1: speculative function
Option 2: redistribution function
Option 3: stabilisation function
Option 4: transaction function
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Correct Answer: stabilisation function
Solution : The correct answer is the stabilisation function .
One of the aims that governments attempt to attain by manipulation of fiscal and monetary policy is economic stabilisation (e.g., full employment, inflation management and an equitable balance of payments). Restriction conditions may be required in such cases to decrease demand. The government's intervention, whether to increase or decrease demand, is the stabilisation function.
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Question : Which of the following functions of the government budget is associated with the distribution of income?
I. Allocation function
II. Redistribution function
Question : A motion that seeks to reduce the amount of demand represented by the government to Re. 1 is known as:
Question : The demand for labour is called
Question : The demand for the commodity is direct but the demand for a factor of production is called a:
Question : Select the INCORRECTLY spelt word in the following sentence.
The outcome of the survey was a critical intervention to the questionaire prepared by Suraj and his committee.
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