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UPSC 2018 › Indian Economy › Fiscal Policy & Budget

1 question · 2018 · answers as per the UPSC key

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UPSC 2018 · Q9 · Indian Economy › Fiscal Policy & Budget · Save

Consider the following statements :

  1. The Fiscal Responsibility and Budget Management (FRBM) Review Committee Report has recommended a debt to GDP ratio of 60% for the general (combined) government by 2023, comprising 40% for the Central Government and 20% for the State Governments.
  2. The Central Government has domestic liabilities of 21% of GDP as compared to that of 49% of GDP of the State Governments.
  3. As per the Constitution of India, it is mandatory for a State to take the Central Government's consent for raising any loan if the former owes any outstanding liabilities to the latter.

Which of the statements given above is/are correct ?

(a) 1 only
(b) 2 and 3 only
(c) 1 and 3 only
(d) 1, 2 and 3
Show answer
Answer: (c) 1 and 3 only