10.

8

12.

13.
14.
15.
16.
3:
18.
19.

2 C 21241

. Estate duty is related to:
(a) Wealthtax. (b) Property.
(c) Death duty. (d) Expenditure tax.
. Who called maximum advantage as maximum aggregate welfare ?
(a) Dalton. (b) Adam Smith.
(൦) Pigou. (d) None of these.
. Introduction of MODVAT is related to :
(a) Local finance. (b) Federal finance.
(c) Long term fiscal policy. (d) None of these.
Tax is levied on income of corporations is called :
(a) Income tax. (b) Capital gains tax.
(c) Corporate income tax. (d) None of these.
Tax on agriculture is related to :
(a) Cost of service theory. (b) Principle of equity.
(€) Physiocratic theory. (d) None of these.
Functional finance is related to :
(a) Adam Smith. (b) A.P. Lerner.
(८) Pigou. (d) Dalton.

(12 x %=6 marks)
Part B (Very Short Answer Questions)

Answer any ten questions.
Each question carries 2 marks.

Write a note on long term Fiscal Policy.

What are the objectives of deficit financing ?
Explain productive and unproductive expenditure.
What is displacement effect ?

What are the characteristics of a tax ?

What is an indirect tax ?

Explain regressive taxation.