Fiscal and Monetary Policy — Prelims Questions

Which of the following is NOT a quantitative tool of monetary policy in India?

Consider the following statements regarding the Fiscal Responsibility and Budget Management (FRBM) Act, 2003: 1. It mandates the Central Government to reduce the fiscal deficit to 3% of GDP. 2. It requires the government to present a Medium-Term Fiscal Policy Statement along with the Annual Financial Statement. 3. It aims to eliminate the revenue deficit by a specific target year. Which of the statements given above are correct?

Under which Article of the Indian Constitution is the Goods and Services Tax Council constituted?

Which of the following statements best describes the 'crowding out effect' in the context of fiscal policy?

With reference to the Reserve Bank of India (RBI), consider the following statements: 1. The RBI acts as a banker to the Government of India. 2. The RBI formulates and implements monetary policy. 3. The RBI is responsible for the custody of the Consolidated Fund of India. Which of the statements given above are correct?