In a situation of income inequality, give two ways in which Fiscal Pol

1.	In a situation of income inequality, give two ways in which Fiscal Policy can be used to bring about equity.
Answer» In a situation of income inequality two ways in which Fiscal Policy can be used to bring about equity are: (i) The types of income and other taxes designed by the Govt should be such that an equitable distribution of the society’s income and wealth occurs. (ii) The regional balance should be maintained. If particular regards of the country are not taken into account in the process of development, this will accentuate the problem of inequality’ of income distribution in a society. The public projects must be distributed over all the regions in the country is a fairway.

In a situation of income inequality, give two ways in which Fiscal Policy can be used to bring about equity.

Answer»

In a situation of income inequality two ways in which Fiscal Policy can be used to bring about equity are:

(i) The types of income and other taxes designed by the Govt should be such that an equitable distribution of the society’s income and wealth occurs.

(ii) The regional balance should be maintained. If particular regards of the country are not taken into account in the process of development, this will accentuate the problem of inequality’ of income distribution in a society. The public projects must be distributed over all the regions in the country is a fairway.

Discussion

No Comment Found

Related InterviewSolutions

A plant is kept in a dark cupboard for about 48 hours before conducting any experiment on photosynthesis to :(A) Remove starch from the plant. (B) Ensure that starch is not translocated from the leaves. (C) Remove chlorophyll from the leaf of the plant. (D) Remove starch from the experimental leaf.
The producer of Lime Fresh’ tea introduces ‘Buy one Get one’ scheme on all the products of ‘Lime Fresh’. Identify the promotional strategy’ used by the producer. State any one objective that could be met by this strategy.
A stringed musical instrument, such as the sitar,is provided with a number of wires of different thicknesses. explain the reason for this.
Mention whether the following would result in inflow, outflow or no flow of cash :(i) Issue of fully paid Bonus Shares (ii) Cash withdrawn from Bank
State with reason whether the following would result in inflow, outflow or no flow of cash :(i) Charging depreciation on furniture. (ii) Cash withdrawn for bank for office use.
Give four points of anatomical differences between a monocot stem and a dicot stem.
State the conditions required for total internal reflection of light to take place.
State the conditions required for total internal reflection of light to take place.
(i) When does a ray of light falling on a lens pass through it undeviated ? (ii) Which lens can produce a real and inverted image of an object ?
When acoustic resonance takes place a loud sound is heard. Why does this happen ? Explain.