Economics · Public Finance
Which of the following statements is/are correct regarding a functional fiscal policy approach? (A) The state should assume a passive role in the economic affairs of the country. (B) The state should assume an active role in the economic affairs of the country. (C) The budget must always be balanced. (D) The government should incur public debt or run a surplus during inflation to manage demand.
Verified Solution4 OptionsUpdated: October 2026👁️1 View
Share:
- 1(B) and (D) are correct✓
- 2(C) and (D) are correct
- 3(B) and (C) are correct
- 4(A) and (B) are correct
Correct answer
(B) and (D) are correct
Download Single Question PDF
Save this question and verified answer as a clean study sheet with live clickable link.
👥
Share with Friends & Study Groups
Challenge your peer aspirants on WhatsApp or Telegram to solve this question!
Online Test Series
Preparing for Economics?
Practice full-length Economics mock tests with real exam timers, instant score analysis, and all-India ranking.
Chapter Practice
Practice Public Finance MCQs →Want more practice questions on Public Finance?
Solve complete topic-wise tests with detailed solutions on GkGet.
Related Practice Questions
Recommended practice questions in Economics · Public Finance