ele ted s 23.3
5. Consider the following statement— 2. If the income tax level is set below this
level, raising taxes will increase tax
“Most of the world’s poor people earn their
living from agriculture, so if we knew the
economics of agriculture, we would know 3. If the income tax level is set above this
much of economics of being poor”. level, then lowering taxes will increase
Which of the following document has used
the above-given saying of the Economics Select the incorrect statements using the
Nobel Laureate Theodore Schultz? code given below:
(a) Food and Agriculture Organisation (a) 1 and 2
Report- 2017 (UNO) (b) 2 and 3
(b) Economic Survey 2015-16 (GoI) (c) 1 and 3
(c) Union Budget 2017-18 (GoI) (d) 1, 2 and 3
(d) World Development Report-2016 8. Consider the following statements about
(World Bank) the ‘insurance repository system’, recently
6. Consider the following statements regarding introduced in India
the ‘Taylor Rule’. 1. Insurance policies will be held in
1. A rule that suggests appropriate electronic form.
adjustments to interest rates, based 2. This will provide speed as well as
on various economic factors such as accuracy in revisions and changes in
inflation and employment rate. the policies.
2. The rule indicates that if inflation 3. IRDA has given licences to five firms
or employment rates are higher to function as insurance repositories.
than desired, interest rates should 4. Repositories are expected to cut
be increased in response to these down the management cost of each
conditions, and the opposite action insurance policy to almost one-fifth of
should be taken under the opposite the present cost.
conditions. Select the correct statements using the code
Select the incorrect statement/statements given below:
using the code given below: (a) 1, 2 and 3
(a) Only 1 (b) 2, 3 and 4
(b) Only 2 (c) 1, 3 and 4
(c) Both 1 and 2 (d) 1, 2, 3 and 4
(d) None of the above 9. Consider the following statements about
7. Consider the following statements about the idea of ‘inclusive growth’.
the ‘Laffer Curve’. 1. The idea of ‘inclusive growth’ entered
1. This is a curve which supposes that for into the domain of planning with the
a given economy there is an optimal Eleventh Plan.
income tax level to maximise tax 2. This is not only about economics but
revenues. also about ‘social’ inclusion.