12th Class Economics Government Budget And The Economy / सरकार का बजट और अर्थव्यवस्था Question Bank Assertion and Reason - Government Budget and Economy

  • question_answer
    Assertion [A] Government imposes heavy taxes on alchohol and gives subsidy of LPG gas.
    Reason [R] The government undertakes such a measure to ensure economic stability in the country.

    A) Both Assertion [A] and Reason [R] are correct and Reason [R] is the correct explanation of Assertion [A].

    B) Both Assertion [A] and Reason [R] are correct, but Reason [R] is not the correct explanation of Assertion [A].

    C) Assertion [A] is correct, but Reason [R] is incorrect.

    D) Both Assertion [A] and Reason [R] are incorrect.

    Correct Answer: C

    Solution :

    Government through its fiscal policy ensures equality of income by taxing higher income group and giving subsidy to lower income group.


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