Start practising
Practice mode Monetary, Fiscal And Incomes Policy, And Inflation

Property tax, wealth tax, inheritance tax and income taxes such as personal and corporate tax are examples of which kind of tax?

Correct answer A. Direct taxes

Explanation

Direct taxes are levied on the income or wealth of the person or firm that pays them and cannot easily be passed on, unlike indirect taxes on spending.

Report a problem

Answer checked How we write and check questions

Tip: press A, B, C or D to answer, and N for the next question.

Advertisement

More Monetary, Fiscal And Incomes Policy, And Inflation questions

See all
Question 02 Monetary, Fiscal And Incomes Policy, And Inflation

Central banks in developing countries (LDCs) generally have less effect on expenditure and output than in developed countries because of: I. an externally dependent banking system; II. a poorly developed securities market; III. a low share of demand deposits in the money supply; IV. investment and employment being relatively insensitive to monetary policy. Which apply?

Correct answer B. All of I, II, III and IV

Open question
Advertisement
Question 03 Monetary, Fiscal And Incomes Policy, And Inflation

Which of the following are costs of inflation: I. it weakens the development of credit and capital markets; II. it distorts business, especially investment, behaviour; III. it raises the price of foreign goods relative to domestic goods; IV. it imposes a tax on holders of money?

Correct answer B. I, II and IV only

Open question
Question 04 Monetary, Fiscal And Incomes Policy, And Inflation

Under financial repression, which statements are true: I. banks ration loans by non-price means; II. banks face pressure to lend to the politically connected; III. banks charge a high premium on foreign investments; IV. banks depend on foreign banks to set interest rates?

Correct answer D. I and II only

Open question

Discussion

Have a question about this answer?

Your email address will not be published. Required fields are marked *

Links and website addresses are not allowed in comments.