Practice Fiscal Measures - 5.6.2 | 5. Inflation | ICSE 10 Economics
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Fiscal Measures

5.6.2 - Fiscal Measures

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Practice Questions

Test your understanding with targeted questions

Question 1 Easy

What is public expenditure?

💡 Hint: Think about how the government supports public services.

Question 2 Easy

Why is controlling inflation important?

💡 Hint: Consider what happens when prices rise excessively.

4 more questions available

Interactive Quizzes

Quick quizzes to reinforce your learning

Question 1

Fiscal measures include which of the following?

Increasing public spending
Reducing public expenditure
Neither

💡 Hint: Think about the opposite action to what usually inflates prices.

Question 2

True or False: Increasing taxes can help control inflation.

True
False

💡 Hint: Taxes can either limit buying power or expand government resources.

1 more question available

Challenge Problems

Push your limits with advanced challenges

Challenge 1 Hard

Analyze a scenario where a government implements tax increases while reducing public spending. Predict the short-term and long-term effects on inflation.

💡 Hint: Consider how budget balance and consumer behavior interact.

Challenge 2 Hard

Propose a strategy for a government facing runaway inflation. Include recommendations regarding fiscal measures.

💡 Hint: Think about balancing spending and income without increasing debt.

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