The budget serves as a crucial policy tool for governments to ___ and ___ a country's economic priorities.

Regulate and reshape

Describe the three main stages involved in the budgetary process.

True or False: The Rajya Sabha has the power to vote on the demands for grants.

False. The Rajya Sabha can discuss the budget but cannot vote on the demands for grants.

What is the significance of the Finance Bill in the budgetary process?

The Finance Bill outlines the government's proposals for imposing, abolishing, altering, or regulating taxes.

What does the term 'fiscal deficit' indicate in government budgeting?

Fiscal deficit indicates budget shortfall.

• Government spends more than income.

• Leads to increased borrowing needs.

• Affects overall economic stability.

True or False: The Consolidated Fund of India includes all revenues received, loans raised, and money received in repayment of loans.

True.

What is the purpose of the Guillotine procedure in the Lok Sabha?

The Guillotine concludes discussions efficiently.

• Speeds up legislative process.

• Ensures timely voting on grants.

• Reduces delays in parliamentary procedures.

Fill in the blanks: The Department of Expenditure oversees the public financial management system in the central government and ___ finances.

State

How does public debt management contribute to economic growth?

Effective public debt management ensures that borrowed funds are used productively, which can stimulate economic growth and enhance societal welfare.

What are the pillars of the public debt management strategy?

The pillars are low cost of borrowing, risk mitigation, and market development.

Identify the two types of budgets based on expenditure and revenue alignment.

Balanced Budget and Unbalanced Budget.