Commerce Exam > Commerce Videos > Economics CUET Preparation > Fiscal Policy and VAT
Fiscal Policy and VAT Video Lecture | Economics CUET Preparation - Commerce
|
172 videos|18 docs|76 tests
|
FAQs on Fiscal Policy and VAT Video Lecture - Economics CUET Preparation - Commerce
| 1. What is fiscal policy and how does it affect the economy? |  |
Ans. Fiscal policy refers to the government's decisions regarding taxation and spending to influence the economy. It involves the use of government revenue and expenditure to regulate economic activities, stabilize prices, promote growth, and maintain employment levels. By adjusting tax rates and government spending, fiscal policy aims to either stimulate or slow down economic activity.
| 2. What is VAT and how does it work in commerce? | |
Ans. VAT stands for Value Added Tax, which is a consumption tax applied to the value added at each stage of the production and distribution chain. It is commonly used in commerce to generate government revenue by taxing the final consumption of goods and services. Businesses collect VAT from customers on their sales and remit it to the government. VAT is typically levied as a percentage of the selling price and is ultimately borne by the end consumer.
| 3. How does fiscal policy influence consumer behavior and spending patterns? | |
Ans. Fiscal policy can affect consumer behavior and spending patterns through changes in taxation and government spending. For example, a tax cut can leave consumers with more disposable income, encouraging them to spend more on goods and services. Conversely, an increase in taxes might reduce consumer spending as individuals have less money available for consumption. Government spending on infrastructure or welfare programs can also stimulate consumer spending by increasing employment and income levels.
| 4. What are the advantages of implementing a VAT system in commerce? | |
Ans. Implementing a VAT system in commerce offers several advantages. Firstly, it provides a stable source of government revenue as it is collected at each stage of production and distribution. Secondly, it promotes transparency in taxation as businesses are required to disclose the VAT amount separately on invoices, making it easier to track and audit. Additionally, VAT allows for tax credits and exemptions for businesses, reducing the tax burden on certain industries. Lastly, it helps prevent tax evasion as businesses must report and remit VAT, minimizing the scope for underreporting income.
| 5. How can fiscal policy and VAT be used to address economic recessions? | |
Ans. During economic recessions, fiscal policy can be used to stimulate the economy through various measures. Governments can implement tax cuts to increase consumer spending and business investment. They can also increase government spending on infrastructure projects or provide financial aid to struggling industries. VAT can play a role by reducing the tax burden on businesses, allowing them to allocate more resources towards expansion and job creation. These measures aim to boost aggregate demand and revive economic growth during recessions.
Related Exams
About this Video
|
4.97/5 Rating |
|
Nov 22, 2024 Last updated |
Video Description: Fiscal Policy and VAT for Commerce 2024 is part of Economics CUET Preparation preparation.
The notes and questions for Fiscal Policy and VAT have been prepared according to the Commerce exam syllabus.
Information about Fiscal Policy and VAT covers all important topics for Commerce 2024 Exam.
Find important definitions, questions, notes, meanings, examples, exercises and tests below for Fiscal Policy and VAT.
Introduction of Fiscal Policy and VAT in English is available as part of our Economics CUET Preparation for Commerce & Fiscal Policy and VAT in
Hindi for Economics CUET Preparation course. Download more important topics related with notes, lectures and mock test series for
Commerce Exam by signing up for free.
Description
Video Lecture & Questions for Fiscal Policy and VAT Video Lecture | Economics CUET Preparation - Commerce - Commerce full syllabus preparation | Free video for Commerce exam to prepare for Economics CUET Preparation.
Information about Fiscal Policy and VAT
Here you can find the meaning of Fiscal Policy and VAT defined & explained in the simplest way possible.
Besides explaining types of Fiscal Policy and VAT theory, EduRev gives you an ample number of questions to practice Fiscal Policy and VAT tests,
examples and also practice Commerce tests.
|
172 videos|18 docs|76 tests
|
|
Explore Courses for Commerce exam
|
|
Signup for Free!
Signup to see your scores go up within 7 days! Learn & Practice with 1000+ FREE Notes, Videos & Tests.
Related Searches
practice quizzes
,Fiscal Policy and VAT Video Lecture | Economics CUET Preparation - Commerce
,Important questions
,Previous Year Questions with Solutions
,Extra Questions
,mock tests for examination
,shortcuts and tricks
,past year papers
,MCQs
,ppt
,Exam
,Summary
,Viva Questions
,Free
,Semester Notes
,Fiscal Policy and VAT Video Lecture | Economics CUET Preparation - Commerce
,Fiscal Policy and VAT Video Lecture | Economics CUET Preparation - Commerce
,video lectures
,Objective type Questions
,Sample Paper
,study material
;
Study Fiscal Policy and VAT on the App
Students of Commerce can study Fiscal Policy and VAT alongwith tests & analysis from the EduRev app,
which will help them while preparing for their exam. Apart from the Fiscal Policy and VAT,
students can also utilize the EduRev App for other study materials such as previous year question papers, syllabus, important questions, etc.
The EduRev App will make your learning easier as you can access it from anywhere you want.
The content of Fiscal Policy and VAT is prepared as per the latest Commerce syllabus.
|
© EduRev
|
Education Revolution
|
Follow Us
|
Signup to see your scores
go up within 7 days!
Access 1000+ FREE Docs, Videos and Tests
Takes less than 10 seconds to signup