Minimalist IAS
Prelims 2017 paper

UPSC CSE Prelims 2017 · GS Paper I · Question 94 · Budget, taxation & public finance

निम्नलिखित कथनों पर विचार कीजिए :

UPSC Civil Services (Preliminary) Examination 2017, General Studies Paper I, Question 94 — Budget, taxation & public finance.

निम्नलिखित कथनों पर विचार कीजिए :

  1. 1.पिछले दशक में भारत के GDP के प्रतिशत के रूप में कर-राजस्व में सतत वृद्धि हुई है ।
  2. 2.पिछले दशक में भारत के GDP के प्रतिशत के रूप में राजकोषीय घाटे में सतत वृद्धि हुई है ।

उपर्युक्त कथनों में से कौन-सा/से सही है/हैं ?

Read this question in English

Consider the following statements:

1. Tax revenue as a percent of GDP of India has steadily increased in the last decade.

2. Fiscal deficit as a percent of GDP of India has steadily increased in the last decade.

Which of the statements given above is/are correct?

(a) 1 only · (b) 2 only · (c) Both 1 and 2 · (d) Neither 1 nor 2

उत्तर और व्याख्या · explanation in English

Answer: (d) न तो 1, न ही 2

Neither ratio rose steadily over the decade to 2016-17. The tax-to-GDP ratio hovered around 10 per cent from 2008-09 and crossed 11 per cent only in 2016-17, while the Centre's fiscal deficit jumped to 6.5 per cent of GDP in 2009-10 and then fell to 3.5 per cent by 2016-17.

  • ✗ 1. The Union Budget documents for 2017-18 say the gross tax-to-GDP ratio had been stagnating in the range of 10 per cent since 2008-09; it was estimated to cross 11 per cent only in 2016-17, for the first time since 2007-08. That is stagnation and a late rise, not a steady increase.
  • ✗ 2. The Centre's fiscal deficit was 6.0 per cent of GDP in 2008-09 and 6.5 per cent in 2009-10, then fell year after year to 3.5 per cent in 2016-17. The trend was downward consolidation, not a steady increase.

Remember · Tax-to-GDP stayed near 10 per cent for most of 2008-09 to 2015-16, and the Centre's fiscal deficit fell from 6.5 per cent (2009-10) to 3.5 per cent (2016-17).

Sources

Question and answer: UPSC's official GS Paper I (2017, Series A) — paper ↗ · answer key ↗. Explanation: Minimalist IAS, checked 30 Sept 2026 (how we verify). ·

Cite this question: UPSC CSE Prelims 2017, Q94 — minimalistias.com/pyqs/prelims/2017/q94

In the UPSC syllabus: Budget, taxation & public finance › Deficits, debt & fiscal policy See it and tick it covered →

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