M.A. DEGREE EXAMINATION, NOVEMBER 2017
Second Semester
Economics
PUBLIC ECONOMICS
(CBCS 2014 onwards)
Time 3 Hours Maximum 75 Marks
Part A (10 X 2 20)
Answer all questions.
1. What is public goods?
2. What are private goods?
3. State briefly the significance of public expenditure.
4. What do you mean by marginal social benefits?
5. Define tax.
6. What is taxable capacity?
7. What is public debt?
8. What do you mean by deficit finance?
9. What is built-in stabiliser?
10. What do you mean by zero base budget?
Sub. Code
4MEC2C3
AFF-4782
2
WS4
Part B X 5 25)
Answer all questions, choosing either or
11. Describe the need for government role in a capitalist
economy.
Or
Explain the allocative function of a modern
government.
12. Explain Adolf wagner theory of public expenditure.
Or
Describe the canons of public expenditure.
13. Explain the objectives of taxation.
Or
Examine the effects of taxation on economic
stability.
14. Analyse the effects of public debt on consumption.
Or
Enumerate the objectives of public debt.
15. Explain the principles of federal finance.
Or
Discuss the system of flow of resources from centre
to the state governments in India.
AFF-4782
3
WS4
Part C X 10 30)
Answer any three questions.
16. Explain the role of public sector in an economy.
17. Examine the reasons for the growth of public
expenditure.
18. Discuss the modern theory of tax shifting in India. How
do elasticity of demand elasticity of supply affect the
incidence and shifting of tax?
19. Describe the various methods of redemption of public
debt.
20. Explain the various functions of finance commission.
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