Subjective / Written Questions (25)
1. Compare Fisher’s transactions approach and the Cambridge cash-balance approach to the quantity theory of money.
2. Explain Keynes’ fundamental equations and the saving-investment approach to monetary analysis.
3. Define money supply and explain its components under a modern banking system.
4. Explain commercial-bank credit creation and the assumptions behind a simple deposit multiplier.
5. Critically assess the credit multiplier when banks hold excess reserves and borrowers do not redeposit all proceeds.
6. Explain the functions of a central bank and distinguish monetary control from ordinary commercial banking.
7. Compare selective and quantitative techniques of credit control.
8. Discuss the role of RBI in controlling commercial banks and credit, including the transmission of monetary policy.
9. Explain the distinction between development, cooperative and universal banking and their different economic functions.
10. Distinguish public finance from private finance and explain why public budgeting faces different constraints.
11. Explain public and private goods and the free-rider problem.
12. Derive the principle of maximum social advantage and explain the balancing of marginal social benefit and marginal social sacrifice.
13. Discuss the nature and effects of public expenditure and distinguish productive from redistributive components.
14. Explain federal finance and the economic rationale for dividing financial resources among levels of government.
15. Discuss federal finance in India and the role of intergovernmental transfers.
16. Explain the role and objectives of the Finance Commission in India’s fiscal federal framework.
17. Compare progressive, proportional and regressive taxation and evaluate their distributional implications.
18. Distinguish direct and indirect taxes and analyse incidence.
19. Explain the ability-to-pay principle and compare it with sacrifice-based approaches to taxation.
20. Analyse least aggregate sacrifice as a criterion for designing taxation.
21. Distinguish impact and incidence of a tax and explain why the legal taxpayer need not bear the final burden.
22. Explain tax shifting under perfect competition and identify conditions affecting the distribution of the burden.
23. Analyse tax incidence under monopoly and explain why market power changes the standard competitive result.
24. Discuss how inflation, taxation and public expenditure can interact with fiscal policy.
25. Evaluate the limits of simple monetary and fiscal models when expectations, financial frictions and behavioural responses matter.