Q. With reference to counter-cyclical policy, which of the following statements are incorrect?
Which of the statements given above are correct?

1 and 2 only

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3 and 4 only

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2 and 3 only

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1 and 4 only

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Solution

The correct option is B
3 and 4 only
Explanation:

In Counter-Cyclical Policy:
During the Boom, there is Decrease in Government spending and Increase in taxes whereas during Recession there is an Increase in Government spending and Decrease in taxes.

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Q. With reference to counter-cyclical policy, which of the following statements are incorrect? Which of the statements given above are correct?

The correct option is B 3 and 4 onlyExplanation: In Counter-Cyclical Policy: During the Boom, there is Decrease in Government spending and Increase in taxes whereas during Recession there is an Increase in Government spending and Decrease in taxes.

Q. With reference to counter-cyclical policy, which of the following statements are incorrect?
Which of the statements given above are correct?

The correct option is B
3 and 4 only
Explanation:

In Counter-Cyclical Policy:
During the Boom, there is Decrease in Government spending and Increase in taxes whereas during Recession there is an Increase in Government spending and Decrease in taxes.