FFC recommendations about fiscal management - Budget & Economic Survey

Q.  Which of the following statement / s is / are correct?

1) Implementing the FFC recommendations will lead to states accounting for a lesser share of total tax revenue and more fiscal autonomy.

2) In terms of fiscal management, states as a whole have been more prudent than the centre in recent years.
- Published on 04 Aug 15

a. Only 1
b. Only 2
c. Both 1 and 2
d. None of the above

ANSWER: Only 2
 
Implementing the FFC recommendations will lead to states accounting for a larger share of total tax revenue and more fiscal autonomy.

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