Give one example of “externality” which reduces welfare of the people. 

Explain the relationship between income of the buyers and demand for a good.

Explain any one objective of Government Budget. 

Explain the problem of double coincidence of wants faced under barter system. How has money solved it? 

Distinguish between revenue expenditure and capital expenditure in Government budget. Give an example of each. 

What is a Government Budget? 

What are demand deposits? 

How can increase in foreign direct investment affect the price of foreign exchange? 

Distinguish between revenue deficit and fiscal deficit.

Give two examples of indirect taxes.