CBSE 2021 Class 12 Economics Term 1 Paper

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Question : 1
Total: 60
SECTION-A
'Free distribution of LPG connection to poor people is a sign of social justice'.
Identify the 'Objective of Government Budget' from the above mentioned statement.
(Choose the correct alternative)
Solution:  
(c) Create equitable distribution of income
Explanation: Through UJJWALA YOJNA, government is trying to reduce gap between the rich and poor. Government sells LPG gas at a higher rate to those who can afford it. Collected revenue is used to provide LPG gas connection free of cost and at subsidised rates to women from Below Poverty Line (BPL) households. This reduces disposable income of the rich and increases that of the poor reducing the gap between the two.
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