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“The Cabinet led by… (Class 12 Economics SQP 2024-25, Q2)

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EconomicsCBSE Class 12 · Sample paper, session 2024-25 · 1 mark · MCQ

CBSE Class 12 Economics sample paper 2024-25: question 2

From the official CBSE sample question paper for 2024-25, section A, question 2, for 1 mark. Try it first; the hints and our step-by-step solution are below.

Q2 · 1 mark · MCQCompetency-basedGovernment Budget and the Economy

“The Cabinet led by Prime Minister has decided that the Central Government will provide free food grains to 81.35 crore (approx.) beneficiaries under the Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY) for a period of five years with effect from 1st January, 2024.”
Source: https://pib.gov.in/PressReleaseIframePage.aspx?PRID=1980689
Based on the aforesaid statement, identify the budgetary objective the government is trying to achieve and choose the correct option:

  1. (A)Reallocation of resources
  2. (B)Economic stability
  3. (C)Redistribution of income
  4. (D)Economic instability

Source: official sample paper from cbseacademic.nic.in (PDF). See it in the full Sample paper 2024-25.

Hints

Open one hint at a time and try again before the next.

Hint 1

Who receives the benefit?

Hint 2

Does the scheme change who gets what share of income?

Step-by-step solution

Each step shows the marks it earns, as an examiner would award them. Checked by an independent re-solve from the question paper.

  1. Free food grains for about 81 crore poor beneficiaries transfer purchasing power to the poorer sections.

  2. The budget objective is redistribution of income (reducing inequality). Option (C).

    1 mark

Answer: (C) Redistribution of income

Where the marks are

  • Free food grains to the poor: redistribution (1 mark)

Revise the chapter

Practise this chapterBoard-style questions from Government Budget and the Economy, one at a time, marked against the answer key and marking points.Back to the full paperSample paper 2024-25: every question, by section.

The question is transcribed from the official paper; figures are described in words. The solution, hints and chapter tag are ours. Spotted an error? Write tosupport@questionbuddy.in.