UPSC Prelims 2020 · GS Paper I
Question 6: Economy and Social Development
Along with the Budget, the Finance Minister also places other documents before the Parliament which include ‘The Macro Economic Framework Statement’. The aforesaid document is presented because this is mandated by
AnswerUPSC’s answer is (d).
The Fiscal Responsibility and Budget Management Act, 2003 requires the Centre to lay certain statements before Parliament along with the annual financial statement. They are the Medium-term Fiscal Policy Statement, the Fiscal Policy Strategy Statement and the Macro-economic Framework Statement. Articles 112 and 113 deal with the annual financial statement and the procedure on expenditure estimates and mention no such statement. It is a statutory duty, not a convention.
Why each option is right or wrong
- (a) Wrong: the requirement is statutory, not a convention.
- (b) Wrong: Article 112 requires the annual financial statement; Article 110(1) defines a Money Bill; neither covers this statement.
- (c) Wrong: Article 113 sets the procedure for expenditure estimates in Parliament.
- (d) Right: the FRBM Act, 2003 mandates the Macro-economic Framework Statement.
Answer: UPSC’s key. Explanation: written by UPSC Grade, not by UPSC.
Source: UPSC, Civil Services (Preliminary) Examination 2020, General Studies Paper I, Series A. The paper on upsc.gov.in.