Question 1 · 10 marks · 87 words written
Opening · a definition
Fiscal policy refers to the policy of Income (Taxable & Non-tax Income) and spending (Revenue expenditure & Capital expenditure) to achieve goals of overall development.
Tool to reduce Income Inequality (SDG 10)
Body · points
Progressive taxation policy to reduce the income disparity
More focus on direct taxes such as wealth tax, Corporate tax and less on indirect tax (GST) → Because indirect tax harm poor the most
Direct benefit transfer to provide minimum level of income
Spending on human development such as education, health, Sanitation
Close · no separate close
None written.