Distinguish between Voluntary debt and Compulsory debt. - Vidyadip

Question

Distinguish between Voluntary debt and Compulsory debt.

✓

Answer

When the government borrows by issuing securities, it is called voluntary debt. But when the government takes loans from the people forcibly, it is called compulsory debt. Compulsory debt is taken during an emergency like war and during inflation to reduce the volume of purchasing power.

Need a full question paper?

Generate a complete, print-ready paper with questions like this in minutes — across 16+ boards, with answer keys.

Start Generating Free

Explore more

More "[2 Mark Question Answer]" from Public Debt→Public Debt — all question types→Economics STD 10 question papers→ICSE Board STD 10 question papers→ICSE Board question paper generator→

Similar questions

Briefly explain the percentage method of calculating elasticity of demand.

Mention any two forms of consumer exploitation. ### Explain any three ways how consumers are exploited by the retailers?

Briefly explain any two merits of direct taxes.

State two factors affecting mar ket demand for a commodity.

Improved technology affects the productivity of land. Explain this statement with the help of suitable examples.

Compare the interest rates as given by the bank on saving, current and fixed deposits.

For the following list of goods state whether the demand is elastic or inelastic. Give reasons:
(i) Bicycles
(ii) Matchboxes
(iii) Rice in West Bengal
(iv) Rolex watches

With the help of a hypothetical supply schedule, draw a supply curve. State one exception to the law of supply.
Hypothetical Supply Schedule

Price of Good X (₹)	Quantity Supplied of Good X (unit)
5	0
10	10
15	20
20	30

Mention two features of monopoly.

Derive market supply schedule and curve from the following hypothetical individual supply schedules of two firms A and B.

Price
2	10	7
3	12	8
4	14	9