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UKPSC PCS 2012 · Question 13 of 78

Consider the following statement and assumptions and decide which of the assumption / assumptions is / are implicit in the statement. Statement : Let us increase the taxes to cover the deficit. Assumptions : I. The present taxes are very low. II. Deficit in a budget is not desirable. III. Deficit can not be met without increasing the tax.

Decision Making

  1. AI and II
  2. BI and III
  3. CIII
  4. DII and IIICorrect

Answer: D. II and III

Explanation

II (a deficit is undesirable, hence worth covering) and III (the proposal assumes a tax hike is the way to cover it) are implicit; I is not.

Source: UKPSC 2012 Prelims CSAT Paper-II (adda247/studyfry PDF), exam held 30 Nov 2014

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