Q6 · UPSC Prelims 2020 · Set A · Polity and Governance

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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

A Long standing parliamentary convention
B Article 112 and Article 110(1) of the Constitution of India
C Article 113 of the Constitution of India
D Provisions of the Fiscal Responsibility and Budget Management Act, 2003

Correct answer: (d) Provisions of the Fiscal Responsibility and Budget Management Act, 2003

Explanation

  1. A

    Long standing parliamentary convention

    Convention. The Macro-Economic Framework Statement is a statute duty.

  2. B

    Article 112 and Article 110(1) of the Constitution of India

    Articles 112 and 110. Annual financial statement and Money Bills — not this annex.

  3. C

    Article 113 of the Constitution of India

    Article 113. Procedure for estimates.

  4. D

    Provisions of the Fiscal Responsibility and Budget Management Act, 2003

    FRBM Act, 2003. Mandates the Macro-Economic Framework Statement with the Budget.

Summary. Official key is (d). The Macro-Economic Framework Statement is placed with the Budget because the Fiscal Responsibility and Budget Management Act, 2003 requires it — not because of Articles 110–113 or convention.

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