The correct answer is: a) Fiscal discipline and transparency.
The Meghalaya Fiscal Responsibility and Budget Management Act is a law that was passed in 2003. The purpose of the law is to ensure fiscal discipline and transparency in the state government’s budget. The law sets limits on the amount of debt that the state government can incur, and it requires the government to publish detailed information about its budget and finances.
The law has been successful in reducing the state government’s debt burden and improving transparency in its budget. However, there are some challenges that the law faces. One challenge is that the state government has sometimes been reluctant to comply with the law’s requirements. Another challenge is that the law does not address all of the state government’s fiscal problems.
Despite these challenges, the Meghalaya Fiscal Responsibility and Budget Management Act has been a positive step in improving the state government’s fiscal management. The law has helped to reduce the state government’s debt burden and improve transparency in its budget. These are important steps in ensuring the state government’s financial stability and accountability to the people of Meghalaya.
Here is a brief explanation of each option:
- Option a: Fiscal discipline and transparency. This is the correct answer. The Meghalaya Fiscal Responsibility and Budget Management Act aims to ensure fiscal discipline and transparency in the state government’s budget.
- Option b: Unrestricted government spending. This is not the correct answer. The Meghalaya Fiscal Responsibility and Budget Management Act aims to ensure fiscal discipline, which means that the state government must limit its spending.
- Option c: Deficit financing. This is not the correct answer. The Meghalaya Fiscal Responsibility and Budget Management Act sets limits on the amount of debt that the state government can incur. This means that the state government cannot use deficit financing to fund its budget.
- Option d: Increasing debt burdens. This is not the correct answer. The Meghalaya Fiscal Responsibility and Budget Management Act sets limits on the amount of debt that the state government can incur. This means that the state government cannot increase its debt burden.