Question

explain how government budget can be helpful in bringing economic stabilization in the economy

Answer 1

the main stepback in india or any other form of democratic country is economic inequality . govt plays a major role in making the country economically stable .
the govts budjet should be  used keeping in the view the condition of poor in india and take many steps etc and spend much of it to improve their condition .
the most worthful examples for this are    pds ie public distribution system and manrega mahathma Gandhi national rural employement act  to provide employe ment oppurtunities and also encouraging the backward classes and providing reservations in education as well as employement in scs and sts and increase property and income tax and tax should be imposed on the items like gold cars etc instead of basic items like oils kerosene etc which are needed for everyone . if any doubt just message me

Answer 2

budgetary policies are useful medium to reduced inequalities of income modicare distribution of income government can be used tax policies and public expenditure as a tool government can reduce the disposable income and wealth of rich by imposing habitat and can spend more on providing free service to poor it rise the disposable income and welfare of poor