60 Questions
What is the primary role of National Government in the public sector?
Handling national affairs like defense and education
What is the main purpose of State-Owned Enterprises (SOEs)?
To manage resources and services like energy and transportation
Why is the public sector essential?
Because it provides structure and essential services that are not profit-driven
What is an accountability issue in the public sector?
All of the above
What is a challenge faced by the public sector?
Inefficiency due to lack of clear performance metrics
What is the objective of the public sector in relation to employment?
Reducing unemployment through direct job creation initiatives
What is the purpose of pricing policy in the public sector?
To fulfill social responsibilities
What is a problem faced by State-Owned Enterprises (SOEs)?
Lack of competition and accountability
What is an objective of the public sector in relation to economic growth?
Promoting sustainable growth
What is essential for effective service delivery in the public sector?
Accurate needs assessment
What is one of the key roles of the public sector in South Africa?
To manage resources and provide essential services.
What is the purpose of the Medium-Term Expenditure Framework (MTEF)?
To plan over a three-year period.
What is the Laffer Curve used to illustrate?
The relationship between tax rates and tax revenue.
What is an example of a fiscal policy instrument?
Government Spending
What is a potential drawback of subsidies and taxes?
They can lead to inefficiencies if not carefully managed.
What is an example of a reason for public sector failure?
Information Failure
What is a goal of the public sector in terms of income distribution?
To strive for economic equity
What is the objective of price stability?
To stabilize the national currency
What is a consequence of administered prices?
They can lead to shortages or surpluses
What is the term used to describe the problem that arises when policies do not align costs with benefits?
Moral Hazard
Which government level manages regional issues?
Provincial Governments
What is the purpose of the public sector in providing essential services?
To provide structure and essential services
What is an accountability issue in the public sector?
Financial management
What is a challenge faced by State-Owned Enterprises (SOEs)?
Lack of competition and accountability
What is an objective of the public sector related to economic growth?
Promoting sustainable growth
What is the purpose of pricing policy in the public sector?
To fulfill social responsibilities
What is essential for effective service delivery in the public sector?
Accurate needs assessment
What is a challenge faced by the public sector?
Inefficient use of resources
What is an objective of the public sector?
To reduce unemployment
What is a problem with State-Owned Enterprises (SOEs)?
Lack of competition and accountability
What is the primary objective of price stability in the context of fiscal policy?
To manage inflation and stabilize the national currency
What is the purpose of the Medium-Term Expenditure Framework (MTEF) in the context of budgets?
To plan and allocate resources over a three-year period
What is an example of a fiscal policy instrument used to manage economic activity?
Government Spending
What is a potential consequence of administered prices?
Shortages or surpluses
What is the term used to describe the problem that arises when policies do not align costs with benefits?
Moral hazard
What is the primary goal of income distribution in the context of fiscal policy?
To promote economic equity through progressive taxation
What is a potential drawback of subsidies and taxes?
Distorting market operations and leading to inefficiencies
What is the Laffer Curve used to illustrate?
The relationship between tax rates and tax revenue
What is an example of a reason for public sector failure?
Information failure
What is the primary role of the public sector in South Africa?
To provide public goods and services
What is the primary objective of fiscal policy in managing inflation?
To stabilize the national currency
Which of the following is a characteristic of the Medium-Term Expenditure Framework (MTEF)?
Three-year planning period
What is the relationship between tax rates and tax revenue illustrated by the Laffer Curve?
Optimal tax rate that maximizes revenue
What is a potential consequence of administered prices in the public sector?
Shortages or surpluses
What is the primary goal of income distribution in the context of fiscal policy?
To strive for economic equity
Which of the following is a characteristic of the public sector that differentiates it from the private sector?
Non-profitable but critical services
What is the primary reason for accountability issues in the public sector?
Lack of clear performance metrics
What is the term used to describe the problem that arises when policies do not align costs with benefits?
Moral hazard
What is the objective of the public sector in promoting economic growth?
Promoting sustainable growth through various sectoral supports
What is a potential drawback of subsidies and taxes in the public sector?
Distortion of market operations
What is the primary role of the public sector in South Africa?
To manage national resources
What is the primary challenge faced by State-Owned Enterprises (SOEs)?
Lack of competition
What is the purpose of the public sector in providing essential services?
To provide structure and essential services
What is a reason for public sector failure?
All of the above
What is the primary objective of fiscal policy in the context of taxation?
To manage economic activity
What is the consequence of inefficient use of resources in the public sector?
Suboptimal service delivery
What is the primary role of the Auditor-General in the public sector?
To audit the use of state funds
What is the purpose of assessing needs in the public sector?
To ensure effective service delivery
What is the primary objective of the public sector in relation to employment?
To reduce unemployment through direct job creation
What is the primary challenge faced by the public sector in providing essential services?
Inefficient use of resources
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