Topic 6, The Budget of the EU Flashcards
The establishment and adoption of the Budget of the EU:
Select one:
a) Is decided by the Comission
b) Is co-decided between the Parliament and the Comission
c) Is co-decided between the Comission and the Council with the Parliament launching the draft
d) Is co-decided between the Parliament and the Council with the Comission launching the draft
d) Is co-decided between the Parliament and the Council with the Comission launching the draft
Regarding the Multiannual Financial Framework (MFF):
Select one:
a) It increases uncertainty both for the European institutions and for member states and economic agents.
b) It is the budget adopted each year by the euro area countries.
c) It sets the ceilings of the main headings of expenditure of the EU budget for a multi-annual period.
d) Its introduction has completely removed the problem of the democratic deficit.
c) It sets the ceilings of the main headings of expenditure of the EU budget for a multi-annual period.
Currently, the Budget of the EU is financed
Select one:
a) Mainly through a standard percentage levied on the VAT base of each country
b) Entirely through contributions from the Member States proportional to their GNI
c) Partly through contributions from Member States proportional to their GNI
d) All the other answers are correct
c) Partly through contributions from Member States proportional to their GNI
Regarding the revenues of the EU budget, until 1970
Select one:
a) GNI-based own resource was the balancing resource
b) The most important source of revenue used to be the traditional own resources.
c) There was a common tax that was collected by member states
d) They were collected through quotas from member states
d) They were collected through quotas from member states
Regarding the revenues of the EU budget, between 1979 and 1987
Select one:
a) GNI-based own resource was the balancing resource
b) There was a common tax that was collected by member states
c) They were collected through quotas from member states
d) One of the most important sources of revenue were the traditional own resources.
d) One of the most important sources of revenue were the traditional own resources.
Regarding the revenues of the EU budget, since 1988
Select one:
a) GNI-based own resource is the balancing resource
b) There is a common tax that is collected by member states
c) They are collected through quotas from member states
d) The most important source of revenue is the traditional own resources.
a) GNI-based own resource is the balancing resource
The main two headings of expenditure are
Select one:
a) Education and health, which reflect the competences transferred to the EU
b) Research and innovation together with rural development
c) Administration expenditure and compensations and that is why the EU budget is an intervention budget
d) Agriculture (income and product support) together with cohesion/regional policy
d) Agriculture (income and product support) together with cohesion/regional policy
Regarding the operating budgetary balances (OBB), what countries are the main net recipients in absolute terms (in million euros):
Select one:
a) Biggest countries with an important agricultural sector and a number of less developed regions such as France, Spain, Italy or Germany
b) In absolute terms, size is not important. Latvia, Estonia and Lithuania are the main net recipients in absolute terms
c) Netherlands, Sweden, Germany and Denmark because of the reductions
d) UK due to the rebate
a) Biggest countries with an important agricultural sector and a number of less developed regions such as France, Spain, Italy or Germany
The money that will be distributed through the Next Generation funds:
a) It’s not something new. The EU has implemented similar policies in previous crises.
b) One of the variables that determines how much each country receives is the unemployment rate in 2015-19.
c) Most of it will be spent on agricultural policy.
d) The country that will receive most of the funding is Germany.
b) One of the variables that determines how much each country receives is the unemployment rate in 2015-19.
The EU has been able to borrow money to finance the Next Generation funds because:
a) There is an article in the Treaty of the Functioning of the European Union that says the EU will provide itself with the money necessary to attain its objectives.
b) It’s not true the EU will borrow money to finance the Next Generation funds.
c) The European Investment Bank, the European Central Bank and Germany agreed to lend the money.
d) One of its budgetary principles allows borrowing money.
a) There is an article in the Treaty of the Functioning of the European Union that says the EU will provide itself with the money necessary to attain its objectives.
