QUESTION CATEGORIES


Indian Economy MCQ (Pages :37)

  • 211 If a state governments seeks help in reaching their targets of providing assistance to eligible institutions in agriculture and rural development, it should approach to which of the following agency?

    (A) SIDBI
    (B) NABARD
    (C) RBI
    (D) SBI
  • NABARD Helps the state governments in reaching their targets of providing assistance to eligible institutions in agriculture and rural development
  • 212 If an exporter earns money and deposits that with RBI , what will be the ultimate impact on country’s money supply?

    (A) Money supply will increase
    (B) Money supply will decrease
    (C) Money supply will remain unaltered
    (D) Money supply will depend upon the current exchange rate
  • 213 If rupee changes from Rs. 48 = $ 1 to Rs. 47.50 = $ 1, then which among the following would have said to occur?

    (A) A depreciation of the rupee
    (B) A depreciation of the dollar
    (C) An appreciation of the dollar
    (D) All of the above
  • 214 If the demand and supply of a commodity increase by an equal absolute amount, what will be the effect on market price?

    (A) Increase
    (B) Decrease
    (C) Remain Stable
    (D) First decrease then increase
  • 215 If the government chooses to spend money freshly printed by the RBI against government securities, it should be kept in which among the following?

    (A) Fiscal adjustment
    (B) Deficit Financing
    (C) Mandatory spending
    (D) Retrenchment
  • 216 If the people prefer to keep cash with them rather than deposits, which among the following impacts will be seen on the Money Supply of the country?

    (A) The money supply of the country will increase
    (B) The money supply of the country will decrease
    (C) The money supply of the country will not change
    (D) The money supply of the country may increase or decrease
  • 217 If the Reserve Bank of India wants to increase the Cash Reserves commercial Banks, which among the following would be the most probable step taken by it?

    (A) Release Gold from its reserves
    (B) Buy bonds in the open market
    (C) Prohibit the transactions that involve bill of exchange
    (D) Increase the tranche reserves with the IMF
  • 218 If there is a change in Bank rate , which among the following is affected_________?

    (A) Market Interest Rates
    (B) Cash Reserve Ratio
    (C) Statutory Liquidity Ratio
    (D) None of the above
  • Bank Rate refers to the official interest rate at which RBI will provide loans to the banking system which includes commercial / cooperative banks, development banks etc. Such loans are given out either by direct lending or by rediscounting (buying back) the bills of commercial banks and treasury bills. Thus, bank rate is also known as discount rate. Bank rate is used as a signal by the RBI to the commercial banks on RBI’s thinking of what the interest rates should be. When RBI increases the bank rate, the cost of borrowing for banks rises and this credit volume gets reduced leading to decline in supply of money. Thus, increase in Bank rate reflects tightening of RBI monetary policy.
  • 219 If there is an increase in the external commercial borrowings in India. What will be the impact on the external debt of the country?

    (A) Increase
    (B) Decrease
    (C) Remain unaffected
    (D) Either increase or decrease
  • 220 If there is an increase in the external commercial borrowings in India. What will be the impact on the external debt of the country?

    (A) Increase
    (B) Decrease
    (C) Remain unaffected
    (D) Either increase or decrease
  • Any money that has been borrowed from foreign sources for financing the commercial activities in India are called External Commercial Borrowings. The Government of India permits ECBs as a source of finance for Indian Corporates for expansion of existing capacity as well as for fresh investment.
  • 221 If two goods have no relationship with each other , what would be cross elasticity among them?

    (A) 1
    (B) 0
    (C) infinite
    (D) between 0 and 1
  • 222 IMF can grant loan to __________?

    (A) Any sovereign country of the World
    (B) Any sovereign country of the World and Public Sector companies backed by Sovereign guarantee
    (C) Any Member country of IMF
    (D) Any Member country of IMF and Public Sector Companies backed by Sovereign guarantee of Member Country ‘
  • 223 In 1982, the Rural Planning and Credit Cell (RPCC) of Reserve Bank of India was merged in which of the following banks?

    (A) SIDBI
    (B) NABARD
    (C) SIDBI
    (D) SBI
  • 224 In a bid to introduce competitive bidding for allocation of coal blocks and benefit consuming industries, the government will soon replace the Mines and Minerals Development Regulation Act. In which year this act was enacted?

    (A) 1951
    (B) 1952
    (C) 1955
    (D) 1957
  • 225 In a condition of monopoly, the monopolist has a control over the price he charges for his product. In which of the following conditions he will be able to maximize his profits?

    (A) Lowering the prices if the demand curve is elastic
    (B) Lowering the price; if the demand curve is inelastic
    (C) Raising the price; if the demand curve is elastic
    (D) In all of above situations
  • 226 In a progressive tax , the following statements holds true:?

    (A) Yield from Income tax increases as the national income increases.
    (B) Yield from income tax decreases as the national income increases
    (C) Yield from income tax does not alter as the national income increases
    (D) Yield from income tax may increase or decrease as the national income increases
  • 227 In an oligopolistic or monopolistically competitive market, firms do not raise their prices because even a small price increase will lose many customers. Which among the following is the most suitable terms used for this concept?

    (A) Supracompetitive pricing
    (B) Swing Demand
    (C) Kinked Demand
    (D) Imperfect competition
  • 228 In context of Budget, which among the following is not a Non-Plan Expenditure?

    (A) Revenue and Capital Expenditure on interest payments
    (B) Defense Expenditure
    (C) Grants to State governments & Union territories
    (D) Central Assistance to States and Union Territories
  • 229 In context with banking and Investment market, what is the correct full form of ODI?

    (A) Overseas Derivative Investors
    (B) Overseas Derivative Investments
    (C) Overseas Direct Investments
    (D) Offshore Derivative Instruments
  • 230 In context with banking business, the increasing trend in the Burden Bearing Ratio would show the following?

    (A) More burden bearing capacity of the Bank
    (B) Less burden bearing capacity of the Bank
    (C) gradual increase in the bad debts
    (D) improvement in the business growth
  • 231 In context with banking in India, March 16, 1949 is a date which marks:?

    (A) Establishment of RBI
    (B) Nationalization of RBI
    (C) Banking Regulation act coming in Force
    (D) Nationalization of Banks
  • 232 In context with SEBI, which among the following is NOT a correct statement?

    (A) It’s a Market Regulator
    (B) It’s a Statutory Body
    (C) Its chairman is appointed by President
    (D) SEBI’s decision can be challenged in Securities Appellate Tribunal
  • 233 In context with the 4 concepts of Money supply in India (i.e. M1, M2, M3 and M4) used by Reserve Bank of India, which among the following are the most relevant?

    (A) M1 & M2
    (B) M2 & M4
    (C) M1 & M4
    (D) M1 & M3
  • 234 In context with the Balance of Payments, the Merchandise exports, which refer to sale of goods abroad belong to which among the following?

    (A) Credit Entry in the Current Account
    (B) Debit Entry in the Current account
    (C) Credit entry in the Capital Account
    (D) Debit entry in the Capital Account
  • 235 In context with the business and banking, what is CRAR?

    (A) Capital to Risk Asset Ratio
    (B) Credit to Risk Asset Ratio
    (C) Credit to Risk Assessment Ratio
    (D) Capital to Risk Assessment Rate
  • 236 In context with the credit market in India, which among the following is called Slack Season?

    (A) November to March
    (B) April to October
    (C) July to February
    (D) March to September
  • April to October Slack season, November to March Busy season
  • 237 In context with the currency management in India the responsibility for coinage vests with which of the following?

    (A) Government of India
    (B) Reserve Bank of India
    (C) Currency Chests
    (D) Commercial Banks
  • Government of India on the basis of the Coinage Act, 1906
  • 238 In context with the employment programmes in India, which among the following was the first to mandate child-care facilities for women at work sites?

    (A) Shahari Rojgar Yojna
    (B) Swaran Jayanti gram Swarozgar Yojna
    (C) National Rural Employment Guarantee Act
    (D) Jawahar Rozgar Yojna
  • 239 In context with the Fertilizer requirement in the country, for which of the following resource we are 100 % import dependent?

    (A) Urea
    (B) Potash
    (C) Phosphate
    (D) None of the above
  • 240 In context with the financial markets , an agreement to exchange floating rate payments for fixed rate payments (or vice-versa) at regular intervals over pre-specified period on a certain principal amount is known as ____?

    (A) Currency Swap
    (B) Interest Rate swap
    (C) Rolling Settlement
    (D) Arbitration

"If it doesn't feel right, don't do it. That is the lesson, and that lesson alone will save you a lot of grief"

- Oprah Winfrey
PSC Malayalam PSC English android app, LDC, KAS, LGS, PSC Degree Level Exams, PSC Malayalam Questions
Gk4success Nursing App, PSC Staff Nurse, AIIMS, JIPMER, RCC, MOH, HAAD, DHA, PGIMER, ESIC Nursing Exams

Feedback

Please let us know your experience with our website!.

Forgot Password

Please let us know your experience with our website!.