214.
Regarding the International Monetary Fund, which one of the following
statements is correct?
(b)
It can grant loans to only developed countries.
(c) It grants loans to only member countries.
(d) It can grant loans to the central
bank of a country.
Ans
c
215.
Which one of the following statements appropriately describes the "fiscal
stimulus"?
(a)
It is a massive investment by the government in manufacturing sector to ensure
the supply of goods to meet the demand surge caused by rapid economic growth.
(b)
It is an intense affirmative action of the government to boost economic
activity in the country.
(c)
It is government's intensive action on financial institutions to ensure
disbursement of loans to agriculture and allied sectors to promote greater food
production and contain food inflation.
(d)
It is an extreme affirmative action by the government to pursue its policy of
financial inclusion
Ans
b
216.
Consider the following actions which the Government can take
1.
Devaluing the domestic currency
2.
Reduction in the export subsidy
3.
Adopting suitable policies which attract greater FDI and more funds from FIIs
Which
of the above action/actions can help in reducing the current account deficit?
(a)
1 and 2
(b)
2 and 3
(c)
3 only
(d)
1 and 3
Ans
a
217.
A rapid increase in the rate of inflation is sometimes attributed to the
"base effect". What is "base effect"?
(a)
It is the impact of drastic deficiency in supply due to failure of crops.
(b)
It is the impact of the surge in demand due to rapid economic growth
(c)
It is the impact of the price levels of previous year on the calculation of
inflation rate
(d)
None of the statements (a), (b) and (c) given above is correct in this context
Ans
c
218.
India is regarded as a country with "Demographic Dividend". This is
due to
(a)
Its high population in the age group below 15 years.
(b)
Its high population in the age group of 15-64 years.
(c)
Its high population in the age group above 65 years.
(d)
Its high total population.
Ans
b
219.
Why is the offering of "teaser loans" by commercial banks a cause of
economic concern?
1.
The teaser loans are considered to be an aspect of sub-prime lending and banks
may be exposed to the risk of defaulters in future.
2.
In India, the teaser loans are mostly given to inexperienced entrepreneurs to
set up manufacturing or export units.
Which
of the statements given above is/are correct?
(a)
1 only
(c)
Both 1 and 2
(b)
2 only
(d)
Neither 1 nor 2
Ans
a
220.
In India, which of the following have the highest share in the disbursement of
credit to agriculture and allied activities?
(a)
Commercial banks
(b)
Cooperative banks
(c)
Regional rural banks
(d)
Microfinance institutions
Ans
a
221.
Which of the following can aid in furthering the government's objective of
inclusive growth?
1.
Promoting self-help groups.
2.
Promoting micro, small and medium enterprises
3.
Implementing the right to education act
Select
the correct answer using the codes given below:
(a)
1 only.
(b)
1 and 2 only
(c)
2 and 3 only
(d)
1,2 and 3 only
Ans
d
222.
Economic growth is usually coupled with
(a)
Deflation
(b)
Inflation
(c)
Stagflation
(d)
Hyperinflation
Ans
b
223.
The lowering of bank rate by the reserve bank of India leads to
(a)
More liquidity in the market
(b)
Less liquidity in the market.
(c)
No change in the liquidity in the market
(d)
Mobilization of more deposits by commercial banks
Ans
a
224.
Which one of the following is not a feature of "Value Added Tax"?
(a)
It is multi-point destination-based system of taxation.
(b)
It is a tax levied on value addition at each stage of transaction in the
production- distribution chain.
(c)
It is a tax on the final consumption of goods or services and must ultimately
be borne by the consumer.
(d)
It is basically a subject of the central government and the state governments
are only a facilitator for its successful implementation
Ans
d
225.
A "closed economy" is an economy in which
(a)
The money supply is fully controlled
(b)
Deficit financing takes place.
(c)
Only exports take place.
(d)
Neither exports nor imports take place
Ans
d
226.
Microfinance is the provision of financial services to people of low-income
groups. This includes both the consumers and the self-employed. The service/
services rendered under micro- finance is/are:
1.
Credit facilities
2.
Savings faculties.
3.
Insurance facilities.
4.
Fund transfer faculties.
Select
the correct answer using the codes given the lists:
(a)
1 only
(b)
1 and 4 only
(c)
2 and 3 only
(d)
1,2,3 and 4
Ans
d
227.
Both foreign direct investment (FDI) and foreign institutional Investor (FII)
are related to investment in a country. Which one of the following statements -
best represents an important difference between the two?
(a)
FII helps bring better management skills and technology. While FDI only brings
in capital.
(b)
FII helps in increasing capital availability in general, while FDI only targets
specific.
(c)
FDI flows only into the secondary market, in general, while FDI only targets
specific sectors.
(d)
FII is considered to be more stable than FDI.
Ans
b
228.
Which of the following would include Foreign Direct Investment in India?
1.
Subsidiaries of foreign companies in India
2.
Majority foreign equity holding in Indian companies
3.
Companies exclusively financed by foreign companies
4.
Portfolio investment
Select
the correct answer using the codes given below:
(a)
1, 2, 3 and 4
(c)
1 and 3 only
(b)
2 and 4 only
(d)
1, 2 and 3 only
Ans
d
229.
The Reserve Bank of India (RBI) acts as a bankers' bank. This would imply which
of the following?
1.
Other bank retains their deposits with the RBI.
2.
The RBI lends funds to the commercial banks in times of need.
3.
The RBI advises the commercial banks on monetary matters.
Select
the correct answer using the codes given below:
(a)
2 and 3 only
(b)
1 and 2 only
(c)
1 and 3 only
(d)
1, 2 and 3
Ans
d
230.
Under which of the following circumstances may 'capital gains 'arise?
1.
When there is an increase in the sales of a product
2.
When there is a natural increase in the value of the property owned.
3.
When you purchase a painting and there is a growth in its value due to increase
in its popularity.
Select
the correct answer using the codes given below:
(a)
1 only
(b
) 2 and 3 only
(c)
2 only
(d)
1, 2 and 3
Ans
b
231.
Which of the following measures would result in an increase in the money supply
in the economy?
1.
Purchase of government securities from the public by the central bank
2.
Deposit of currency in commercial banks by the public
3.
Borrowing by the government from the central bank
4.
Sale of government securities to the public by the central bank
Select
the correct answer using the codes given below:
(a)
1only
(b)
2 and 4 only
(c)
1 and 3
(d)
2, 3 and 4
Ans
c
232.
Consider the following statement:
The
price of any currency in international market is decided by the
1.
World Bank
2.
Demand for goods/services provided by the country concerned
3.
Stability of the government of the concerned country
4.
Economic potential of the country in question.
Which
of the statements given above are correct?
(a)
1, 2, 3 and 4
(b)
2 and 3 only
(c)
3 and 4 only
(d)
1 and 4 only
Ans
b
233.
Which of the following can be said to be essentially the parts of 'Inclusive
Governance'?
1.
Permitting the Non-Banking Financial Companies to do banking
2.
Establishing effective District Planning Committees in all the districts
3.
Increasing the government spending on public health
4.
Strengthening the Mid-day Meal Scheme Select the correct answer using the codes
given below:
(a)
1 and 2 only
(b)
3 and 4 only
(d)
1, 2, 3 and 4
(c)
2,3 and 4
Ans
c
234.
The basic aim of Lead Bank Scheme is that
(a)
Big banks should district try to open offices in each
(b)
there should be stiff competition among the various nationalized banks
(c)
individual banks should adopt particular districts for intensive development
(d)
all the banks should make intensive efforts to mobilize deposits
Ans
c
235.
Consider the following specific stages of demographic transition associated
with economic development:
1.
Low birth rate with low death rate
2.
High birth rate with high death rate
3.
High birth rate with low death rate
Select
the correct answer using the codes
given
below
(a)
1, 2, 3
(b)
3, 2, 1
(c)
2,3,1
(d)
3, 2, 1
Ans
c
236.
In India the overall Index of Industrial Production, the Indices of Eighth Core
Industries have combined weight of 37.90%. Which of the following are among
those Eight Core Industries?
1.
Cement
2.
Fertilizers
3.
Natural Gas
4.
Refinery products
5.
Textiles
Select
the correct answer using the codes given below:
(a)
1 and 5 only
(b)
2, 3 and 4 only
(c)
1, 2, 3 and 4 only
(d)
1, 2, 3,4 and 5
Ans
c
237.
The balance of payments of a country is a systematic record of
(a)
all import and transactions of a during a economy given period normally a year
(b)
goods exported from a country during a year
(c)
economic transaction between the government of one country to another
(d)
capital movements from one country to another
Ans
a
239.
The Reserve Bank of India regulates the commercial banks in matters of
1.
liquidity of assets
3.
merger of banks
2.
branch expansion
4.
Winding up of banks
Select
the correct answer using the codes given below.
(a)
1 and 4 only
(b)
2, 3 and 4 only
(c)
1, 2 and 3 only
(d)
1, 2, 3 and 4
Ans
d
240.
An increase in the Bank Rate generally indicates that the
(a)
market rate of interest is likely to fall
(b)
Central Bank is no longer making loans to commercial banks
(c)
Central Bank is following an easy money policy
(d)
Central Bank is following a tight money policy
Ans
d
241.
In India, deficit financing is used for raising resources for
(a)
economic development
(b)
redemption of public debt
(c)
adjusting the balance of payments
(d)
reducing the foreign debt
Ans
a
242.
Which of the following constitute Capital Account?
1.
Foreign Loans
2.
Foreign Direct Investment
3.
Private Remittances
4.
Portfolio Investment
Select
the correct answer using the codes given below.
(a)
1, 2 and 3
(b)
1, 2 and 4
(c)
2, 3 and 4
(d)
1, 3 and 4
Ans
b
243.
Disguised unemployment generally means
(b)
alternative employment is not available
(a)
large number of people remain unemployed
(c)
marginal productivity of labour is zero
(d)
productivity of workers is low
Ans
c
245.
Consider the following liquid assets:
1.
Demand deposits with the banks
2.
Time deposits with the banks
3.
Savings deposits with the banks
4.
Currency
The
correct sequence of these decreasing orders of Liquidity is
(a)
1-4-3-2
(c)
2-3-1-4
(b)
4-3-2-1
(d)
4-1-3-2
Ans
d
246.
In the context of Indian economy, Open Market Operations' refers to
(a)
borrowing by scheduled banks from the RBI
(b)
lending by commercial banks to industry and trade
(c)
purchase and sale of government securities by the RBI
(d)
None of the above
Ans
c
247.
Priority Sector Lending by banks in India constitutes the lending to
(a)
Agriculture
(b)
Micro and small enterprises
(c)
Weaker sections
(d)
All of the above
Ans
d
248.
To obtain full benefits of demographic dividend, what should India do?
(a)
Promoting skill development
(b)
Introducing more social security schemes
(c)
Reducing infant mortality rate
(d)
Privatization of higher education
Ans
a
249.
A rise in general level of prices may be caused by
1.
an increase in the money supply
2.
a decrease in the aggregate level of output
3.
an increase in the effective demand
Select
the correct answer using the codes given below.
(a)
1 only
(b)
1 and 2 only
(c)
2 and 3 only
(d)
1, 2 and 3
Ans
d
250.
Which one of the following groups of items is included
in India's foreign-exchange reserves?
(a)
Foreign-currency assets, Special Drawing Rights (SDRs) and loans from foreign
countries
(b)
Foreign-currency assets, gold holdings of the RBI and SDRs
(c)
Foreign-currency assets, loans from the World Bank and SDRS
(d)
Foreign-currency assets, gold holdings of the RBI and loans from the World Bank
Ans
b
251.
Which one of the following is likely to be the most inflationary in its effect?
(a)
Repayment of public debt
(b)
Borrowing from the public to finance a budget deficit
(c)
Borrowing from banks to finance a budget deficit
(d)
Creating new money to finance a budget deficit
Ans
d
252.
Supply of money remaining the same when there is an increase in demand for
money, there will be
(a)
a fall in the level of prices
(b)
an increase in the rate of interest
(c)
a decrease in the rate of interest
(d)
an increase in the level of income and employment
Ans
b
253.
The national income of a country for a given period is equal to the
(a)
total value of goods and services pro the nationals
(b)
sum of total consumption and investment expenditure
(c) sum of personal income of all individuals
(d)
money value of final goods and services produced
Ans
d
254.
Which of the following grants/ grant direct credit assistance to rural
households?
1.
Regional Rural Banks
2.
Bank for Agriculture and Rural Development
3.
Land Development Banks
Select
the correct answer using the codes given below:
(a)
1 and 2 only
(c)
1 and 3 only
(b)
2 only
(d)
1, 2 and 3
Ans
c
255.
With reference to Union Budget, which of the following, is/are covered under
Non-Plan Expenditure?
1.
Defence expenditure
2.
Interest payments
3.
Salaries and pensions
4.
Subsidies
Select
the correct answer using the code given below.
(a)
1 only
(c)
1, 2, 3 and 4
(b)
2 and 3 only
(d)
None
Ans
c
256.
What does venture capital mean?
(a)
A short-term capital provided to industries
(b)
long-term start-up capital provided entrepreneurs to new
(c)
Funds provided to industries at times of incurring losses
(d)
Funds provided for replacement and renovation of industries
Ans
b
257.
The sales tax you pay while purchasing a toothpaste is a
(a)
tax imposed by the Central Government
(b)
tax imposed by the Central Government but collected by the State Government
(c)
tax imposed by the State Government but collected by the Central Government
(d)
tax imposed and collected by the State Government
Ans
d
258.
With reference to Balance of Payments, which of the following
constitutes/constitute the Current Account?
1.
Balance of trade
2.
Foreign assets
3.
Balance of invisibles
4.
Special Drawing Rights
Select
the correct answer using the code given below.
(a)
1 only
(c)
1 and 3
(b)
2 and 3
(d)
1, 2 and 4
Ans
c
259.
In the context of Indian economy; which of the following is/are the
purpose/purposes of 'Statutory Reserve Requirements'?
1.
To enable the Central Bank to control the amount of advances the banks can
create
2.
To make the people's deposits with banks safe and liquid
3.
To prevent the commercial banks from making excessive profits
4.
To force the banks to have sufficient vault cash to meet their day-to-day
requirements
Select
the correct answer using the code given below.
(a)
1 only
(b)
1 and 2 only
(c)
2 and 3 only
(d)
1, 2, 3 and 4
Ans
b
260.
If the interest rate is decreased in an economy, it will
(a)
decrease the consumption expenditure in the economy
(b)
increase the tax collection of the Government
(c)
increase the investment expenditure in the economy
(d)
increase the total savings in the economy
Ans
c
261. With reference to India economy, consider the
following:
1.
Bank rate
2.
Open market operations
3.
Public debt
4.
Public revenue
Which
of the above is/are component/components of Monetary Policy?
(a)
1 only
(b)
2, 3 and 4
(c)
1 and 2
(d)
1, 3 and 4
Ans
c
262.
With reference to inflation in India, which of the following statements is
correct?
(a)
Controlling the inflation in India is the responsibility of the Government of
India only
(b)
The Reserve Bank of India has no role in controlling the inflation
(c)
Decreased money circulation helps in controlling the inflation
(d)
Increased money circulation helps in controlling the inflation
Ans
c
629.
The problem of international liquidity is related to the non-availability of
(a)
goods and services
(b)
gold and silver
(c)
dollars and other hard currencies
(d)
exportable surplus
Ans
c
263.
There has been a persistent deficit budget year after year. Which of the
following actions can be taken by the government to reduce the deficit?
1.
Reducing revenue expenditure
2.
Introducing new welfare schemes
3.
Rationalizing subsidies
4.
Expanding industries
Select
the correct answer using the code given below.
(a)
1 and 3 only
(c)
1 only
(b)
2 and 3 only
(d)
1,2,3 and 4
Ans
a
264.
Pradhan Mantri Jan Dhan Yojana has been launched for
(a)
providing housing loan to poor people at cheaper interest rates
(b)
Promoting women's Self Help Groups in backward areas
(c)
promoting financial inclusion in the country
(d)
providing financial help to marginalised communities
Ans
c
265.
The Fair and Remunerative Price of Sugarcane is approved by the
(a)
Cabinet Committee on Economic Affairs
(b)
Commission for Agricultural Costs and Prices
(c)
Directorate of Marketing and Inspection, Ministry of Agriculture
(d)
Agricultural Produce Marketing Committee
Ans
a
266.
Which one of the following issues the "Global Economic Prospects"
report periodically?
(a)
The Asian Development Bank
(b)
The European Bank for Reconstruction and Development
(c)
The US Federal Reserve Bank
(d)
The World Bank
Ans
d
267.
When the Reserve Bank of India reduces the Statutory Liquidity by 50 basis
points, which of the following Cis likely to happen?
(a)
India's GDP growth rate increases drastically
(b)
Foreign Institutional Investors may bring more capital into our country
(c)
Scheduled Commercial Banks may cut their lending rates
(d)
It may drastically reduce the liquidity to the banking system.
Ans
c
268.
In India, markets in agricultural products are regulated under the
(a)
Essential Commodities Act, 1955
(b)
Agricultural Produce Market Committee Act enacted by States
(c)
Agricultural Produce (Grading and Marking) Act, 1937
(d)
Food Products Order, 1956 and Meat and Food Products Order, 1973
Ans
b
269.
Which of the following brings out the 'Consumer Price Index Number for the
Industrial Workers'?
(a)
The Reserve Bank of India
(b)
The Department of Economic Affairs
(c)
The Labour Bureau
(d)
The department of Personnel and Training
Ans
c
270.
Convertibility of rupee implies:
(a)
being able to convert rupee notes into gold
(b)
allowing the value of rupee to be fixed by market forces
(c)
freely permitting the conversion of rupee to other currencies and vice versa
(d)
developing an international market for currencies in India
Ans
c
271.
Which of the following is/are the indicator/indicators used by IFPRI to compute
the Global Hunger Index Report?
1.
Undernourishment
2.
Child stunting
3.
Child mortality
Select
the correct answer using the code given below:
(a)
1 only
(b)
2 and 3 only
(c)
1, 2 and 3
(d)
1 and 3 only
Ans
c
272.
The establishment of "Payment Banks' is being allowed in India to promote
Financial inclusion. Which of the following statements is/are correct in this
context?
1.
Mobile telephone companies and supermarket chains that are owned and controlled
by residents are eligible to be promoters of Payment Banks.
2.
Payment Banks can issue both credit cards and debit cards.
3.
Payment Banks cannot undertake lending activities.
Select
the correct answer using the code given below:
(a)
1 and 2 only
(c)
2 only
(b)
1 and 3 only
(d)
1, 2 and 3
Ans
b
273.
Which of the following is/are included in the capital budget of the Government
of India?
1.
Expenditure on acquisition of assets like roads, buildings, machinery, etc.
2.
Loans received from foreign governments.
3.
Loans and advances granted to the States and Union Territories.
Select
the correct answer using the code given below.
(a)
1 only
(c)
1 and 3 only
(b)2
and 3 only
(d)
1, 2 and 3
Ans
d
274.
With reference to the International Monetary and Financial Committee (IMFC),
consider the following statements:
1.
IMFC discusses matters of concern affecting the global economy, and advises the
International Monetary Fund (IMF) on the direction of its work.
2.
The World Bank participates as observer in IMFC's meetings.
Which
of the statements given above is/are correct?
(a)
1 only
(c)
Both 1 and 2
(b)
2 only
(d)
Neither 1 nor 2
Ans
c
275.
With reference to 'Pradhan Mantri Fasal Bima Yojana', consider the following
statements:
1.
Under this scheme, farmers will have to pay a uniform premium of two percent
for any crop they cultivate in any season of the year.
2.
This scheme covers post-harvest losses arising out of cyclones and unseasonal
rains.
Which
of the statements given about is/are correct?
(a)
1 only
(c)
Both 1 and 2
(b)
2 only
(d)
Neither 1 nor 2
Ans
b
276.
Pradhan Mantri MUDRA Yojana is aimed at
(a)
Bringing the small entrepreneurs into formal financial system
(b)
Providing loans to poor farmers for cultivating particular crops
(c)
Providing pensions to old and destitute persons
(d)
Funding the voluntary organization involved in the promotion of skill
development and employment generation
Ans
a
277.
Regarding 'Atal Pension Yojana', which of the following statements is/are
correct?
1.
It is a minimum guaranteed pension scheme mainly targeted at unorganized sector
workers
2.
Only one member of a family can join the scheme
3.
Some amount of pension is guaranteed for the spouse for life after subscriber's
death.
Select
the correct answer using the code given below:
(a)
1 only
(b)
2 and 3 only
(c)
1 and 3 only
(d)
1, 2 and 3
Ans
c
278.
The Global Infrastructure Facility is a/an
(a)
ASEAN initiative to upgrade infrastructure in Asia and financed by credit from
the Asian Development Bank.
(b)
World Bank collaboration that facilitates the preparation and structuring of
complex infrastructure Public-Private Partnerships (PPPs) to enable
mobilization of private sector and institutional investor capital.
(c)
world working with the OECD and focused on expanding the set of infrastructure
projects that have the potential to mobilize private investment
(d)
UNCTAD funded initiative that seeks to finance and facilitate infrastructure
development in the world
279.
Which of the following gives 'Global Gender Gap Index' ranking to the countries
of the world?
(a)
World Economic Forum
(b)
UN Human Rights Council
(c)
UN Women
(d)
World Health Organization
Ans
a
280.
Which of the following statements is/are correct regarding the Monetary Policy
Committee (MPC)?
1.
It decides the RBI's benchmark interest rates.
2.
It is a 12-member body including the Governor of RBI and is reconstituted every
year.
3.
It functions under the chairmanship of the Union Finance Minister.
Select
the correct answer using the code given below:
(a)
1 only
(b)
1 and 2 only
(c)
3 only
(d)
2 and 3 only
Ans
a
281.
What is the purpose of setting up of Small Finance Banks (SFBs) in India?
1.
To supply credit to small business units
2.
To supply credit to small and marginal farmers
3.
To encourage young entrepreneurs to set up business particularly in rural
areas.
Select
the correct answer from the code given below:
(a)
1 and 2 only
(c)
1 and 3 only
(b)
2 and 3 only
(d)
1, 2 and 3
Ans
a
282.
What is/are the advantage/advantages of implementing the 'National Agriculture
Market scheme?
1.
It is a pan-India electronic trading portal for agricultural commodities.
2.
It provides the farmers access to nationwide market, with prices commensurate
with the quality of their produce.
Select
the correct answer using the code given below:
(a)
1 only
(c)
Both 1 and 2
(b)
2 only
(d)
Neither 1 nor 2
Ans
c
283.
Consider the following statements:
1.
The Standard Mark of Bureau of Indian Standards (BIS) is mandatory for
automotive tyres and tubes.
2.
AGMARK is a quality Certification Mark issued by the Food and Agriculture
Organisation (FAO).
Which
of the statements given above is/are correct?
(a)
1 only
(c)
Both 1 and 2
(b)
2 only
(d)
Neither 1 nor 2
Ans
a
284.
Which of the following has/have occurred in India after its liberalization of
economic policies in 1991?
1.
Share of agriculture in GDP increased enormously.
2.
Share of India's exports in world trade increased.
3.
FDI inflows increased.
4.
India's foreign exchange reserves increased enormously.
Select
the correct answer using the codes given below:
(a)
1 and 4 only
(c)
2 and 3 only
(b)
2, 3 and 4 only
(d)
1, 2, 3 and 4
Ans
b
285.
Consider the following statements:
1.
National Payments Corporation of India (NPCI) helps in promoting the financial
inclusion in the country.
2.
NPCI has launched RuPay, a card payment scheme. Which of the statements given
above is/are correct?
(a)
1 only
(b)
2 only
(c)
Both 1 and 2
(d)
Neither 1 nor 2
Ans
c
286.
What is/are the most likely advantages of implementing 'Goods and Services Tax
(GST)'?
1.
It will replace multiple taxes collected by multiple authorities and will thus
create a single market in India.
2.
It will drastically reduce the 'Current Account Deficit' of India and will
enable it to increase its foreign A exchange reserves.
3.
It will enormously increase the growth and size of economy of India and will
enable it to overtake China in the near future.
Select
the correct answer using the code given below:
(a)
1 only
(c)
1 and 3 only
(b)
2 and 3 only
(d)
1, 2 and 3
Ans
a
287.
Consider the following statements:
The
nation-wide 'Soil Health Card Scheme' aims at
.
1. Expanding the cultivable area under irrigation.
2.
Enabling the banks to assess the quantum of loans to be granted to farmers on
the basis of soil quality.
3.
Checking the overuse of fertilizers in farmlands.
Which
of the above statements is/are correct?
(a)
1 and 2 only
(c)
2 and 3 only
(b)
3 only
(d)
1, 2 and 3
Ans
d
288.
Which one of the following links all the ATMs in India ?
(a)
Indian Banks Association
(b)
National Securities Depository Limited
(c)
National Payments Corporation of India
(d)
Reserve Bank of India
Ans
c
289.
Consider the following statements :
1.
Capital Adequacy Ratio (CAR) is the amount that banks have to maintain in the
form of their own funds to offset any loss that banks incur if the
account-holders fail to repay dues.
2.
CAR is decided by each individual bank. Which of the statements given above
is/are correct?
(a)
1 only
(c)
Both 1 and 2
(b)
2 only
(d)
Neither 1 nor 2
Ans
a
290.
Which one of the following statements correctly de- scribes the meaning of
legal tender money?
(a)
The money which is tendered in courts of law to defray the fee of legal cases
(b)
The money which a creditor is under compul- sion to accept in settlement of his
claims
(c)
The bank money in the form of cheques, drafts, bills of exchange, etc.
(d)
The metallic money in circulation in a country
Ans
b
291.
If a commodity is provided free to the public by the Government, then Country
(a)
the opportunity cost is zero.
(b)
the opportunity cost is ignored.
c
) the opportunity cost is transferred from the con sumers of the product to the
tax-paying publim
(d)
the opportunity cost is transferred from the country sumers of the product to
the Government.
Ans
d
292.
Increase in absolute and per capita real GNP do not Connote a higher level of
economic development, if
(a)
industrial output fails to keep pace with agricultural output.
(b)
agricultural output fails to keep pace with indus. trial output.
(c)
poverty and unemployment increase.
(d)
imports grow faster than exports
Ans
c
293.
Consider the following statements:
Human
capital formation as a concept is better ex- plained in terms of a process
which enables
1.
individuals of a country to accumulate more capital.
2.
increasing the knowledge, skill levels and capaci ties of the people of the
country.
3.
accumulation of tangible wealth.
4.
accumulation of intangible wealth.
Which
of the statements given above is/are correct?
(a)
1 and 2
(b)
2 only
(c)
2 and 4
(d)
1, 3 and 4
Ans
c
294.
Despite being a high saving economy, capital for- mation may not result in
significant increase in out- put due to
(a)
weak administrative machinery
(b)
illiteracy
(c)
high population density
(d)
high capital-output ratio
Ans
d
295.
Consider the following statements :
1.
The Reserve Bank of India manages and services Government of India Securities
but not any State Government Securities.
2.
Treasury bills are issued by the Government of India and there are no treasury
bills issued by the State Governments.
3.
Treasury bills offer are issued at a discount from the par value.
Which
of the statements given above is/are correct?
(a)
1 and 2 only
(c)
2 and 3 only
(b)
3 only
(d)
1,2 and 3
Ans
c
296.
With reference to the circumstances in Indian agri- culture, the concept of
"Conservation Agriculture" assumes significance. Which of the
following fall under the Conservation Agriculture?
1.
Avoiding the monoculture practices
2.
Adopting minimum tillage
3.
Avoiding the cultivation of plantation crops
4.
Using drop residues to cover soil surface
5.
Adopting tispatial and temporal crop sequencing/ crop rotations
Select
the correct answer using the code given be low:
(a)
1, 3 and 4
(c)
2.4 and 5
(b)
2, 3, 4 and 5
(d)
1,2, 3 and 5
Ans
c
297.
With reference to the governance of public sector banking in India, consider
the following statements:
1.
Capital infusion into public sector banks by the Government of India has
steadily increased in the last decade.
2.
To put the public sector banks in order, the merger of associate banks with the
parent State Bank of India has been affected.
Which
of the statements given above is/are correct?
(a)
1 only
(c)
Both 1 and 2
(b)
2 only
(d)
Neither 1 nor 2
Ans
c
298.
Consider the following items:
1.
Cereal grains hulled
2.
Chicken eggs cooked
3.
Fish processed and canned
4.
Newspapers containing advertising material Which of the above items is/are
exempted under GST (Goods and Services Tax) ?
(a)
1 only
(b)
2 and 3 only
(c)
1, 2 and 4 only
(d)
1, 2, 3 and 4
Ans
a
299.
With reference to organic farming in India, consider the following statements:
1.
"The National Programme for Organic Production' (NPOP) is operated under
the guidelines and direc- tions of the Union Ministry of Rural Development.
(b)
2. "The Agricultural and Processed Food Products Export Development
Authority" APEDA functions as the Secretariat for the implementation of
NPOP.
3.
Sikkim has become India's first fully organic State. Which of the statements
given above is/are correct?
(a)
1 and 2 only
(c)
3 only
(b)
2 and 3 only
(d)
1, 2 and 3
Ans
b
300.
Consider the following statements:
1.
Coal sector was nationalized by the Government of India under Indira Gandhi.
2.
Now, coal blocks are allocated on lottery basis.
3.
Till recently, India imported coal to meet the shortages of domestic supply,
but now India is self- sufficient in coal production.
Which
of the statements given above is/arc correct?
(a)
1 only
(c)
3 only
(b)
2 and 3 only
(d)
1, 2 and 3
Ans
a
301.
The Global Competitiveness Report is published by the
(a)
International Monetary Fund
(b)
United Nations Conference on Trade and Development
(c)
World Economic Forum
(d)
World Bank
Ans.
©
302.
In a given year in India, official poverty lines are higher in some States than
in others because
(a)
poverty rates vary from State to State
(b)
price levels vary from State to State
(c)
Gross State Product varies from State to State.
(d)
quality of public distribution varies from State to State
Ans.
(b)
303.
Consider the following statements:
1.
Purchasing Power Parity (PPP) exchange rates are calculated by comparing the
prices
of
the same basket of goods and services in different countries.
2.
In terms of PPP dollars, India is the sixth largest economy in the world.
Which
of the statements given above is/are correct?
(a)
1 only
(c)
Both 1 and 2
(b)
2 only
(d)
Neither 1 nor 2
Ans
a
304.
Which one of the following is not the most likely measure the Government/RBI
takes to stop the slide of Indian rupee ?
(a)
Curbing imports of non-essential goods and promoting exports
(b)
Encouraging Indian borrowers to issue rupee denominated Masala Bonds
(c)
Easing conditions relating to external commercial borrowing
(d)
Following an expansionary monetary policy
Ans
d
305.
The money multiplier in an economy increases with which one of the following?
(a)
Increase in the cash reserve ratio
(b)
Increase in the banking habit of the population
(c)
Increase in the statutory liquidity ratio
(d)
Increase in the population of the country
Ans.
b
306.
The Services Area Approach was implemented under the purview of
(a)
Integrated Rural Development Programme
(b)
Lead Bank Scheme
(c)
Mahatma Gandhi National Rural Employment Guarantee Scheme
(d)
National Skill Development Mission
Ans.
(b)
307.
Consider the following statements:
1.
Most of India's external debt is owed by governmental entities.
2.
All of India's external debt is denominated in US dollars.
Which
of the statements given above is/are correct?
(a)
1 only
(c)
Both 1 and 2
(b)
2 only
(d)
Neither 1 nor 2
Ans
d
308.
Which of the following is not included in the assets of a commercial bank in
India?
(a)
Advances
(b)
Deposits
(c)
Investments
(d)
Money at call and short notice
Ans.
(b)
309
.In the context of India, which of the following factors is/are
contributor/contributors to reducing the risk of a currency crisis ?
1.
The foreign currency earnings of India's IT sector
2.
Increasing the government expenditure
3.
Remittances from Indians abroad
Select
the correct answer using the code given below.
(a)
1 only
(c)
2 only
(b)
1 and 3 only
(d)
1, 2 and 3
Ans
b
310.
Which of the following is issued by registeres foreign portfolio investors to
overseas investor who want to be part of the Indian stock marke without
registering themselves directly?
(a)
Certificate of Deposit
(b)
Commercial Paper
(c)
Promissory Note
(d)
Participatory Note
Ans
d
311.
With reference to India's Five-Year Plans, which of the following statements
is/are correct?
1.
From the Second Five-Year Plan, there was a determined thrust towards
substitution of basic and capital good industries.
2.
The Fourth Five-Year Plan adopted the objective of correcting the earlier trend
of increased concentration of wealth and economic power.
3.In
the Fifth Five-Year Plan, for the first time, the financial sector was included
as an integral part of the Plan.
Select
the correct answer using the code given below.
(a)
1 and 2 only
(c)
3 only
(b)
2 only
(d)
1, 2 and 3
Ans
a
312.
Consider the following statements:
1.
The United Nations Convention against Corruption (UNCAC) has a 'Protocol
against the Smuggling of Migrants by Land, Sea and Air.'
2.
The UNCAC is the ever-first legally binding global anti-corruption instrument.
3.
A highlight of the United Nations Convention against Transnational Organized
Crime (UNTOC) is the inclusion of a specific chapter aimed at returning assets
to their rightful owners from whom they had been taken illicitly.
4.
The United Nations Office on Drugs and Crime (UNODC) is mandated by its member
States to assist in the implementation of both UNCAC and UNTOC.
Which
of the statements given above are correct?
(a)
1 and 3 only
(c)
2 and 4 only
(b)
2, 3 and 4 only
(d)
1, 2, 3 and 4
Ans
c
313.
With reference to Asian Infrastructure Investment Bank (AIIB), consider the
following statements:
1.
AIIB has more than 80 member nations.
2.
India is the largest shareholder in AIIB.
3.
AIIB does not have any members from outside Asia.
Which
of the statements given above is/are correct?
(a)
1 only
(c)
1 and 3 only
(b)
2 and 3 only
(d)
1, 2 and 3
Ans.
a
314
what was the purpose Inter-Creditor Agreement signed by Indian banks and
financial institutions recently?
(a)
To lessen the Government of India's perennial burden of fiscal deficit and
current account deficit
(b)
To support the infrastructure Projects of Central and State Governments
(c)
To act as independent regulator in case of applications for loans of Rs. 50
crore of more
(d)
To aim at faster resolution of stressed assets of Rs. 50 crore or more which
are under consortium lending
Ans.
(d)
315.
The Chairmen of public sector banks are selected by the
(a)
Banks Board Bureau
(b)
Reserve Bank of India
(c)
Union Ministry of Finance
(d)
Management of concerned bank
Ans.
(a)
316.
Which one of the following is not a sub-index of the World Bank's "Ease of
Doing Business Index"?
(a)
Maintenance of law and order
(b)
Paying taxes
(c)
Registering property
(d)
Dealing with construction permits
Ans.
(a)
317.
The economic cost of food grains to the Food Corporation of India is Minimum
Support Price and bonus (if any) paid to the farmers plus
(a)
Transportation cost only
(b)
Interest cost only
(c)
Procurement incidentals and distribution cost
(d)
Procurement incidentals and charges for godowns
Ans
c
318.
In the context of any country, which one of the following would be considered
as part of its social capitals ?
(a)
The proportion of literates in the population
(b)
The stock of its buildings, other infrastructure and machines
(c)
The size of population in the working age group
(d)
The level of mutual trust and harmony in the society
Ans.
(d)
319.
If another global financial crisis happens in the near future, which of the
following actions/policies are most likely to give some immunity to India?
1.
Not depending on short-term foreign borrowings
2.
Opening up to more foreign banks
3.
Maintaining full capital account convertibility
Select
the correct answer using the code given below :
(a)
1 only
(c)
3 only
(b)
1 and 2 only
(d)
1, 2 and 3
Ans
a
320.
If you withdraw ₹ 1,00,000 in cash from your Demand Deposit Account at your
bank, the immediate effect on aggregate money supply in the economy will be
(a)
to reduce it by ₹ 1,00,000
(b)
to increase it by ₹ 1,00,000
(c)
to increase it by more than 1,00,000
(d)
to leave it unchanged
Ans
(d)
321.
"Gold Tranche" (Reserve Tranche) refers to
(a)
a loan system of the World Bank
(b)
one of the operations of a Central Bank
(c)
a credit system granted by WTO to its members
(d)
a credit system granted by IMF to its members
Ans.
(d)
322.
Along with the Budget, the Finance Minister also places other documents before
the Parliament which include 'The Macro Economic Framework Statement'. The
aforesaid document is presented because this is mandated by
(a)
Long standing parliamentary convention
(b)
Article 112 and Article 110(1) of the Constitution of India
(c)
Article 113 of the Constitution of India (d) Provisions of the Fiscal
Responsibility and Budget Management Act, 2003
Ans
(d)
323.
What is the importance of the term "Interest Coverage Ratio" of a
firm in India ?
1.
It helps in understanding the present risk of a firm that a bank is going to
give loan to.
2.
It helps in evaluating the emerging risk of a firm that a bank is going to give
loan to.
3.
The higher a borrowing firm's level of Interest Coverage Ratio, the worse is
its ability to service its debt.
Select
the correct answer using the code given below:
(a)
1 and 2 only
(c)
1 and 3 only
(b)
2 only
(d)
1, 2 and 3
Ans
a
324.
Consider the following statements:
1.
The weightage of food in Consumer Price Index (CPI) is higher than that in
Wholesale Price Index (WPI).
2.
The WPI does not capture changes in the prices of services, which CPI does.
3.
Reserve Bank of India has now adopted WPI as its key measure of inflation and
to decide on changing the key policy rates.
Which
of the statements given above is/are correct ?
(a)
1 and 2 only
(c)
3 only
(b)
2 only
(d)
1, 2 and 3
Ans.
a
325.
With reference to the Indian economy,
consider
the following statements:
1.
'Commercial Paper' is a short-term unsecured promissory note.
2.
'Certificate of Deposit is a long-term instrument issued by the Reserve Bank of
India to a corporation.
3.
'Call Money' is a short-term finance used for interbank transactions.
4.
'Zero-Coupon Bonds' are the interest bearing short-term bonds issued by the
Scheduled Commercial Banks corporations. to
Which
of the statements given above is/are correct ?
(a)
1 and 2 only
(c)
1 and 3 only
(b)
4 only
(d)
2, 3 and 4 only
Ans
c
326.
With reference to Foreign Direct Investment in India, which one of the
following is considered its major characteristic ?
(a)
It is the investment through capital
instruments
essentially in a listed company.
(b)
It is a largely non-debt creating capital flow.
(c)
It is the investment which involves debt- servicing.
(d)
It is the investment made by foreign institutional investors in the Government
securities.
Ans.
b
327.
In the context of the Indian economy, non- financial debt includes which of the
following?
1.
Housing loans owed by households
2.
Amounts outstanding on credit cards
3.
Treasury bills
Select
the correct answer using the code given below:
(a)
1 only
(c)
3 only
(b)
1 and 2 only
(d)
1, 2 and 3
Ans
d
328.
With reference to Trade-Related Investment Measures (TRIMS), which of the
following statements is/are correct?
1.
Quantitative restrictions on imports by foreign investors are prohibited.
2.
They apply to investment measures related to trade in both goods and services.
3.
They are not concerned with the regulation of foreign investment.
Select
the correct answer using the code given below:
(a)
1 and 2 only
(c)
1 and 3 only
(b)
2 only
(d)
1, 2 and 3
Ans
c
329.
If the RBI decides to adopt an expansionist monetary policy, which of the
following would it not do ?
1.
Cut and optimize the Statutory Liquidity Ratio
2.
Increase the Marginal Standing Facility Rate
3.
Cut the Bank Rate and Repo Rate
Select
the correct answer using the code given below:
(a)
1 and 2 only
(c)
1 and 3 only
(b)
2 only
(d)
1, 2 and 3
Ans
b
330.
Consider the following statements:
1.
In terms of short-term credit delivery to the agriculture sector, District
Central Cooperative Banks (DCCBs) deliver more credit in comparison to
Scheduled Commercial Banks and Regional Rural Banks.
2.
One of the most important functions of DCCBs is to provide funds to the Primary
Agricultural Credit Societies.
Which
of the statements given above is/are correct ?
(a)
1 only
(c)
Both 1 and 2
(b)
2 only
(d)
Neither 1 nor 2
Ans
b
331.
With reference to Indian economy, demand- pull inflation can be
caused/increased by which of the following ?
1.
Expansionary policies
2.
Fiscal stimulus
3.
Inflation-indexing wages
4.
Higher purchasing power
5.
Rising interest rates
Select
the correct answer using the code given below.
(a)
1, 2 and 4 only
(b)
3, 4 and 5 only
(c)
1, 2, 3 and 5 only
(d)
1, 2, 3, 4 and 5
Ans.
(a)
332.
In India, the central bank's function as the 'lender of last resort' usually
refers to which of the following ?
1.
Lending to trade and industry bodies when they fail to borrow from other
sources
2.
Providing liquidity to the banks having a temporary crisis
3.
Lending to governments to finance budgetary deficits
Select
the correct answer using the codes given below.
(a)
1 and 2
(b)
2 only
(c)
2 and 3
(d)
3 only
Ans.
b
333.
Consider the following statements:
1.
The Governor of the Reserve Bank of India (RBI) is appointed by the Central
Government.
2.
Certain provisions in the Constitution of India give the Central Government the
right to issue directions to the RBI in public interest.
3.
The Governor of the RBI draws his power from the RBI Act.
Which
of the above statements are correct?
(a)
1 and 2 only
(c)
1 and 3 only
(b)
2 and 3 only
(d)
1, 2 and 3
Ans
c
334.
With reference to casual workers employed in India, consider the following
statements:
1.
All casual workers are entitled for Employees Provident Fund coverage.
2.
All casual workers are entitled for regular working hours and overtime payment.
3.
The government can by a notification specify that an establishment or industry
shall pay wages only through its bank account.
Which
of the above statements are correct ?
(a)
1 and 2 only
(c)
1 and 3 only
(b)
2 and 3 only
(d)
1, 2 and 3
Ans
b
335.
Which among the following steps is most likely to be taken at the time of an
economic recession ?
(a)
Cut in tax rates accompanied by increase in interest rate.
(b)
Increase in expenditure on public projects.
(c)
Increase in tax rates accompanied by reduction of interest rate.
(d)
Reduction of expenditure on public projects.
Ans.
b
336.
Consider the following statements:
Other
things remaining unchanged, market demand for a good might increase if
1.
price of its substitute increases
2.
price of its complement increases
3.
the good is an inferior good and income of the consumers increases
4.
its price falls Which of the above statements are correct?
(a)
1 and 4 only
(c)
1, 3 and 4
(b)
2, 3 and 4
(d)
1, 2 and 3
Ans
a
337.
Consider the following:
1.
Foreign currency convertible bonds
2.
Foreign institutional investment with certain conditions
3.
Global depository receipts
4.
Non-resident external deposits
Which
of the above can be included in Foreign Direct Investments ?
(a)
1, 2 and 3
(b)
3 only
(c)
2 and 4
(d)
1 and 4
Ans
a
338.
Consider the following statements:
The
effect of devaluation of a currency is that it necessarily
1.
improves the competitiveness of the domestic exports in the foreign markets
2.
increases the foreign value of domestic currency
3.
improves the trade balance
Which
of the above statements is/are correct?
(a)
1 only
(c)
3 only
(b)
1 and 2
(d)
2 and 3
Ans.
(a)
339.
Which one of the following is likely to be the most inflationary in its effects
?
(a)
Repayment of public debt
(b)
Borrowing from the public to finance a budget deficit
(c)
Borrowing from the banks to finance a budget deficit
(d)
Creation of new money to finance a budget deficit
Ans.
(d)
340.
"Rapid Financing Instrument" and "Rapid Credit Facility"
are related to the provisions of lending by which one of the following?
(a)
Asian Development Bank
(b)
International Monetary Fund
(c)
United Nations Environment Programme Finance Initiative
(d)
World Bank
Ans.
(b)
341.
With reference to the Indian economy, consider the following statements :
1.
An increase in Nominal Effective Exchange Rate (NEER) indicates the
appreciation of rupee.
2.
An increase in the Real Effective Exchange Rate (REER) indicates an improvement
in trade competitiveness.
3.
An increasing trend in domestic inflation relative to inflation in other
countries is likely to cause an increasing divergence between NEER and REER.
Which
of the above statements are correct?
(a)
1 and 2 only
(c)
1 and 3 only
(b)
2 and 3 only
(d)
1, 2 and 3
Ans
c
342.
With reference to the Indian economy, consider the following statements :
1.
If the inflation is too high, Reserve Bank of India (RBI) is likely to buy
government securities.
2.
If the rupee is rapidly depreciating, RBI is likely to sell dollars in the
market.
3.
If interest rates in the USA or European Union were to fall, that is likely to
induce RBI to buy dollars.
Which
of the statements given above are correct ?
(a)
1 and 2 only
(c)
1 and 3 only
(b)
2 and 3 only
(d)
1, 2 and 3.
Ans
b
343.
With reference to the Indian economy, what are the advantages of
"Inflation-Indexed Bonds (IIBs)" ?
1.
Government can reduce the coupon rates on its borrowing by way of IIBs.
2.
IIBs provide protection to the investors from uncertainty regarding inflation.
3.
The interest received as well as capital gains on IIBs are not taxable.
Which
of the statements given above are correct?
(a)
1 and 2 only
(c)
1 and 3 only
(b)
2 and 3 only
(d)
1, 2 and 3
Ans
a
344.
With reference to foreign-owned e-commerce firms operating in India, which of
the following statements is / are correct?
1.
They can sell their own goods in addition to offering their platforms as
market-places.
2.
The degree to which they can own big sellers on their platforms is limited.
Select
the correct answer using the code given below:
(a)
1 only
(c)
Both 1 and 2
(b)
2 only
(d)
Neither 1 nor 2
Ans.
b
345.
Which of the following activities constitute real sector in the economy ?
1.
Farmers harvesting their crops
2.
Textile mills converting raw cotton into fabrics
3.A
commercial bank lending money to a trading company.
4.A
corporate body issuing Rupee Denominated Bonds overseas.
Select
the correct answer using the code given below:
(a)
1 and 2 only
(c)
1, 3 and 4 only
(b)
2, 3 and 4 only
(d)
1, 2, 3 and 4
Ans.
(a)
346.
With reference to the Indian economy, consider the following statements :
1.
A share of the household financial savings
goes
towards government borrowings.
2.
Dated securities issued at market-related rates in auctions form a large
component of internal debt.
Which
of the above statements is/are correct?
(a)
1 only
(c)
Both 1 and 2
(b)
2 only
(d)
Neither 1 nor 2
Ans
c
347.
Consider the following statements:
1.
Tight monetary policy of US Federal Reserve could lead to capital flight.
2.
Capital flight may increase the interest cost of firms with existing External
Commercial Borrowings (ECBs).
3.
Devaluation of domestic currency decreases
the
currency risk associated with ECBs.
Which
of the statements given above are correct?
(a)
1 and 2 only
(b)
2 and 3 only
(c)
1 and 3 only
(d)
1, 2 and 3
Ans.
a
348.
Consider the following statements:
1.
In India, credit rating agencies are regulated by Reserve Bank of India.
2.
The rating agency popularly known as ICRA is a public limited company.
3.
Brickwork Ratings is an Indian credit rating
agency.
Which
of the statements given above are correct ?
(a)
1 and 2 only
(c)
1 and 3 only
(b)
2 and 3 only
(d)
1, 2 and
Ans
b
-
349. In India, which one of the following is responsible for maintaining price
stability by controlling inflation?
(a)
Department of Consumer Affairs
(b)
Expenditure Management Commission
(c)
Financial Stability and Development Council
(d)
Reserve Bank of India
Ans.
(d)
350.
In India, which one of the followin information on industrial disputes,
closures, retrenchments and lay-offs in factories employing workers ?
(a)
Central Statistics Office
(b)
Department for Promotion of Industry and Internal Trade
(c)
Labour Bureau
(d)
National Technical Manpower Information System
Ans.
C
351.
With reference to the "Tea Board" in India, consider the following
statements:
1.
The Tea Board is a statutory body.
2.
It is a regulatory body attached to the Ministry of Agriculture and Farmers
Welfare.
3.
The Tea Board's Head Office is situated in Bengaluru.
4.
The Board has overseas offices at Dubai and Moscow.
Which
of the statements given above are correct ?
(a)
1 and 3
(b)
2 and 4
(c)
3 and 4
(d)
1 and 4
Ans.
d