Economy Questions

30-03-2018

Don’t Google , Be Honest

Q1. In India , deficit financing is used for raising resources for:

1.    Economic development

2.    Redemption of Public debt

3.    Adjusting the balance of payments

4.    Reducing the foreign debt

Find the Correct Answer?

A)   1&2

B)   2&3

C)   1,2&4

D)   All

Q2. Consider the following Statement:

1. Higher Employment growth rate always leads to lower unemployment rate.

2. Higher GDP growth always leads to higher employment growth.

Find the Correct Answer?

A.1&2

B.Only 1

C.Only 2

D. Neither 1 and Nor 2

Q.3 With respect to various rates, regulated by RBI Consider the following Statements:

1. CRR is the ratio of total deposits of a bank which is to be maintained by Bank with itself in the form of Cash.

2. The purpose of CRR is to ensure that banks do not run out of cash to meet the payment demands of their depositors.

3.To meet SLR requirements , bank can use cash , gold, various assets owned by bank like bank building, government approved securities.

Find Correct Answer?

A.1 and 3

B. 2 Only

C.1 and 2

D. 2 and 3

Q.4 Which of the following Policies aims to reduce the current Account Deficit?

1. Currency Devaluation

2. Reduction in import duties

3. Tightening of fiscal and Monetary Policy

4. Providing export subsidies

A.1 ,2 and 3

B. 3 and 4

C.1 ,3and 4

D. 3and 4

Q.5 Which Statements are true about special economic zone:

1. They attract investment primarily from foreign sources only

2. They are  focused on increasing the import and export activities .

3. Creation of infrastructure

4. They cannot sell in domestic market generally

A.1,2

B. 2, 3 and 4

C.3and 4

D. All