MCQs
Total Questions : 650
| Page 65 of 65 pages
Answer: Option B. -> developing economy
Answer: (b)
Answer: (b)
Answer: Option D. -> GNP – NNP
Answer: (d)Depreciation is equal to GNP–NNP (Gross national products–Net national products) Depreciation is also known as consumption of fixed capital. It is the wear and tear to the physical assets. It measures the amount of GNP that must be spent on new capital goods to maintain the existing physical capital stock.
Answer: (d)Depreciation is equal to GNP–NNP (Gross national products–Net national products) Depreciation is also known as consumption of fixed capital. It is the wear and tear to the physical assets. It measures the amount of GNP that must be spent on new capital goods to maintain the existing physical capital stock.
Answer: Option D. -> Devaluation
Answer: (d)Deflation may be caused by a combination of the supply and demand for goods and the supply and demand for money, specifically the supply of money going down and the supply of goods going up.
Answer: (d)Deflation may be caused by a combination of the supply and demand for goods and the supply and demand for money, specifically the supply of money going down and the supply of goods going up.
Answer: Option B. -> all the above
Answer: (b)Money laundering occurs in three steps: the first step involves introducing cash into the financial system by some means called as placement; the second involves carrying out complex financial transactions to camouflage the illegal source called layering; and the final step entails acquiring wealth generated from the transactions of the illicit funds called as integration.
Answer: (b)Money laundering occurs in three steps: the first step involves introducing cash into the financial system by some means called as placement; the second involves carrying out complex financial transactions to camouflage the illegal source called layering; and the final step entails acquiring wealth generated from the transactions of the illicit funds called as integration.
Answer: Option D. -> Encourage exports
Answer: (d)
The major aim of devaluation is to encourage exports. Devaluation is a deliberate downward adjustment to the value of a country’s currency, relative to another currency, group of currencies. One reason a country may devaluate its currency is to combat trade imbalances.
Devaluation causes a country’s exports to become less expensive, making them more competitive on the global market. This in turn means that imports are more expensive, making domestic consumers less likely to purchase them.
Answer: (d)
The major aim of devaluation is to encourage exports. Devaluation is a deliberate downward adjustment to the value of a country’s currency, relative to another currency, group of currencies. One reason a country may devaluate its currency is to combat trade imbalances.
Devaluation causes a country’s exports to become less expensive, making them more competitive on the global market. This in turn means that imports are more expensive, making domestic consumers less likely to purchase them.
Answer: Option C. -> Excess reserves
Answer: (c)
In banking, excess reserves are bank reserves in excess of the reserve requirement set by a central bank. They are reserves of cash more than the required amounts.
Holding excess reserves has an opportunity cost if higher risk-adjusted interest can be earned by putting the funds elsewhere; the advantage of holding some funds in excess reserves is that doing so may provide enhanced liquidity and therefore the more smooth operation of the payment system.
Answer: (c)
In banking, excess reserves are bank reserves in excess of the reserve requirement set by a central bank. They are reserves of cash more than the required amounts.
Holding excess reserves has an opportunity cost if higher risk-adjusted interest can be earned by putting the funds elsewhere; the advantage of holding some funds in excess reserves is that doing so may provide enhanced liquidity and therefore the more smooth operation of the payment system.
Answer: Option A. -> December 31, 2015
Answer: (a)
The Reserve Bank of India on 25 June 2015 extended the deadline for exchanging pre-2005 currency notes of various denominations, including Rs 500 and Rs 1,000, till December 31, 2015.
The rationale behind the move to withdraw banknotes printed prior to 2005 is to remove them from the market because they have fewer security features compared with banknotes printed after 2005.
Answer: (a)
The Reserve Bank of India on 25 June 2015 extended the deadline for exchanging pre-2005 currency notes of various denominations, including Rs 500 and Rs 1,000, till December 31, 2015.
The rationale behind the move to withdraw banknotes printed prior to 2005 is to remove them from the market because they have fewer security features compared with banknotes printed after 2005.
Answer: Option A. -> 3 only
Answer: (a)Open market operation : When RBI buys/sells securities in open market, in case of OMO, first party permanently sells the Government security to second party. Second party is free to do whatever it wants with that security.
Answer: (a)Open market operation : When RBI buys/sells securities in open market, in case of OMO, first party permanently sells the Government security to second party. Second party is free to do whatever it wants with that security.
Question 649. Consider the following systems was/were provided by the Government of India, Act 1935:
Which of the systems given above is correct:
- Separation of provincial budgets from the central budget for the first time.
- Introduction of portfolio system in the Executive.
- Establishment of a Federal public service commission.
Which of the systems given above is correct:
Answer: Option C. -> 3 only
Answer: (c)
The limited advisory function accorded to the Public Service Commission and the continued stress on this aspect by the leaders of our freedom movement resulted in the setting up of a Federal Public Service Commission under the Government of India Act, 1935.
The Federal Public Service Commission became the Union Public Service Commission after Independence. The portfolio system in the Executive was introduced by the Indian constitution council act, 1861.
The separation of provincial budgets from the central budget was introduced by the Indian council's Act, 1919.
Answer: (c)
The limited advisory function accorded to the Public Service Commission and the continued stress on this aspect by the leaders of our freedom movement resulted in the setting up of a Federal Public Service Commission under the Government of India Act, 1935.
The Federal Public Service Commission became the Union Public Service Commission after Independence. The portfolio system in the Executive was introduced by the Indian constitution council act, 1861.
The separation of provincial budgets from the central budget was introduced by the Indian council's Act, 1919.
Answer: Option A. -> Steel Industry
Answer: (a)
Capital Intensive Industry refers to that industry that requires a substantial amount of capital for the production of goods. In the Capital Intensive Industries, the proportion of capital involved is much higher than the proportion of labour.
This is because the industrial structure and industry type require high-value investments in capital assets. On the basis of this standard, the iron and steel industry can be termed as a capital intensive industry.
Answer: (a)
Capital Intensive Industry refers to that industry that requires a substantial amount of capital for the production of goods. In the Capital Intensive Industries, the proportion of capital involved is much higher than the proportion of labour.
This is because the industrial structure and industry type require high-value investments in capital assets. On the basis of this standard, the iron and steel industry can be termed as a capital intensive industry.
Latest Videos
Latest Test Papers
Login With Google
Old way of Login
Login With Email