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Indian Economy
Comments
Question
Deficit financing implies
Options
A. printing new currency notes
B. replacing new currency with worn out currency
C. public expenditure in excess of public revenue
D. public revenue in excess of public expenditure
Correct Answer
public expenditure in excess of public revenue
Indian Economy problems
Search Results
1. Since 1983, the RBI's responsibility with respect to regional rural banks was transferred to
Options
A. ARDC
B. SBI
C. NABARD
D. PACs
Show Answer
Scratch Pad
Discuss
Correct Answer: NABARD
2. Reserve Bank of India was nationalized in the year
Options
A. 1935
B. 1945
C. 1949
D. 1969
Show Answer
Scratch Pad
Discuss
Correct Answer: 1949
Explanation:
RBI established in 1935 and nationalized in 1949.
Ref: http://en.wikipedia.org/wiki/Reserve_Bank_of_India
3. In India, which one among the following formulates the fiscal policy?
Options
A. Planning Commission
B. Ministry of Finance
C. Finance Commission
D. The Reserve Bank of India
Show Answer
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Discuss
Correct Answer: Ministry of Finance
4. Foreign Direct Investment ceilings in the telecom sector have been raised from 74 percent to
Options
A. 80 percent
B. 83 percent
C. 90 percent
D. 100 percent
Show Answer
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Discuss
Correct Answer: 100 percent
5. The banks are required to maintain a certain ratio between their cash in the hand and totals assets. This is called
Options
A. Statutory Bank Ratio (SBR)
B. Statutory Liquid Ratio (SLR)
C. Central Bank Reserve (CBR)
D. Central Liquid Reserve (CLR)
Show Answer
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Discuss
Correct Answer: Statutory Liquid Ratio (SLR)
6. Which of the following is the most appropriate cause of exports surplus?
Options
A. Country's exports promotion value
B. Country's stringent import policy
C. Developments in national and international markets
D. None of the above
Show Answer
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Discuss
Correct Answer: Developments in national and international markets
7. If an economy is equilibrium at the point where plans to save and to invest are equal, then government expenditure must be
Options
A. zero
B. equal to government income
C. larger than government income
D. negative
Show Answer
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Discuss
Correct Answer: equal to government income
8. Subsidies mean
Options
A. payment by government for purchase of goods and services
B. payment made by business enterprises to factors of production
C. payment made by companies to shareholders
D. payment made by the government to business enterprises, without buying any goods and services
Show Answer
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Discuss
Correct Answer: payment made by the government to business enterprises, without buying any goods and services
9. The co-operative credit societies have a
Options
A. two-tier structure
B. three-tier structure
C. four-tier structure
D. five-tier structure
Show Answer
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Discuss
Correct Answer: three-tier structure
10. Devaluation of currency leads to
Options
A. fall in domestic prices
B. increase in domestic prices
C. no impact on domestic prices
D. erratic fluctuations in domestic prices
Show Answer
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Discuss
Correct Answer: increase in domestic prices
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