Contents
Agriculture
Banking
AGRICULTURE SECTOR
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 costs
(d) Procurement incidentals and charges for godowns
(c) Procurement incidentals and distribution costs
Consider the following:
1. Areca nut
2. Barley
3. Coffee
4. Finger millet
5. Groundnut
6. Sesamum
7. Turmeric
The Cabinet Committee on Economic Affairs has announced the Minimum Support Price for
which of the above?
(a) 1, 2, 3 and 7 only
(b) 2, 4, 5 and 6 only
(c) 1, 3, 4, 5 and 6 only
(d) 1, 2, 3, 4, 5, 6 and 7
(b) 2, 4, 5 and 6 only
Consider the following statements:
1. The Food Safety and Standards Act, 2006 replaced the Prevention of Food Adulteration Act,
1954.
2. The Food Safety and Standards Authority of India (FSSAI) is under the charge of Director
General of Health Services in the Union Ministry of Health and Family Welfare.
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
(c) Both 1 and 2
With reference to the provisions made under the National Food Security Act, 2013,
consider the following statements:
1. The families coming under the category of ‘below poverty line (BPL)’ only are
eligible to receive subsidised food grains.
2. The eldest woman in a household, of age 18 years or above, shall be the head of
the household for the purpose of issuance of a ration card.
3. Pregnant women and lactating mothers are entitled to a ‘take-home ration’ of
1600 calories per day during pregnancy and for six months thereafter.
Which of the statements given above is/are correct?
(a) 1 and 2 only
(b) 2 only
(c) 1 and 3 only
(d) 3 only
(b) 2 only
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
(b) 2 only
(c) Both 1 and 2
(d) Neither1 nor 2
(c) Both 1 and 2
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
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
(a) 1 only
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 above is/are correct?
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
(b) 2 only
Which one of the following best describes the main objective of Seed Village Concept?
(a) Encouraging the farmers to use their own farm seeds and discouraging them to buy the
seeds from others
(b) Involving the farmers for training in quality seed production and thereby to make available
quality seeds to others at appropriate time and affordable cost
(c) Earmarking some villages exclusively for the production of certified seeds
(d) Identifying the entrepreneurs in villages and providing them technology and finance to set
up seed companies
(b) Involving the farmers for training in quality seed production
and thereby to make available quality seeds to others at
appropriate time and affordable cost
The Fair and Remunerative Price (FRP) 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
(a) Cabinet Committee on Economic Affairs
Consider the following statements:
1. The Accelerated Irrigation Benefits Programme was launched during 1996-97
to provide loan assistance to poor farmers.
2. The Command Area Development Programme was launched in 1974-75 for
the development of water-use efficiency,
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
(d) Neither 1 nor 2
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
(b) Agricultural Produce Market Committee Act enacted by
States
In the context of food and nutritional security of India, enhancing the ‘Seed Replacement Rates’
of various crops helps in achieving the food production targets of the future. But what is/are the
constraint/ constraints in its wider/greater implementation?
1. There is no National Seeds Policy in place.
2. There is no participation of private sector seed companies in the supply of quality seeds of
vegetables and planting materials of horticultural crops.
3. There is a demand-supply gap regarding quality seeds in case of low value and high volume
crops.
Select the correct answer using the code given below.
(a) 1 and 2
(b) 3 only
(c) 2 and 3
(d) None
(b) 3 only
With what purpose is the Government of India promoting the concept of “Mega Food Parks”?
1. To provide good infrastructure facilities for the food processing industry.
2. To increase the processing of perishable items and reduce wastage.
3. To provide emerging and eco-friendly food processing technologies to entrepreneurs.
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
(d) 1, 2 and 3
MONEY and BANKING
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
(b) Deposits
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
(d) Increase in the population of the country
(b) Increase in the banking habit of the population
What was the purpose of the 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
or more
(d) To aim at faster resolution of stressed assets of Rs 50 crore or more which are
under consortium lending.
(d) To aim at faster resolution of stressed assets of Rs 50
crore or more which are under consortium lending.
The Chairman 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
(a) Banks Board Bureau
The Reserve Bank of India’s recent directives relating to ‘Storage of Payment System Data’,
popularly known as data diktat command the payment system providers that :
1.They shall ensure that entire data relating to payment systems operated by them are stored in a
system only in India.
2.They shall ensure that the systems are owned and operated by public sector enterprises.
3.They shall submit the consolidated system audit report to the comptroller and Auditor General
of India by the end of the calendar year.
Which of the statements given above is/are correct
(a) 1 only
(b)1 and 2 only
(c) 3 only
(d) 1,2 and 3 only
(a) 1 only
The Service 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
(b) Lead Bank Scheme
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
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
(b) 2 only
Which one of the following statements correctly describes 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 compulsion 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
(b) The money which a creditor is under compulsion to accept
in settlement of his claims
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
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
(a) 1 only
With reference to digital payments, consider the following statements:
1. BHIM app allows the user to transfer money to anyone with a UPI-enabled bank account.
2. While a chip-pin debit card has four factors of authentication, BHIM app has only two factors of
authentication.
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
(a) 1 only
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
(c) National Payments Corporation of India
Consider the following statements:
1. Aadhaar card can be used as a proof of citizenship or domicile.
2. Once issued, Aadhaar number cannot be deactivated or omitted by the Issuing Authority.
Which of the statements given above is/are correct?
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither1 nor 2
(d) Neither1 nor 2
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) Neither1 nor 2
(c) Both 1 and 2
Which of the following statements best describes the term ‘Scheme for Sustainable Structuring of
Stressed Assets (S4A)’, recently seen in the news?
(a) It is a procedure for considering ecological costs of developmental schemes formulated by the
Government.
(b) It is a scheme of RBI for reworking the financial structure of big corporate entities facing genuine
difficulties.
(c) It is a disinvestment plan of the Government regarding Central Public Sector Undertakings.
(d) It is an important provision in The Insolvency and Bankruptcy Code’ recently implemented by the
Government.
. (b) It is a scheme of RBI for reworking the financial structure of
big corporate entities facing genuine difficulties.
Which of the following is a most likely consequence of implementing the Unified Payments
Interface (UPI)?
(a) Mobile wallets will not be necessary for online payments.
(b) Digital currency will totally replace the physical currency in about two decades.
(c) FDI inflows will drastically increase.
(d) Direct transfer of subsidies to poor people will become very effective.
(a) Mobile wallets will not be necessary for online payments.
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 using the code given below:
(a) 1 and 2 only
(b) 2 and 3 only
(c) 1 and 3 only
(d) 1, 2 and 3
(a) 1 and 2 only
‘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
(b) 1 and 3 only
(c) 2 only
(d) 1, 2 and 3
(b) 1 and 3 only
‘Basel III Accord’ or simply ‘Basel III’, often seen in the news, seeks to
(a) develop national strategies for the conservation and sustainable use of biological diversity
(b) improve banking sector’s ability to deal with financial and econo-mic stress and improve risk
management
(c) reduce the greenhouse gas emissions but places a heavier burden on developed countries
(d) transfer technology from developed countries to poor countries to enable them to replace the use of
chlorofluorocarbons in refrigeration with harmless chemicals
(b) improve banking sector’s ability to deal with financial and
econo-mic stress and improve risk management
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 the marginalized communities
(c) promoting financial inclusion in the country
What is/are the facility/facilities the beneficiaries can get from the services of Business
Correspondent (Bank Saathi) in branchless areas?
1. It enables the beneficiaries to draw their subsidies and social security benefits in their
villages.
2. It enables the beneficiaries in the rural areas to make deposits and withdrawals.
Select the correct answer using the code given below.
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
(c) Both 1 and 2
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
(d) All of the above
Which of the following grants/grant direct credit assistance to rural
households?
1. Regional Rural Banks
2. National Bank for Agriculture and Rural Development
3. Land Development Banks
Select the correct answer using below.
(a) 1 and 2 only
(c) 1 and 3 only
(b) 1 and 3 only
(d) 1, 2 and 3
(b) 1 and 3 only
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 assets in the decreasing order of liquidity is
(a) 1-4-3-2
(b) 4-3-2-1
(c) 2-3-1-4
(d) 4-1-3-2
(d) 4-1-3-2
The Reserve Bank of India regulates the commercial banks in matters of
1. Liquidity of assets
2. Branch expansion
3. Merger of banks
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
(d) 1, 2, 3 and 4
The Reserve Bank of India (RBI) acts as a bankers’ bank.
This would imply which of the following?
1. Other banks retain 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
(d) 1, 2 and 3
The basic aim of Lead Bank Scheme is that
(a) big banks should try to open offices in each district
(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
(c) individual banks should adopt particular districts for
intensive development
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
(a) Commercial Banks
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
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 or 2
(c) Both 1 and 2
TAXATION
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 (Good and Services Tax)?
(a) 1 only
(b) 2 and 3 only
(c) 1, 2 and 4 only
(d) 1, 2, 3 and 4
(c) 1, 2 and 4 only
With reference to India’s decision to levy an equalization tax of 6% on online advertisement
services offered by non-resident entities, which of the following statements is/are correct?
1. It is introduced as a part of the Income Tax Act.
2. Non-resident entities that offer advertisement services in India can claim a tax credit in their
home country under the “Double Taxation Avoidance Agreements”.
Select the correct answer using the code given below:
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
(d) Neither 1 nor 2
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 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
(b) 2 and 3 only
(c) 1 and 3 only
(d) 1, 2 and 3
(a) 1 only
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
(d) tax imposed and collected by the State Government
A decrease in tax to GDP ratio of a country indicates which of the following?
1. Slowing economic growth rate
2. Less equitable distribution of national income
Select the correct answer using the code given below.
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither1 nor 2
(b) 1 only
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
(b) 2 and 3 only
Which one of the following is not a feature of “Value Added Tax”?
(a) It is a multi point destination based system of taxation.
(b) It is a tax levied on value addition at each stage of transaction in the productiondistribution chain.
(c) It is a tax on final consumption of goods or services and must ultimately be borne by
consumer.
(d) It is basically subject of the central government and state government are merely
facilitator for its successful implementation.
(d) It is basically subject of the central government and state government are merely
facilitator for its successful implementation.
FISCAL POLICY
In India, which of the following review the independent regulators in sectors
like telecommunications, insurance, electricity etc. ?
1.Ad Hoc Committees set up by the Parliament.
2.Parliamentary Department Related Standing Committees
3.Finance Commission
4.Financial Sector Legislative Reforms Commission
5.NITI Aayog
Select the correct answer using the code given below.
(a) 1 and 2
(b) 1 , 3 and 4
(c) 3, 4 and 5
(d) 2 and 5
(a) 1 and 2
Consider the following statements:
1. The Fiscal Responsibility and Budget Management (FRBM) Review Committee Report has recommended a
debt to GDP ratio of 60% for the general (combined) government by 2023, comprising 40% for the Central
Government and 20% for the State Governments.
2. The Central Government has domestic liabilities of 21% of GDP as compared to that of 49% of GDP of the
State Governments.
3. As per the Constitution of India, it is mandatory for a State to take the Central Government’s consent for
raising any loan if the former owes any outstanding liabilities to the latter.
Which of the statements given above is/are correct?
(a) 1 only
(b) 2 and 3 only
(c) 1 and 3 only
(d) 1, 2 and 3
(b) 2 and 3 only
Consider the following statements:
1. Tax revenue as a percent of GDP of India has steadily increased in the last decade.
2. Fiscal deficit as a percent of GDP of India has steadily increased in the last decade.
Which of the statements given above is/are correct?
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither I nor 2
(a) 1 only
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
(b) 2 and 3 only
(c) 1 and 3 only
(d) 1, 2 and 3
(d) 1, 2 and 3
There has been a persistent deficit budget year after year. Which action/actions of the following
can be taken by the Government to reduce the deficit?
1. Reducing revenue expenditure
2. Introducing new welfare schemes
3. Rationalizing subsidies
4. Reducing import duty
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, 3 and 4
(c) 1 and 3 only
With reference to the Fourteenth Finance Commission, which of the following statements is/are
correct?
1. It has increased the share of States in the central divisible pool from 32 percent to 42 percent.
2. It has made recommendations concerning sector-specific grants.
Select the correct answer using the code given below.
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
(c) Both 1 and 2
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
(b) 2 and 3 only
(c) 1, 2, 3 and 4
(d) None
(c) 1, 2, 3 and 4
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
(a) Economic development
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
(b) It is an intense affirmative action of the Government to
boost economic activity in the country
EXTERNAL SECTOR
Among the following, which one of the following is the largest
exporter of rice in the world in the last five years?
(a) China
(b) India
(c) Myanmar
(d) Vietnam
(b) India
Among the agricultural commodities imported by India, which one
of the following accounts for the highest imports in terms of value
in the last five years?
(a) Spices
(b) Fresh fruits
(c) Pulses
(d) Vegetable oils
(d) Vegetable oils
Consider the following statements:
1.Most of India’s external debt is owed by government 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
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
(d) Neither 1 nor 2
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
(b) 1 and 3 only
(c) 2 only
(d) 1,2 and 3 only
(b) 1 and 3 only
Which of the following is issued by registered foreign portfolio investors to
overseas investors who want to be part of the Indian stock market without
registering themselves directly?
(a) Certificate of Deposit
(b) Commercial Paper
(c) Promissory Note
(d) Participatory Note
(d) Participatory Note
Consider the following statements:
1. The quantity of imported edible oils is more than the domestic production of edible oils in the last
five years.
2. The Government does not impose any customs duty on all the imported edible oils as a special
case.
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
(a) 1 only
Which of the following best describes the term ‘import cover’, sometimes seen in
the news?
(a) It is the ratio of value of imports to the Gross Domestic Product of a country
(b) It is the total value of imports of a country in a year
(c) It is the ratio between the value of exports and that of imports between two
countries
(d) It is the number of months of imports that could be paid for by a country’s
international reserves
(d) It is the number of months of imports that could be paid for by a country’s international reserves
What is/are the purpose/purposes of Government’s ‘Sovereign Gold Bond Scheme’ and ‘Gold
Monetization Scheme”?
1. To bring the idle gold lying with Indian households into the economy
2. To promote FDI in the gold and jewellery sector
3. To reduce India’s dependence on gold imports
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
(d) 1, 2 and 3
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
(c) freely permitting the conversion of rupee to other
currencies and vice versa
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
(c) dollars and other hard currencies
What does venture capital mean?
(a) A short-term capital provided to industries
(b) A long-term start-up capital provided to new entrepreneurs
(c) Funds provided to industries at times of incurring losses
(d) Funds provided for replacement and renovation of industries
(b) A long-term start-up capital provided to new entrepreneurs
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
(b) 2 and 3
(c) 1 and 3
(d) 1, 2 and 4
(c) 1 and 3
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
(b) Foreign-currency assets, gold holdings of the RBI and SDRs
The balance of payments of a country is a systematic record of
(a) All import and export transactions of a country during a given period of time,
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
(a) All import and export transactions of a country during a
given period of time, normally a year
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
(b) 1, 2 and 4
Consider the following statements: The price of any currency in international
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
(b) 2 and 3 only
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
(b) 2 and 4 only
(c) 1 and 3 only
(d) 1, 2 and 3 only
(d) 1, 2 and 3 only
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 FIls.
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
(c) 3 only
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 sectors
(c) FDI flows only into the secondary market, while FII targets primary market.
(d) FII is considered to be more stable than FDI
(b) FII helps in increasing capital availability in general, while FDI only targets specific sectors
In terms of economy, the visit by foreign nationals to witness the XIX Common Wealth
Games in India amounted to
(a) Export
(b) Import
(c) Production
(d) Consumption
(a) Export
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
(d) neither exports nor imports take place
FINANCIAL SECTOR
With reference to ‘Financial Stability and Development Council’, consider the following
statements:
1. It is an organ of NITI Aayog.
2. It is headed by the Union Finance Minister
3. It monitors macro-prudential supervision of the economy.
Which of the statements given above is/ are correct?
(a) 1 and 2 only
(b) 3 only
(c) 2 and 3 only
(d) 1, 2 and 3
(c) 2 and 3 only
With reference to the Indian Renewable Energy Development Agency Limited (IREDA), which of
the following statements is/are correct?
1. It is a Public Limited Government Company.
2. It is a Non-Banking Financial Company.
Select the correct answer using the code given below.
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
(c) Both 1 and 2
INTERNATIONAL BODIES
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
(c) World Economic Forum
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
(a) Maintenance of law and order
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
(b) 2 and 3 only
(c) 1 and 3 only
(d) 1, 2 and 3 only
(a) 1 only
Consider the following countries:
1. Australia
2. Canada
3. China
4. India
5. Japan
6. USA
Which of the above are among the ‘free-trade partners’ of ASEAN?
(a) 1, 2, 4 and 5
(b) 3, 4, 5 and 6
(c) 1, 3, 4 and 5
(d) 2, 3, 4 and 6
(c) 1, 3, 4 and 5
Consider the following statements:
1. India has ratified the Trade Facilitation Agreement (TFA) of WTO.
2. TFA is a part of WTO’s Bali Ministerial Package of 2013.
3. TFA came into force in January 2016.
Which of the statements given above is/are correct?
(a) 1 and 2 only
(b) 1 and 3 only
(c) 2 and 3 only
(d) 1, 2 and 3
(a) 1 and 2 only
With reference to the ‘National Intellectual Property Rights Policy’, consider the following
statements:
1. It reiterates India’s commitment to the Doha Development Agenda and the TRIPS
Agreement.
2. Department of Industrial Policy and Promotion is the nodal agency for regulating intellectual
property rights in India.
Which of the above statements is/are correct?
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
(c) Both 1 and 2
With reference to the ‘Prohibition of Benami Property Transactions Act, 1988 (PBPT Act),
consider the following statements:
1. A property transaction is not treated as a benami transaction if the owner of the property
is not aware of the transaction.
2. Properties held benami are liable for confiscation by the Government.
3. The Act provides for three authorities for investigations but does not provide for any
appellate mechanism.
Which of the statements given above is/are correct?
(a) 1 only
(b) 2 only
(c) 1 and 3 only
(d) 2 and 3 only
(d) 2 and 3 only
‘Broad-based Trade and Investment Agreement (BTIA)’ is sometimes seen in the news in
the context of negotiations held between India and
(a) European Union
(b) Gulf Cooperation Council
(c) Organization for Economic Cooperation and Development
(d) Shanghai Cooperation Organization
(a) European Union
The term ‘Digital Single Market Strategy’ seen in the news refers to
(a) ASEAN
(b) BRICS
(c) EU
(d) G20
(c)
EU
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) Collaboration among the major banks of the 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.
(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.
With reference to `IFC Masala Bonds’, sometimes seen in the news, which of the
statements given below is/are correct?
1. The International Finance Corporation, which offers these bonds, is an arm of the World
Bank.
2. They are the rupee-denominated bonds and are a source of debt financing for the public
and private sector.
Select the correct answer using the code given below
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither1 nor 2
(c) Both 1 and 2
In the context of which of the following do you sometimes find the terms ‘amber
box, blue box and green box’ in the news?
(a) WTO affairs
(b) SAARC affairs
(c) UNFCCC affairs
(d) India-EU negotiations on FTA
(a) WTO affairs
Recently, which one of the following currencies has been proposed to be added to the basket
of IMF’s SDR?
(a) Rouble
(b) Rand
(c) Indian Rupee
(d) Renminbi
(d) Renminbi
India’s ranking in the ‘Ease of Doing Business Index’ is sometimes seen in the news.
Which of the following has declared that ranking?
(a) Organization for Economic Cooperation and Development (OECD)
(b) World Economic Forum
(c) World Bank
(d) World Trade Organization (WTO)
(c) World Bank
Consider the following statements:
1. New Development Bank has been set up by APEC.
2. The headquarters of New Development Bank is in Shanghai.
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
(b) 2 only
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 MFC’s meetings,
Which of the statements given above is/are correct?
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither I nor 2
(c) Both 1 and 2
‘Global Financial Stability Report’ is prepared by the
(a) European Central Bank
(b) International Monetary Fund
(c) International Bank for Reconstruction and Development
(d) Organization for Economic Cooperation and Development
(b) International Monetary Fund
The term ‘Base Erosion and Profit Shifting’ is sometimes seen in the news in the context of
(a) mining operation by multinational companies in resource-rich but backward areas
(b) curbing of the tax evasion by multinational companies
(c) exploitation of genetic resources of a country by multinational companies
(d) lack of consideration of environmental planning and developmental costs in the
implementation of projects
(b) curbing of the tax evasion by multinational companies
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
(d) The World Bank
The terms ‘Agreement on Agriculture’, ‘Agreement on the Application of Sanitary and Phytosanitary Measures’ and ‘Peace Clause’ appear in the news frequently in the context of affairs of the
(a) Food and Agriculture Organization
(b) United Nations Framework Conference on Climate Change
(c) World Trade Organization
(d) United Nations Environment Programme
(c) World Trade Organization
Which of the following organizations brings out the publication known as ‘World Economic
Outlook’?
(a) The International Monetary Fund
(b) The United Nations Development Programme
(c) The World Economic Forum
(d) The World Bank
(a) The International Monetary Fund
The Multi-dimensional Poverty Index developed by Oxford Poverty and Human Development
Initiative with UNDP support covers which of the following?
1. Deprivation of education, health, assets and services at household level
2. Purchasing power parity at national level
3. Extent of budget deficit and GDP growth rate at national level
Select the correct answer using the codes given below:
(a) 1 only
(b) 2 and 3 only
(c) 1 and 3 only
(d) 1, 2 and 3
(d) 1, 2 and 3
Regarding the International Monetary Fund, which one of the following statements is
correct?
(a) It can grant loans to any country
(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
(c) It grants loans to only member countries
INFLATION
Which of the following brings out the ‘Consumer Price Index Number for
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
(c) The Labour Bureau
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
(c) Decreased money circulation helps in controlling the
inflation
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
(d) 1, 2 and 3
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
(d) Creating new money to finance a budget deficit
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
(a) An increase in the rate of interest
Consider the following statements:
1. Inflation benefits the debtors.
2. Inflation benefits the bondholders.
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
(a) 1 only
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
(c) It is the impact of the price levels of previous year on the calculation of inflation rate
India has experienced persistent and high food inflation in the recent past. What could be
the reasons?
1. Due to a gradual switchover to the cultivation of commercial crops, the area under the
cultivation of food grains has steadily decreased in the last five years by about 30%.
2. As a consequence of increasing incomes, the consumption patterns of the people have
undergone a significant change.
3. The food supply chain has structural constraints.
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
(b) 2 and 3 only
INFRASTRUCTURE and INDUSTRY
Consider the following statements :
1.Petroleum and Natural Gas Regulatory Board (PNGRB) is the first regulatory body set up
by the Government of India.
2.One of the tasks of PNGRB is to ensure competitive markets for gas.
3.Appeals against the decisions of PNGRB go before the Appellate Tribunals of Electricity.
Which of the statements given above is/are correct?
(a) 1 and 2 only
(b) 2 and 3 only
(c) 1 and 3 only
(d) 1,2 and 3
(b) 2 and 3 only
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 one of the following statements given above is/ are correct?
(a) 1 only
(b) 2 and 3 only
(c) 3 only
(d) 1,2 and 3
(a) 1 only
With reference to the management of minor minerals in India,
consider the following statements :
1.Sand is a ‘minor mineral’ according to the prevailing law in the country.
2.State Governments have the power to grant mining leases of minor
minerals, but the powers regarding the formation of rules related to the
grant of minor minerals lie with the Centre Government.
3.State Governments have the power to frame rules to prevent illegal
mining of minor minerals.
Which of the statements given above is/are correct?
(a) 1 and 3 only
(b) 2 and 3 only
(c) 3 only
(d) 1, 2 and 3 only
(a) 1 and 3 only
Atal innovation mission is set up under the
(a) Department of science of technology
(b) Ministry of labour and employment
(c) NITI Ayog
(d) Ministry of skill development and entrepreneurship
(c) NITI Ayog
Consider the following statements:
1.According to the Indian Patents Act, a biological process to create a seed can be
patented in India.
2.In India, there is no Intellectual Property Appellate Board.
3.Plant Varieties are not eligible to the patented in India.
Which of the statements given above is/ are correct?
(a) 1 and 3 only
(b) 2 and 3 only
(c) 3 only
(d) 1,2, and 3
(c) 3 only
As per the Industrial Employment (Standing Orders) Central (Amendment) Rules
,2018:
1.If rules for fixed-term employment are implemented, it becomes easier for the
firms/companies to lay off workers
2.No notice of termination of employment shall be necessary in the case of temporary
workman
Which of the following statements given above is/are correct
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
(c) Both 1 and 2
Which of the following is/are the aim/aims of “Digital India” Plan of the Government of
India?
1. Formation of India’s own Internet companies like China did.
2. Establish a policy framework to encourage overseas multinational corporations that collect
Big Data to build their large data centres within our national geographical boundaries.
3. Connect many of our villages to the Internet and bring Wi-Fi to many of our schools, public
places and major tourist centres.
Select the correct answer using the code given below:
(a) 1 and 2 only
(b) 3 only
(c) 2 and 3 only
(d) 1, 2 and 3
(b) 3 only
Consider the following in respect of ‘National Career Service’:
1. National Career Service is an initiative of the Department of Personnel and Training,
Government of India.
2. National Career Service has been launched in a Mission Mode to improve the employment
opportunities to uneducated youth of the country.
Which of the above statements is/are correct?
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
(d) Neither 1 nor 2
What is the aim of the programme ‘Unnat Bharat Abhiyan’?
(a) Achieving 100% literacy by promoting collaboration between voluntary organizations and
government’s education system and local communities.
(b) Connecting institutions of higher education with local communities to address development
challenges through appropriate technologies.
(c) Strengthening India’s scientific research institutions in order to make India a scientific and
technological power.
(d) Developing human capital by allocating special funds for health care and education of rural
and urban poor, and organizing skill development programmes and vocational training for them.
(b) Connecting institutions of higher education with local communities to address development
challenges through appropriate technologies.
With reference to ‘National Investment and Infrastructure Fund’, which of the
following statements is/are correct?
1. It is an organ of NITI Aayog.
2. 2. It has a corpus of Rs. 4, 00,000 crore at present.
Select the correct answer using the code given below:
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
(d) Neither 1 nor 2
Which one of the following is a purpose of ‘UDAY’, a scheme of the Government?
(a) Providing technical and financial assistance to start-up entrepreneurs in the field of
renewable sources of energy
(b) Providing electricity to every household iv the country by 2018
(c) Replacing the coal-based power plants with natural gas, nuclear, solar, wind and tidal
power plants over a period of time.
(d) Providing for financial turnaround and revival of power distribution companies
(d) Providing for financial turnaround and revival of power distribution companies
In the ‘Index of Eight Core Industries’, which one of the following is given the highest
weight?
(a) Coal production
(b) Electricity generation
(c) Fertilizer production
(d) Steel production
(b) Electricity generation
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
(b) 2 and 3 only
In India, in the overall Index of Industrial Production, the Indices of Eight Core Industries have a
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
(c) 1, 2, 3 and 4 only
What is/are the recent policy initiative(s) of Government of India to promote the growth of
manufacturing sector?
1. Setting up of National Investment and Manufacturing Zones
2. Providing the benefit of ‘single window clearance’
3. Establishing the Technology Acquisition and Development Fund.
Select the correct answer using the codes given below:
(a) 1 only
(b) 2 and 3 only
(c) 1 and 3 only
(d) 1, 2 and 3
(d) 1, 2 and 3
Why is the Government of India disinvesting its equity in the Central Public Sector
Enterprises (CPSEs)?
1. The Government intends to use the revenue earned from the disinvestment mainly
to pay back the external debt.
2. The Government no longer intends to retain the management control of the CPSEs.
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
(d) Neither 1 nor 2
ECONOMIC DEVELOPMENT AND SOCIAL SECTOR
In a given year in India, official poverty lines are higher in some states
than in other 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
(b) Price levels vary from state to state
In the context of any country which one of the following would be considered
as part of its social capital?
(a) The proportion of literates in the population.
(b) The stock of its buildings, other infrastructure and machines.
(c) The size of the population in the working age group.
(d) The level of mutual trust and harmony in the society.
(d) The level of mutual trust and harmony in the society.
Which of the following statements is/are correct regarding the
Maternity Benefit (Amendment) Act, 2017?
1.Pregnant women are entitled for three months pre-delivery and three
months post-delivery paid leave
2.Enterprises with creches must allow the mother minimum six creche
visits daily
3.Women with two children get reduced entitlements.
Select the correct answer using the code given below
(a) 1 and 2 only
(b) 2 only
(c) 3 only
(d) 1,2 and 3
(c) 3 only
With reference to Pradhan Mantri Kaushal Vikas Yojana, consider the following statements:
1. It is the flagship scheme of the Ministry of Labour and Employment.
2. It, among other things will also impart training in soft skills, entrepreneurship, financial and
digital literacy.
3. It aims to align the competencies of the unregulated workforce of the country to the National
Skill Qualification Framework.
Which of the statements given above is/are correct?
(a) 1 and 3 only
(b) 2 only
(c) 2 and 3 only
(d) 1, 2, and 3
(c) 2 and 3 only
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
(a) Promoting skill development
Consider the following specific stages of demographic transition associated with economic
development
1. Low birthrate with low death rate
2. High birthrate with high death rate
3. High birthrate with low death rate
Select the correct order of the above stages using the codes given below:
(a) 1, 2, 3
(b) 2, 1, 3
(c) 2, 3, 1
(d) 3, 2, 1
(c) 2, 3, 1
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
(d) 1, 2 and 3
With reference to National Rural Health Mission, which of the following are the jobs of
‘ASHA’, a trained community health worker?
1. Accompanying women to the health facility for antenatal care checkup
2. Using pregnancy test kits for early detection of pregnancy
3. Providing information on nutrition and immunization
4. Conducting the delivery of baby
Select he correct answer using the codes given below:
(a) 1, 2 and 3 only
(b) 2 and 4 only
(c) 1 and 3 only
(d) 1, 2, 3 and 4
(d) 1, 2, 3 and 4
The endeavour of ‘Janani Suraksha Yojana’ Programme is
1. to promote institutional deliveries
2. to provide monetary assistance to the mother to meet the cost of delivery.
3. to provide for wage loss due to pregnancy and confinement
Which of the statements given above is/are correct?
(a) 1 and 2 only
(b) 2 only
(c) 3 only
(d) 1, 2 and 3
(a) 1 and 2 only
How does the National Rural Livelihood Mission seek to improve livelihood options of rural
poor?
1. By setting up a large number of new manufacturing industries and agribusiness centres in
rural areas
2. By strengthening ‘self-help groups’ and providing skill development
3. By supplying seeds, fertilizers, diesel pump-sets and micro-irrigation equipment free of cost
to farmers
Select the correct answer using the codes given below:
(a) 1 and 2 only
(b) 2 only
(c) 1 and 3 only
(d) 1, 2 and 3
(b) 2 only
Consider the following:
1. Hotels and restaurants
2. Motor transport undertakings
3. Newspaper establishments
4. Private medical institutions
The employees of which of the above can have the `Social Security’ coverage under
Employees’ State Insurance Scheme?
(a) 1, 2 and 3 only
(b) 4 only
(c) 1, 3 and 4 only
(d) 1, 2, 3 and 4
(d) 1, 2, 3 and 4
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
(c) 2, 3 and 4 only
(d) 1, 2, 3 and 4
(c) 2, 3 and 4 only
Among the following who are eligible to benefit from the “Mahatma Gandhi National
Rural Employment Guarantee Act”?
(a) Adult members of only the scheduled caste and scheduled tribe households
(b) Adult members of below poverty line (BPL) households
(c) Adult members of house holds of all backward communities
(d) Adult members of any household
(d) Adult members of any household
The Partnership for Action on Green Economy (PAGE), a UN mechanism to assist countries
transition towards greener and more inclusive economies, emerged at
(a) The Earth Summit on Sustainable Development 2002, Johannesburg.
(b) The United Nations Conference on Sustainable Development 2012, Rio de Janeiro.
(c) The United Nations Framework Convention on Climate Change 2015, Paris.
(d) The World Sustainable Development Summit 2016, New Delhi.
(b) The United Nations Conference on Sustainable Development 2012, Rio de Janeiro.
Consider the following statements:
Human capital formation as a concept is better explained in terms of a process which enables
1. Individuals of a country to accumulate more capital.
2. Increasing the knowledge, skill levels and capacities 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
(c) 2 and 4
What is the purpose of Vidyanjali Yojana’?
1. To enable the famous foreign educational institutions to open their campuses in India.
2. To increase the quality of education provided in government schools by taking help from the private
sector and the community.
3. To encourage voluntary monetary contributions from private individuals and organizations so as to
improve the infrastructure facilities for primary and secondary schools.
Select the correct answer using the code given below:
(a) 2 only
(b) 3 only
(c) 1 and 2 only
(d) 2 and 3 only
(a) 2 only
With reference to ‘Stand Up India Scheme’, which of the following statements is/are
correct?
1. Its purpose is to promote entrepreneurship among SC/ST and women entrepreneurs.
2. It provides for refinance through SIDBI,
Select the correct answer using the code given below.
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither1 nor 2
(c) Both 1 and 2
‘SWAYAM’, an initiative of the Government of India, aims at
(a) promoting the Self Help Groups in rural areas
(b) providing financial and technical assistance to young start-up entrepreneurs
(c) promoting the education and health of adolescent girls
(d) providing affordable and quality education to the citizens for free
(d) providing affordable and quality education to the citizens for free
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 organizations involved in the promotion of skill development and
employment generation
(a) bringing the small entrepreneurs into formal financial system
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. Same 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
(c) 1 and 3 only
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
(c) 1, 2 and 3
MACRO and INTRODUCTION
Considering the following statements :
1.Purchasing Power Parity (PPP) exchange rates are calculated by 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
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
(a) 1 only
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 industrial output.
(c) poverty and unemployment increase.
(d) imports grow faster than exports.
(c) poverty and unemployment increase.
The substitution of steel for wooden ploughs in agricultural production is an
example of
(a) labour-augmenting technological progress
(b) capital-augmenting technological progress
(c) capital-reducing technological progress
(d) None of the above
(b) capital-augmenting technological progress
Disguised unemployment generally means
(a) large number of people remain unemployed
(b) alternative employment is not available
(c) marginal productivity of labour is zero
(d) productivity of workers is low
(c) marginal productivity of labour is zero
The national income of a country for a given period is equal to the
(a) total value of goods and services produced by the nationals
(b) sum of total expenditure
(c) sum of personal income of all individuals
(d) money value of final goods and services produced
(d) money value of final goods and services produced
Economic growth in country X will occur if
(a) there is technical progress in the world economy
(b) there is population growth in X
(c) there is capital formation in X
(d) the volume of trade grows in the world economy
(c) there is capital formation in X
Despite being a high saving economy, capital formation may not result in
significant increase in output due to
(a) weak administrative machinery
(b) illiteracy
(c) high population density
(d) high capital-output ratio
(d) high capital-output ratio
With reference to Indian economy, consider the following statements:
1. The rate of growth of Real Gross Domestic Product has steadily increased in the last decade.
2. The Gross Domestic Product at market prices (in rupees) has steadily increased in the last decade.
Which of the statements given above is/are correct?
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither1 nor 2
(b) 2 only
In the context of Indian economy, consider the following statements:
1. The growth rate of GDP has steadily increased in the last five years.
2. The growth rate in per capita income has steadily increased in the last five years.
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
(d) Neither 1 nor 2
Economic growth is usually coupled with?
(a) Deflation
(b) Inflation
(c) Stagflation
(d) Hyperinflation
(b) Inflation
MICRO ECONOMICS
If a commodity is provided free to the public by the Government, then
(a) the opportunity cost is zero.
(b) the opportunity cost is ignored.
(c) the opportunity cost is transferred from the consumers of the product to the tax-paying
public.
(d) the opportunity cost is transferred from the consumers of the product to the Government.
(c) the opportunity cost is transferred from the consumers of the product to the tax-paying public.
MONETARY POLICY
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
(d) Following an expansionary monetary policy
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
(b) 3 only
(c) 2 and 3 only
(d) 1, 2 and 3
(c) 2 and 3 only
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
(a) 1 only
What is/are the purpose/purposes of the ‘Marginal Cost of Funds based Lending Rate (MCLR)’
announced by RBI?
1. These guidelines help improve the transparency in the methodology followed by banks for
determining the interest rates on advances.
2. These guidelines help ensure availability of bank credit at interest rates which are fair to the
borrowers as well as the banks.
Select the correct answer using the code given below.
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither I nor 2
(c) Both 1 and 2
When the Reserve Bank of India reduces the Statutory Liquidity Ratio by 50 basis points which of
the following is 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
(c) Scheduled Commercial Banks may cut their lending rates.
With reference to Indian 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
(c) 1 and 2
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
(c) increase the investment expenditure in the economy
The terms ‘Marginal Standing Facility Rate’ and ‘Net Demand and Time Liabilities’, sometimes
appearing in news, are used in relation to
(a) banking operations
(b) communication networking
(c) military strategies
(d) supply and demand of agricultural products
(a) banking operations
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
(b) 1 and 2 only
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
(d) Central Bank is following a tight money policy
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
(c) purchase and sale of government securities by the RBI
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) 1 only
(b) 2 and 4 only
(c) 1 and 3
(d) 2, 3 and 4
(c) 1 and 3
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
(a) More liquidity in the market
ECONOMIC HISTORY: PRE AND POST 1991
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
(b) 2 only
(c) 3 only
(d) 1,2 and 3
(a) 1 and 2 only
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
(b) 2, 3 and 4 only
(c) 2 and 3 only
(d) 1, 2, 3
(b) 2, 3 and 4 only
Which of the following are associated with ‘Planning’ in India?
1. The Finance Commission
2. The National Development Council
3. The Union Ministry of Rural Development
4. The Union Ministry of Urban Development
5. The parliament
Select the correct answer using the code given below.
(a) 1, 2 and 5 only
(b) 1, 3 and 4 only
(c) 2 and 5 only
(d) 1, 2, 3, 4 and 5
(c) 2 and 5 only
The main objective of the 12th Five-Year Plan is
(a) inclusive growth and poverty reduction
(b) inclusive growth and sustainable growth
(c) sustainable and inclusive growth to reduce unemployment
(d) faster, sustainable and more inclusive growth
(d) faster, sustainable and more inclusive growth
The Government of India has established NITI Aayog to replace the
(a) Human Rights Commission
(b) Finance Commission
(c) Law Commission
(d) Planning Commission
(d) Planning Commission