Q1.Gilt-edged market means
(a)bullion market
(b)the market of government securities
(c)the market of guns
(d)the market of pure metals
Q2.Devaluation of a currency means
(a)reduction in the value of a currency vis-a-vis major internationally traded currencies
(b)permitting the currency to seek its worth in the international market
(c)fixing the value of the currency in conjunction with the movement in the value of a basket of pre-determined currencies
(d)fixing the value of the currency in multilateral consultation with the IMF, the World Bank, and major trading partners
Q3.Development expenditure of the Central government does not include
(a)defence expenditure
(b)expenditure on economic services
(c)grant to states
(d)expenditure on social and community services
Q4.Gross domestic capital formation is defined as
(a)expenditure incurred on physical assets only
(b)the flow of expenditure devoted to increased or maintaining of the capital stock
(c)production exceeding demand
(d)net addition to stock after depreciation
Q5.In the second nationalization of commercial banks, how many banks were nationalized?
(a)4
(b)5
(c)6
(d)8
Q6.A regressive tax will tend to redistribute income more
(a)equally
(b)unequally
(c)equitably
(d)inequitably
Q7.Disguised unemployment in India is mainly related to 1.Agricultural sector 2.Rural Area 3.Factory Sector 4.Urban Area
(a)1 and 2
(b)1 and 3
(c)2 and 4
(d)3 and 4
Q8.Indian agriculture is typically characterized as:
(a)land surplus, labour scarce economy
(b)land surplus, labour surplus economy
(c)Land scarce, labour surplus economy
(d)land scarce, labour scarce economy.
Q9.Price Theory is also known as:
(a)Macro Economics
(b)Development Economics
(c)Public Economics
(d)Micro Economics
Q10.When too much money is chasing too few goods, the situation is:
(a)Deflation
(b)Inflation
(c)Recession
(d)Stagflation
Q11.Cheap Money means:
(a)Low rates of interest
(b)Low level of saving
(c)Low level of income
(d)Low level of Standard of living
Q12.Kisan credit card scheme was introduced in:
(a)1991
(b)1996
(c)1998
(d)2000
Q13.The government takes ‘ways and means advances’ from:
(a)RBI
(b)IDBI
(c)SBI
(d)ICICI
Q14.With which form of economy is the term ‘Laissez-faire’ associated?
(a)Capitalist economy
(b)Socialist economy
(c)Mixed economy
(d)Command economy
Q15.The definition of ‘small-scale industry’ in India is based on
(a)Sales by the unit
(b)Investment in machines and equipment
(c)Market coverage
(d)Export capacity
