Q1. The Accounting Year of Reserve Bank of India runs from:
(a) April to March
(b) July to June
(c) January to December
(d) August to July
Q2. While computing national income estimates, which of the following is required to be observed?
(a) The value of exports to be added and the value of imports to be subtracted
(b) The value of exports to be subtracted and the value of imports to be added
(c) The value of both exports and imports to be added
(d) The value of both exports and imports to be subtracted
Q3. Which of the following is the largest employer in India?
(a) Food corporation of India
(b) Posts and Telegraphs Department
(c) Indian Railways
(d) Steel Authority of India
Q4. The financial capital of India is
(a) Mumbai
(b) Chennai
(c) Delhi
(d) Chandigarh
Q5. Chairman of the Eleventh Finance Commission was
(a) A.M. Khusro
(b) Vijay Kelkar
(c) Deepak Parekh
(d) Manmohan Singh
Q6. The concept of mixed economy means
(a) to have balanced development in the agricultural and industrial sector
(b) simultaneous development of the rural and urban sector
(c) to have equal distribution of wealth among the rural and the urban poor
(d) simultaneous existence of the private and public sector
Q7. The most important source of revenue for the states in India is
(a) Corporation tax
(b) Income tax
(c) Excise duties
(d) Sales tax
Q8. National Income at factor cost is equal to
(a) Net National Product – Indirect taxes + Subsidies
(b) Net National Product – Direct taxes + Subsidies
(c) Gross National Product – Depreciation charges
(d) Net National Product – Net income from abroad
Q9. Mahalanobis Model has been associated with which Five-Year Plan?
(a) First Five-Year Plan
(b) Second Five-Year Plan
(c) Third Five-Year Plan
(d) Fourth Five-Year Plan
Q10. Finance commission is a
(a) Constitutional body
(b) Statutory body
(c) Extra constitutional body
(d) None of these
Q11. Which of the following roles/functions/responsibilities are NOT under the purview of the Finance commission?
1. Sharing of net proceeds of taxes between the Center and States
2. Recommending principles for governing the grants-in-aid to the states by the Center
3. Recommendations on matters referred to it by the President for the interest of sound finance
4. Preparation and periodical revision of electoral rolls
(a) Only 1
(b) Only 2
(c) Only 3 and 4
(d) Only 4
Q12. The marginal propensity to consume lies between
(a) 0 to 1
(b) 0 to ∞
(c) 1 to ∞
(d) ∞ to ∞
(a) Marginal revenue equals marginal cost
(b) Average revenue equals Total cost
(c) Total revenue equals total cost
(d) None of the above
Q14. Which of the following would not constitute an economic activity in Economics?
(a) A teacher teaching students in his college
(b) A teacher teaching students in a coaching institute
(c) A teacher teaching his own daughter at home
(d) A teacher teaching students under Sarva Shiksha Abhiyan Scheme
Q15. Money supply is governed by the
(a) Planning Commission
(b) Finance Commission
(c) Reserve Bank of India
(d) Commercial Banks
