You are here
Home > QB Subjectwise > 050 Economy Previous Year Questions

050 Economy Previous Year Questions

Economy Previous Year Questions

Q1. Which of the following statements with regard to Indian Agriculture is/are true?
1. Although rice is the most important cereal being cultivated in India in terms of total production, wheat is fast catching up.
2. Green revolution did not make an impact on the production of pulses.
(a) 2 only (b) 1 only
(c) 1 and 2 (d) Neither 1 nor 2
Ans: (c)

Q2. Which of the following is not a likely benefit of introduction of Value Added Tax?
(a) It reduces the cascading effect of taxes.
(b) It increases the overall tax base.
(c) It is transparent.
(d) It increases the price burden of the consumer.
Ans: (d)

Q3. Consider the following statements regarding CIBIL Score:
1. A Credit Score or the CIBIL Score is a three-digit numeric summary of a person’s credit history.
2. A score below 700 is generally considered good
Which of the statement given above is/are correct?
(a) 1 only (b) 2 only
(c) Both 1 and 2 (d) Neither 1 nor 2
Ans: (a)

Q4. Fiscal Policy in India is formulated by
(a) the Reserve Bank of India
(b) the Planning Commission
(c) the Finance Ministry
(d) the Securities and Exchange Board of India
Ans: (c)

Q5. The correct sequence of the following densely populated States is
1. Uttar Pradesh 2. Kerala
3. Bihar 4. West Bengal
Select the correct answer from the codes given below:
(a) 2, 3, 1, 4
(b) 4, 1, 2, 3
(c) 1, 4, 2, 3
(d) 2, 4, 3, 1
Ans: (b)

Q6. Which one of the following is not a feature of Limited Liability Partnership firm?
(a) Partners should be less than 20
(b) Partnership and management need not be separate
(c) Internal governance may be decided by mutual agreement among partners
(d) It is corporate body with perpetual succession
Ans: (a)

Q7. Which among the following is/are the nodal agency for implementing the monetary policy?
1. State Bank of India
2. Reserve Bank of India
3. Union Bank
(a) 1 only (b) 1 and 2
(c) 2 only (d) 1, 2 and 3
Ans: (c)

Q8. Which among the following gives a justification about the fact that “ Green Revolution has not been green as it made out to be” ?
1. It confined only to wheat
2. It confined to selected areas only
3. It helped only big farmers
Choose the correct options:
(a) Only 1 (b) 1 & 2
(c) 1, 2 & 3 (d) 2 & 3
Ans: (b)

Q9. Consider the following statements regarding Universal Basic Income:
1. A basic income is a form of social security in which all citizens of a country regularly receive an unconditional sum of money.
2. Switzerland has introduced Universal Basic Income on a trial basis
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
Ans: (a)

Q10. The various sources of funds to finance economic development in the modern states are :
1. public spending
2. surplus of government enterprises
3. deficit financing
Which of the sources given above is/are incorrect?
(a) 1 only (b) 2 and 3 only
(c) 1 and 2 only (d) 3 only
Ans: (a)

Q11. The Government of India and Reserve Bank of India have decided to introduce 1 billion pieces of ` 10 notes in polymer/ plastic on a field trial basis.
Which of the following is/ are the objectives behind this move?
1. Increase of the lifetime of the notes.
2. Combating counterfeiting.
3. Reducing the cost of minting of currency.
Select the correct answer using the codes given below
(a) 1 and 2 (b) Only 2
(c) Only 3 (d) All of the above
Ans: (a)

Q12. The novelty in the Sixth Plan was
(a) Area planning
(b) Sectoral planning
(c) Rural development
(d) New expansion programme
Ans: (b)

Q13. The Reserve Bank of India (RBI) acts as a bankers’ bank. This would imply which of the following?
1. Other bank retains 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
Ans: (d)

Q14. International capital flows have been uncertain and volatile, causing exchange rate and balance of payment crisis among developing countries. Among the various sources of external capital available to India which source should you consider as the most preferable?
(a) Foreign institutional investment
(b) Portfolio investment
(c) External commercial borrowing
(d) Foreign direct investment
Ans: (d)

Q15. What are the main objectives of an agriculture price policy?
I. To ensure that the producer gets a minimum remunerative price.
II. To maintain a reasonable terms of trade between agricultural sectors.
III. To maintain the general price level and protect the non-producing consumer from violent fluctuations in price of food grains.
(a) Only I (b) I & II
(c) All the above (d) None of the above
Ans: (c)

Q16. When the total product rises at an increasing rate, the
(a) marginal product is zero (b) marginal product is rising
(c) marginal product is falling (d) marginal product remains
Ans: (b)

Q17. Consider the following statements regarding migration in India:
1. Rural to rural migration is greater among men.
2. Rural to urban migration is greater among women.
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
Ans: (d)

Q18. Which of the following statements is/are correct ?
1. The Marxist theory repudiates the idea of the atomised and alienated individual.
2. Marxism upholds the idea of the natural rights of men and individuals.
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
Ans: (d)

Q19. Which of the following is the correct ascending order of contribution to domestic savings?
(a) Household sector, Corporate sector, Private sector, Public enterprises
(b) Corporate sector, Household sector, Public enterprises, Government and Public enterprises
(c) Government and Public enterprises, Public enterprises, Household sector, Corporate sector
(d) Public enterprises, Corporate sector, Government and Public enterprises, Household sector.
Ans: (a)

Q20. What are the benefits of implementing the ‘Integrated Watershed Development Programme’ ?
1. Prevention of soil runoff
2. Linking the country’s perennial rivers with seasonal rivers
3. Rainwater harvesting and recharge of groundwater table
4. Regeneration of natural vegetation
Select the correct answer using the code given below.
(a) 1 and 2 only
(b) 2, 3 and 4 only
(c) 1, 3 and 4 only
(d) 1, 2, 3 and 4
Ans: (c)

Q21. Which among the following correctly defines the Net Interest Income?
(a) Interest earned on advances
(b) Interest earned on investments
(c) Total interest earned on advances and investment
(d) Difference between interest earned and interest paid
Ans: (d)

Q22. In the post ‘Brexit’ and emergence of Donald Trump in US, which of the following phenomenon is most likely to affect the global economy ?
(a) Deglobalisation
(b) Protectionism
(c) Banning entry of Muslims into certain countries
(d) All of the above
Ans: (d)

Q23. Consider the following statements regarding the financial assistance provided by Rashtriya Arogya Nidhi:
1. It is provided to patients living below poverty line.
2. It is provided to patients, who are suffering from major life threatening diseases.
3. It is provided to receive treatment in private hospitals.
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
Ans: (a)

Q24. Which of the following activities can lead to financial inclusion in India?
1. Issuing of General purpose Credit Cards
2. Strict ‘Know Your Customer’ (KYC) norms
3. Opening of Bank branches in unbanked rural areas.
4. Opening of no-frills account
Which the correct answer using the codes given below:
(a) 1, 2 and 3 only (b) 2, 3 and 4 only
(c) 1, 3 and 4 only (d) 2 and 3 only
Ans: (c)

Q25. Which of the following will be the outcome if an economy is under the inflationary pressure?
1. Domestic currency heads for depreciation.
2. Exports become less competitive with imports getting costlier.
3. Cost of borrowing decreases.
4. Bondholders get benefitted.
Select the correct answer using the code given below.
(a) 1 and 2 (b) 2 and 3
(c) I and 3 only (d) 1, 3 and 4
Ans: (c)

Top
error: Content is protected !!