MODULE A & B

Presentation title 1
Q1. Fill in the blanks with respect to the topic “Evolution of Indian Economy”.
\
According to the Angus Maddison database, India and China contributed ____ per
cent of global GDP in 1000 AD (GDP computed in 1990 dollars and in purchasing
power parity terms). By 1600 AD, that figure had risen to ____ per cent, with
China accounting for ___ per cent and India accounting for ___ per cent of global
GDP. A century later, China’s GDP share had declined, while India’s had risen to ___
per cent of world output. British colonialism altered the dynamics, and by 1820,
India’s share had plummeted to 16.1 per cent.
a) 50.5, 52, 29, 23, 24.4
b) 52, 50.5, 29, 24.4, 23
c) 29, 52, 23, 50.5, 24.4
d) 52, 50.5, 23, 29, 24.4

a
Q2. What rank does India hold among all the countries in terms of “Purchasing
\ Parity”?
Power
a) 2nd
b) 4th
c) 6th
d) 3rd

d
Q3. What do you understand by the term “Purchasing Power Parity”?
a)\ Purchasing power parities (PPPs) are the rates of currency neutralization that
try to equalize the purchasing power of different currencies, by eliminating the
differences in price levels between countries.
b) Purchasing power parities (PPPs) are the rates of currency neutralization that
try to equalize the purchasing power of different countries, by eliminating the
differences in price levels between countries.
c) Purchasing power parities (PPPs) are the rates of currency conversion that try
to equalize the purchasing power of different currencies, by eliminating the
differences in price levels between countries.
d) Purchasing power parities (PPPs) are the rates of currency conversion that try
to equalize the purchasing power of different currencies, by eliminating the
similarities in price levels between countries.
c
Q4. Who published the first estimates of national income in India in his book
\
“Poverty and Un-British Rule in India” for the year 1867–1868?
a) Angus Maddison
b) Dadabhai Naoroji
c) V. K. R. V. Rao
d) R. C. Dutta

b
Q5. Match the following in reference to the topic “Economy till 2008 and After 2008”.
a) (1) – (D), (2) – (C), Phases Feature
\
(3) – (B), (4) – (A) 1. 1951-1980 A. The economy recovered impressively, but
b) (1) – (A), (2) – (B), at the expense of a larger fiscal deficit, which
continued to grow beyond the limit set by
(3) – (C), (4) – (D) the Fiscal Responsibility and Budget
c) (1) – (D), (2) – (A), Management Act.
(3) – (C), (4) – (B) 2. 1980-1990 B. The economy grew at 6.7 per cent during
d) (1) – (C), (2) – (A), the eighth five-year plan, 5.3 per cent during
the ninth five-year plan, and 7.6 per cent
(3) – (B), (4) – (D) during the tenth five-year plan.
3. 1992-2008 C. The liberalized import policies of the
government, increased imports of capital
goods and raw materials for manufacturing,
boosting the production of luxury goods in
the country.
a 4. 2008-2021 D. The term “Hindu rate of growth “refers
to India’s planned economy’s low annual
growth rate, which hovered around 3.5 per
cent, while per capita income growth
averaged 1.3 per cent.
Q6. Highlight the incorrect statements with respect to “Indian Economy post COVID-19”.
1.\ COVID-19 was declared as pandemic by the World Health Organization (WHO) on
March 11, 2020, after being first reported officially in Wuhan, China, towards the end of
December 2019.
2. A number of factors responsible for the most severe economic impact on India, with the
severity of the lockdown being the most frequently stated explanation.
3. GDP contraction was more severe in countries with a higher stringency index — India,
Argentina, Italy, and the United Kingdom.
4. Restricted lockdowns and rising resilience of both firms and individuals in dealing with the
infections mitigated the severity of the economic damage and the second wave’s
economic impact is seen to be one-third that of the first.
5. Further the impact of the third wave was significantly lower than both first and second
wave.
a) (3), (4), and (5)
b) (3) and (4)
c) (2) only
d) None of these
d
Q7. Read the following statements carefully and choose the correct option in relation to the
topic “Economic Recovery Dynamism Post COVID”.
\
Statement 1: A gradual recovery gained traction in the second half of the year, resulting
in a substantially more severe contraction of 6.6 per cent for the entire fiscal year, placing
India in a relatively worse position among the G-20 countries in terms of annual GDP
growth for 2020.

Statement 2: Regardless of the second wave, the economy’s recovery in 2021-22 has
been outstanding. With the ebb of the second wave, economic activity rebounded fast in
June 2021 and remained persistent, indicating a steady recovery through October 2021.

a) Statement 1 is correct and Statement 2 is incorrect

b) Statement 1 is incorrect and Statement 2 is correct
c) Both the Statements are correct b
d) Both the Statements are incorrect
Q8. As per the World Bank classification, Indian economy is a lower-middle
\ economy, which is attributed to:
income
a) Low per capita income
b) High levels of poverty
c) Unemployment and illiteracy
d) All of the above

d
Q9. Which among the following statements is/are correct with respect to the topic of
\
“Structural Change”?
1. Structural change refers to the fundamental changes that have occurred in the critical
components of the Indian economy over time.
2. The primary sector’s contribution to GDP increases over time, while the secondary and
tertiary sectors increase.
3. In the long run, the tertiary sector surpasses the secondary sector, as the major
contributor to the economy.
4. In India, the services sector has largely replaced the tertiary sector, and it now dominates
the economy.
5. The role of the primary sector declines as income rises, and India is no exception.
a) (1) and (5)
b) (3) and (5)
c) (1), (3), and (5)
d) (1), (2), and (3)
c
Q10. Read the following statements carefully and choose the correct option.
\
Statement 1: According to the provisional estimates of annual national income, 2021-
22, the growth in GDP during 2021-22 is estimated at 7 per cent, as compared to a
contraction of 6.6 per cent in 2020-21.
Statement 2: During the time of direct British control from 1858 to 1947, the colonial
government’s official transfers of monies to the United Kingdom were referred to as
“Home Charges”.
Statement 3: In 2020-21, the services sector contributed 60.9 per cent of the
economy, followed by the secondary sector (19.8 per cent) and the primary sector (20.1
per cent).
a) Statements 1&2 are correct and Statement 3 is incorrect
b) Statements 2&3 are correct and Statements 1 is incorrect
c) All the Statements are correct
d) All the Statements are incorrect b
Q11. Which among the following is not a part of the “Primary Sector”?
\
a) Forestry
b) Mining
c) Financial advisory
d) Agriculture

c
Q12. Quaternary Sector as a part of the “Tertiary Sector” includes:
\
a) Senior Company Executives
b) Accountancy and Brokerage Businesses
c) Financial and Legal Advisors
d) Government Officials

b
Q13. Align the majors sectors of Indian economy with their respective characteristics.
\ Sectors Characteristics
a) (1) – (A), (2) – (B), (3) – (C)
b) (1) – (C), (2) – (B), (3) – (A)
c) (1) – (C), (2) – (A), (3) – (B) 1. Primary Sector A. Since this sector requires
d) (1) – (B), (2) – (A), (3) – (C) a particular set of talents,
the employment rate is in
equilibrium.

2. Secondary Sector B. Unorganized and most

of the times employs old
methods.

d 3. Tertiary Sector C. This sector involves

banking, insurance, and
communications.
Q14. What is “Pink Revolution” all about?
a) \ Fruits, Honey, and Horticulture
b) Overall Production of Agriculture
c) Eggs
d) Pharmaceuticals, Prawns, and Onion

d
Q15. Highlight the untrue statements with reference to the concept of “Agriculture”.
\
1. This is the main organized sector of the economy, accounting for more than 90 per cent
of all unorganized labor (93.4 per cent of the total labor force of the economy, i.e., 40.0
crore is employed in the unorganized sector).
2. “Agriculture plays a vital role in India’s economy. 54.6% of the total workforce is engaged
in agricultural and allied sector activities (Census 2011) and accounts for 17.8% of the
country’s Gross Value Added (GVA) for the year 2019-20 (at current prices).
3. “Agriculture plays a vital role in India’s economy. 54.6% of the total workforce is engaged
in agricultural and allied sector activities (Census 2011) and accounts for 17.8% of the
country’s Gross Value Added (GVA) for the year 2019-20 (at current prices).
a) (1) only
b) (1) and (2)
c) (2) and (3)
d) All of the above a
Q16. Read the following statements carefully and choose the correct option in
relation to the idea of “Evolution of Indian Economy”.
\
Statement 1: The post-independence period was characterized by near-stagnation,
with little change in the organization of production or productivity levels. The British
East India Company ignored industrialization in the nation, and infrastructure was
created not to industrialize India but to exploit its raw materials.
Statement 2: At the time of independence, India’s economic picture was in
complete distress. When India gained independence, the administration of the time
had a significant challenge in systematic organization of the economy.

a) Statement 1 is correct and Statement 2 is incorrect

b) Statement 1 is incorrect and Statement 2 is correct
c) Both the Statements are correct c
d) Both the Statements are incorrect
Q17. Fill in the blanks in relation to the “Basic Characteristics of Indian Economy”.
\
Indian economy falls under the category of - lower-middle income economy.
Countries that have ________between $996 and $3895 fall in this classification and
India as on 2019 had PCI of $1891. Indian economy in terms of Purchasing Power
Parity (PPP) is the ____ largest economy in the world but in terms of PCI, India
ranked very_____. The low per capita income is mainly attributed to high levels of
poverty, unemployment, illiteracy, etc. India was a backward nation at the time of its
independence. The government addressed the _______issues through five-year plans
by setting targets and ensuring the allocation of funds for the development of various
sectors.
a) PCI, 4th, High, Industrial
b) GDP, 4th, High, Developmental
c) Per Capita Income, 3rd, Low, Developmental c
d) GDP, 3rd, Low, Industrial
Q18. As per the Angus Maddison database, India’s share to global GDP was
\ in 1600 AD.
___
a) 5 per cent
b) 10 per cent
c) 23 per cent
d) 30 per cent

a
Q19. Read the following statements carefully and choose the correct ones.
1. \As per the World Bank classification, Indian economy is a upper-middle
income economy, which is attributed to low per capita income, high levels
of poverty, unemployment and illiteracy.
2. Following independence and the start of the planning process, agriculture’s
share increased, while the shares of industry and services decreased.
3. During the time of direct British control from 1858 to 1947, the colonial
government’s official transfers of monies to the United Kingdom were
referred to as “Home Charges”.
a) (1) and (2)
b) (2) and (3)
c) (3) only c
d) (1), (2), and (3)
Q20. Which among the following statements is not right with respect to the topic “Sectoral
\
Impact of COVID-19”?
a) The Indian labor market suffered a severe decline during the first wave of the
epidemic, with unemployment hitting an all-time high and labor force participation
plummeting.
b) Reverse migration from urban to rural areas raised demand for Mahatma Gandhi
National Rural Employment Guarantee Scheme (MGNREGS) employment in rural
areas, during the first wave phase.
c) The second and third waves had a little impact, and work conditions had stabilized.
Because of the lockdown, investment demand ceased during Q1:2020-21 and
experienced the most severe expansion.
d) The recovery in gross fixed capital formation (GFCF) has been expedited, mainly
mostly to active government investment – the only sector that positively contributed
to investment demand in 2020-21.
c
Q21. Fill in the blanks with respect to the topic “Economy from 1992 to 2008”.
\
This is popularly referred as the post-reform period. Following the 1991 economic crisis,
the implementation of reforms and the adoption of LPG (Liberalization – Privatization –
Globalization) policies paved the way for positive economic outcomes and higher GDP
growth rates. The economy grew at ___ per cent during the eighth five-year plan (1992–
1997), ___ per cent during the ninth five year plan (1997–2002), and ___ per cent during
the tenth five-year plan (2002–2007). The main reason for the high growth rate in the
eighth plan was an increase in the inflow of ______, which was a direct result of the new
economic policy implemented in 1991. Due to favorable economic policies and a global
economic boom, the economy experienced rapid growth from 2004–05 to 2009–10. In
fact, from 2002–03 to 2006–07, India’s GDP grew at an ___ per cent annual rate, making it
the world’s second fastest growing economy after China.
a) 6.7, 5.3, 7.6, Foreign Capital, 8.6
b) 5.3, 7.6, 6.7, Foreign Capital, 8.6
c) 7.6, 6.7, 5.3, Foreign Capital, 8.6 a
d) None of the above
Q22. A number of factors influence the nature and characteristics of the Indian
\
economy. Some of these factors include:
1. Low per capita real income
2. Rapid population growth
3. A high rate of unemployment, underemployment, and disguised
unemployment
4. Excessive reliance on the primary sector
5. A vicious circle of poverty
6. Rising employment
a) (1), (3), and (4)
b) (4), (5), and (6)
c) (1), (2), (3), (4), and (5)
d) (2), (3), and (4) c
Q23. Black Revolution is connected to ________________.
a) \Eggs
b) Banana
c) Petroleum
d) Pulses

c
Q24. Which is not a component of the primary sector?
a) \Construction
b) Agriculture
c) Forestry
d) Fishing

a
Q25. Read the following statements carefully and choose the incorrect one.
a) \Industry’s share of GVA has increased from nearly 17 per cent in 1950–51
to 29 per cent in 2021–22
b) The services sector’s proportion has increased from 33 per cent in 1950 to
53 per cent in 2021-22
c) The construction sector is the second largest employment sector in the
country, only after agriculture.
d) It employs over 31 million people and accounting for around 5 per cent of
total employment.

d
Q26. Read the following statements carefully and choose the correct option.
\
Statement 1: Tertiary sector includes all economic activities that produce
services, such as education, healthcare, banking, communication, and so on.

Statement 2: Quaternary sector is also known as the ‘innovation’ sector.

This includes activities such as teaching, research, and development.

a) Statement 1 is correct and Statement 2 is incorrect

b) Statement 1 is incorrect and Statement 2 is correct
c) Both the Statements are correct
d) Both the Statements are incorrect
a
Q27. Jobs like Shop Keeping, Farming, Domestic works etc. come under the
\
purview:
a) Organized Sector
b) Unorganized Sector
c) Formal Financial Sector
d) Both (b) and (c)

b
Q28. Which among the following statements is/are not correct with respect to the
\
concept of “Organized Sector”?
1. The organized sector is one in which the job terms are fixed but irregular, and
the employees are guaranteed work.
2. The organized sector comprises manufacturing, enterprise, business, school,
hospital, and unit registered with the government.
3. It also comprises legally licensed stores, clinics, and offices.
4. The organized sector has higher unemployment than the unorganized sector.
5. In the organized sector, job terms are stable and consistent, and employees have
guaranteed work and social security.
a) (2) and (5)
b) (1) and (4)
c) (2), (3), and (5)
d) None of the above
b
Q29. What do you understand by the concept “Sunrise Sector of Indian Economy”?
a)\ A sunrise sector is one that is still in its infancy, but has the potential for significant
growth. The sector is often characterized by strong growth rates, a high degree of
innovation, and a high level of public awareness, with investors attracted to its long-
term growth prospects.
b) A sunrise sector is one that is still in its infancy, but has the potential for significant
growth. The sector is often characterized by average growth rates, a high degree of
innovation, level of public awareness, with investors attracted to its long-term growth
prospects.
c) A sunrise sector is one that is still in its infancy, but has the potential for significant
growth. The sector is often characterized by strong growth rates, a high degree of
innovation, but a low level of public awareness, with investors attracted to its long-
term growth prospects.
d) None of the above
a
Q30. Fill in the blanks with respect to the topic of “Services”.
\ received 10.6 million foreign tourists in 2018-19 compared to ____
India
million in 2017-18. Foreign exchange earnings from tourism in India stood at
US$27.7 billion in 2018-19, compared to US$28.7 billion in 2017-18. Many of
the high frequency indicators, such as bank credit to services sector,
decelerated in 2018-19. However, the IT-BPM industry grew by ___ per cent
in 2017-18 to _____ and is estimated to have reached US$181 billion in
2018-19.”
a) 8.4, 10.4, $140 billion
b) 8.4, 10.4, $167 billion
c) 10.4, 8.4, $167 billion
d) None of the above
c
Q31. Industry’s share of GVA has increased from nearly 17 per cent in 1950–
51\to ______ in 2021–22.
a) 33 per cent
b) 29 per cent
c) 20 per cent
d) 23 per cent

b
Q32. Read the following statements carefully and choose the correct option with
\
respect to the concept of “Agriculture”.
Statement 1: As per the Land Use Statistics 2016-17, the total geographical area
of the country is 328.7 million hectares, of which 139.4 million hectares is the
reported net sown area and 200.2 million hectares is the gross cropped area with a
cropping intensity of 143.6%.
Statement 2: The net area sown works out to 42.4% of the total geographical
area. The net irrigated area is 68.6 million hectares. Agriculture Gross Value Added
(GVA): As per the provisional estimates of Annual National Income released by
Central Statistics Office (CSO), Ministry of Statistics.
a) Statement 1 is correct and Statement 2 is incorrect
b) Statement 1 is incorrect and Statement 2 is correct
c) Both the Statements are correct
d) Both the Statements are incorrect c
Q33. “Pradhan Mantri Fasal Bima Yojana” was launched in the year:
a) \ 2014
b) 2015
c) 2016
d) 2018

c
Q34. Mr. Verghese Kurien is the father of:
a) \ White Revolution or Operation Flood
b) Silver Revolution
c) Brown Revolution
d) Round Revolution

a
Q35. Read the following statements carefully and choose the correct option
\
with respect to “GDP Contribution of Different Sectors”.
Statement 1: By the late 1990s, India had transitioned from agricultural
dominance to services supremacy, with services accounting for over half of her
national GDP. The agriculture sector accounts for barely 18 per cent of total
GDP.
Statement 2: The services sector contributes less than 55 per cent, while
the secondary sector contributes the remaining 27 per cent, with only 14 per
cent coming from the manufacturing sector.
a) Statement 1 is correct and Statement 2 is incorrect
b) Statement 1 is incorrect and Statement 2 is correct
c) Both the Statements are correct a
d) Both the Statements are incorrect
Q36. Mark the wrong statement in relation to the topic “Different Revolutions
in \Primary Sector”.
a) Agriculture has always been the most important industry in India.
b) Traditional, subsistence and livelihood, rain fed farming, food grain
oriented, and deficient in diversification and commercialization
characterize India’s agricultural sector.
c) With a burgeoning population and rising wages, particularly among the
poor, the demand for agricultural goods has skyrocketed. To overcome
the situation, the government carried out a series of revolutions in the
primary sector to increase capacity.
d) None of the above
d
Q37. Read the following statements carefully and choose the correct option in
\
relation to the concept “Differences Between the Sectors”.
Statement 1: Primary Sector is also known as agriculture and associated
services, Secondary Sector is known as the industrial and manufacturing sector,
and the Tertiary Sector is known as the service sector.
Statement 2: Primary sector is unorganized and most of the times employs
old methods, Secondary sector is organized and employs more efficient
production methods, and Tertiary sector is well-organized and use advanced
logistics techniques to carry out its tasks.
Statement 1 is correct and Statement 2 is incorrect
Statement 1 is incorrect and Statement 2 is correct
Both the Statements are correct c
Both the Statements are incorrect
Q38. Match the following in relation to the topic “Different Revolutions in
\ Sector”.
Primary Revolution Product/Father of
a) (1) – (B), (2) – (A), (3) – (C), Revolution/Period
(4) – (D)
b) (1) – (B), (2) – (A), (3) – (D),
(4) – (C) 1. Yellow A. 2020
c) (1) – (A), (2) – (B), (3) – (C), Revolution
(4) – (D) 2. Golden B. M. S.
d) (1) – (D), (2) – (C), (3) – (B), Revolution Swaminathan
(4) – (A) 3. Evergreen C. Fruits, Honey,
Revolution Horticulture

d 4. Protein D.. 1986-1990

Revolution
Q39. Mark the incorrect statements in relation to the topic “Difference between
\
Organized and Unorganized Sector”.
1. The unorganized sector is a sector where the employment terms are fixed and
regular, and the employees get assured work. The organized sector is
characterized by small and scattered units, which are largely not registered with
the government.
2. Workers enjoy the security of employment in organized sector while under
unorganized sector, employment is not secure. People can be asked to leave
without any reason.
3. Organized sector is governed by various acts like Factories Act, Bonus Act, PF
Act, Minimum Wages Act, etc. Unorganized sector is not governed by any act.
a) (1) and (2)
b) (2) and (3)
c) (3) only d
d) (1) only
Q40. What was the period of 9th five-year plan?
a) \ 1961-1965
b) 1985-1990
c) 1997–2002
d) 2002-2007

c
Q41. Which among the following statements in not correct?
a) \ Planning is a vital component of every economy and is carried out at
many levels. It is the skill of reaching any sort of objective utilizing the
resources at hand.
b) India has a decentralized planning procedure that offers a broad
framework for the economy’s developmental and investment
requirements. The Planning Commission was in charge of planning in
India since 1950.
c) Depending on the goal, planning may be categorized into several types.
From a territorial standpoint, planning may be regional or national.
Similarly, from a political standpoint, planning might be federal, state, or
local.
d) None of the above b
Q42. In December 2018, NITI Aayog published its comprehensive national
\ for New India which is a full exposition spanning ___ critical areas that
Strategy
recognizes previous accomplishments, identifies binding restrictions, and
recommends a path ahead to achieve the explicitly defined objectives.
a) 33
b) 27
c) 40
d) None of the above

d
Q43. The different types of “Deficit Financing” are:
\
a) Borrowing from Public and Foreign Governments
b) Withdrawing Cash Balances held with the Reserve Bank of India
c) Borrowing from the Reserve Bank of India (RBI)
d) All of the above

d
Q44. Who is considered the founder of the field of Macroeconomics?
a) \Lionel Robbins
b) Amartya Sen
c) Adam Smith
d) John Keynes

d
Q45. Read the following statements carefully and choose the correct option.
\
Statement 1: When changes in factors other than the price of the item
affect the demand, we call these changes as shifts in supply.
Statement 2: When other factors change, another supply curve will be
applicable and the old supply curve will coexist with the new one.
a) Statement 1 is correct and Statement 2 is incorrect
b) Statement 1 is incorrect and Statement 2 is correct
c) Both the Statements are correct
d) Both the Statements are incorrect

d
Q46. Read the following statements carefully and choose the correct option.
\
Statement 1: The IS curve and the LM curve relate the two variables: (a)
savings and (b) investment. Intersection point of these two curves is the
equilibrium rate of interest.

Statement 2: IS curve tells us what will be the various rates of interest at

different levels of income, given the investment demand curve and a family of
saving curves at different levels of income.

a) Statement 1 is correct and Statement 2 is incorrect

b) Statement 1 is incorrect and Statement 2 is correct
c) Both the Statements are correct b
d) Both the Statements are incorrect
Q47. Smart lending for aspiring India is one of the themes in which edition of
\
EASE?
a) EASE 1.0
b) EASE 2.0
c) EASE 3.0
d) EASE 4.0

c
Q48. Read the following statements carefully and choose the correct option.
\
Statement 1: The IS curve and the LM curve relate the two variables: (a)
savings and (b) investment. Intersection point of these two curves is the
equilibrium rate of interest.

Statement 2: IS curve tells us what will be the various rates of interest at

different levels of income, given the investment demand curve and a family of
saving curves at different levels of income.

a) Statement 1 is correct and Statement 2 is incorrect

b) Statement 1 is incorrect and Statement 2 is correct
c) Both the Statements are correct
d) Both the Statements are incorrect b
Q49. Which of the following is not a sector included in infrastructure?
\
a) Textile mills
b) Waterworks
c) Waterways
d) Canal networks

a
Q50. Which was the first bank to be established in India?
a) \Bank of India
b) State Bank of India
c) Bank of Hindustan
d) Punjab National Bank

c
Q51. In terms of which section of the BR Act is the business of banking
\
defined?
a) Section 5
b) Section 8
c) Section 10
d) Section 6

a
Q52. When the Banking Regulation Act 1949 was made applicable to
\
cooperative Banks?
a) 16 March, 1949
b) 1 April, 1965
c) 1 March, 1966
d) 1 April, 1966

c
Q53. With the onset of liberalization, what structure was adopted by the DFIs?
a) \Commercial banks
b) Universal banks
c) Mortgage banks
d) Collateralized banks

b
Q54. The Grameen Bank Model was developed in which country?
(a)\India
(b) Nepal
(c) Sri Lanka
(d) Bangladesh

d
Q55. What is the maximum period for which an NBFD-D can accept
\
deposits?
(a) 12 months
(b) 36 months
(c) 60 months
(d) 120 months

c
Q56. The first insurance company to be established in India was:
a) \LIC of India
b) Oriental Life Insurance Co.
c) Bombay Mutual
d) National Insurance Co.

b
Q57. How many times, at the minimum, does the Monetary Policy Committee
\
meet in a year?
(a) 4
(b) 6
(c) 10
(d) 12

b
Q58. Fill in the blanks.
\ is one of the four types of income, the others being rent, wages, and
Interest
_____. Three elements can be distinguished in interest: (i) payment for the risk
involved in making the _____; (ii) payment for the trouble involved; (iii)
____interest, that is a payment for the use of the money.
a) Profit, Loan, Pure
b) Capital, Loan, Simple
c) Capital, Loan, Compound
d) None of the above

a
Q59. Arrange the events in the order of their happening in relation to the concept of
\
“Effects of Fiscal Expansion”?
1.Increases in autonomous government spending (fiscal expansion) enhances aggregate
demand for goods and services, causing an outward shift in the IS curve.
2.This will result in an increase in both the interest rate and the level of revenue.
3.Which in turns leads to increase in income for the economy as whole.
4.The interest rate increases because with increase in income, demand for money increases
and becomes greater than the supply of money. Due to this, people would sell bonds to
keep more cash. Hence, they value of bond reduces and its interest rate increases.
a) (1), (2), (3), and (4)
b) (1), (3), (4), and (2)
c) (1), (4), (3), and (2)
d) None of the above
b
Q60. A determinate theory of interest is based on:
\
1.Investment Demand Function
2.Saving Function
3.Consumption Function
4.The Interest Function
5.The Liquidity Preference Function
6.The quantity of Money Supply
a) (1), (2), (3), (5), and (6)
b) (1), (4), (5), and (6)
c) (1), (2), (5), and (6)
d) (2), (3), (4), (5), and (6)
c
Q61. Read the following statements carefully and choose the correct option.
\
Statement 1: When investment demand is greatly elastic or highly sensitive to
the rate of interest, the IS curve will be flat (i.e., less steep).

Statement 2: When investment demand is not at all sensitive to the changes in

rate of interest, the IS curve will be relatively steep.

a) Statement 1 is correct and Statement 2 is incorrect

b) Statement 1 is incorrect and Statement 2 is correct
c) Both the Statements are correct
d) Both the Statements are incorrect
a
Q65. What do you understand by the term “Pure Interest”?
a) \Differences in the rate of interest on different loans made during the same
period of time must, therefore, be due to differences in the risk or trouble
involved.
b) The rate of interest charged by a moneylender on an unsecured loan.
c) A prevailing rate of interest, which many regards as a price determined like
other prices in markets, by the demand to borrow, in relation to the supply
of loanable funds.
d) None of the above

c
Q66. Negative effects of inflation include:
a) \Loss in stability in the real value of money and other monetary items over
time
b) Uncertainty about future inflation may discourage investment and saving
c) High inflation may lead to shortages of goods if consumers begin hoarding
out of concern that prices will increase further in the future
d) All of the above

d
Q67. “If prices of some key inputs like oil rise, producers will have to either adjust output
supply or translate the higher costs into higher output prices. When output declines
\
because of cost pressure on producers, there will be a shortage in output markets and as a
result prices will rise”.
The above example relates to the:
1. Demand Pull Inflation
2. Cost Push Inflation
3. Demand side Inflation
4. Supply Side Inflation
a) (3) and (4)
b) (1) and (2)
c) (2) and (4)
d) (1) and (3) c
Q68. Given the following data in a hypothetical economy, calculate the measures for M1,
\
M2, and M3 money supply:
Currency in circulation: Rs. 150000 Crores
Demand deposits in commercial banks: Rs. 210000 Crores
Time deposits in commercial banks: Rs. 270000 Crores
Other deposits with Central Bank: Rs. 350000 Crores
Post Office Savings: Rs. 110000 Crores
Other Post Office Deposits excluding specific certificates: Rs. 55000 Crores
What would be the values for M1, M2, and M3?
a) M1: Rs. 710000 Crores, M2: Rs. 820000 Crores, M3: Rs. 980000 Crores
b) M1: Rs. 330000 Crores, M2: Rs. 700000 Crores, M3: Rs. 1000000 Crores
c) M1: Rs. 390000 Crores, M2: Rs. 750000 Crores, M3: Rs. 1100000 Crores
d) M1: Rs. 410000 Crores, M2: Rs. 760000 Crores, M3: Rs. 1120000 Crores a
Q69. Which among the following is not rightly explained?
\
1.M1 = Currency with the public + demand deposits of the public
2.M2 + M1 + Post office Savings Deposits
3. M3 + M1 + Time Deposits of the public with Banks
4.M4 = M3 + Total Post Office Deposits.
5.M1 = Narrow money
6.M3 = Broad money
a) Only (V) and (VI)
b) Only (I) and (III)
c) Only (VI)
d) None of the above

d
Q70. Consider the following assertions in the context of "Money Supply" within an economy.
Identify which of these statements accurately describes its characteristics and implications:
\
1. Money supply is a dynamic metric that represents the total liquidity accessible within an
economy at a specific temporal cross-section.
2. The central banking authority, such as the Reserve Bank of India, publishes granular money
supply metrics, updated on a weekly cadence.
3. The monetary base data are usually disseminated in a structured digital format, often
accompanied by historical data for comparative analysis.
4. Variations in money supply have a causal relationship with macroeconomic indicators such as
price stability, foreign exchange rates, and cyclical economic activity.
5. Fluctuations in the money supply can exert influence on the country's Gross Domestic
Product (GDP) growth rate.
a) (1), (3), and (5)
b) (2), (3), (4), and (5)
c) (1), (3), (4), and (5)
d) All of the above c
Q71. Money is a unit in terms of which debts and future transactions can be
\ Which function of money is being discussed in above statement ?
settled.
a) Medium of Exchange
b) As a unit of account
c) As standard of deferred payments
d) None of the above

c
Q72. In the context of inflation measurement, the Reserve Bank of India (RBI)
\
transitioned its primary metric from one index to another, altering its
weightage preferences. Complete the following statement: "Since April____,
the RBI has shifted its focus to the ______ (composite index) as the principal
gauge of inflation. This stands in contrast to the earlier practice where _____
weightage was assigned to the Wholesale Price Index (WPI) in comparison to
this new index for policy decisions."

a) 2014, WPI, More

b) 2014, CPI, More
c) 2016, CPI, Less
d) None of the above
b
Q73. The information on CPI is released on a monthly basis by:
\
1. National Statistical Office (NSO)
2. National Sample Survey Office (NSSO)
3. Reserve Bank of India (RBI)
4. Central Statistical Organization (CSO)
a) (1) and (2)
b) (1) and (3)
c) (1) only
d) All of the above
c
Q74. Which among the following statements is TRUE?
a) \The market demand curve is found by adding together the quantities
demanded by all individuals at each price.
b) The market demand curve is found by subtracting together the quantities
demanded by all individuals at each price.
c) The market demand curve is found by multiplying together the quantities
demanded by all individuals at each price.
d) The market demand curve is found by dividing together the quantities
demanded by all individuals at each price.

a
Q75. In a free market, when the market price is below the equilibrium price, it is
\
corrected automatically through a series of events. Arrange the following events
related to the mechanism mentioned above in an ascending order accordingly.
1.Due to this, there too many consumers chasing too few goods.
2.When the market price is below the equilibrium price, supply falls short of
demand.
3.This leads to shortage of supply.
4.Hence, the price rises and becomes equal to the equilibrium price.
5.This leads to rise in the price of the commodity.
a) (1), (5), (3), (2), and (4)
b) (2), (3), (1), (5), and (4)
c) (2), (3), (5), (1), and (4)
d) None of the above b
Q76. Which among the following statements is/are not correct in relation to
the\ concept of “Demand Schedule”?
1.It is the relationship between demand and quantity bought
2.It is the relationship between price and quantity bought
3.It is the relationship between income and demand
4.The ideal demand schedule is downward sloping
a) (1) and (3)
b) (2) and (3)
c) (1) and (4)
d) (2) and (4)

a
Q77. “Auto companies typically make several different car models in the same
\ If there is more demand for one model, and its price rises, they will
factory.
switch over more of their assembly lines to making that model, and the supply
of the other models will fall. Or if the demand and price for trucks rise, the
entire factory can be converted to making trucks and the supply of cars will
fall.”
The above example relates to the:
a) Future price expectations as a factor affecting supply
b) Cost of production as a factor affecting supply
c) Price of related goods as a factor affecting supply
d) Technological advances as a factor affecting supply
c
Q78. Factors affecting quantity demanded does not include:
\
1.Average Income
2.Tastes and Preferences
3.Technological Advances
4.Special Influences
5.Government Policy
a) (4) and (5)
b) (5) only
c) (3), (4), and (5)
d) (3) and (5)

d
Q79. In case of “Price of Related Goods”, the substitute goods have a _____
\
relationship with supply and the complementary goods have a _____
relationship with supply.
a) Negative, Inverse
b) Negative, Inverse
c) Inverse, Direct
d) Direct, Positive

c
Q80. What is understood by the “Law of Demand”?
\
a) When the price of a commodity is raised (and other things not being
constant), buyers tend to buy less of the commodity. Similarly, when the
price is lowered, other things being constant, quantity demanded increases.
b) When the price of a commodity is raised (and other things being variable),
buyers tend to buy less of the commodity. Similarly, when the price is
lowered, other things being constant, quantity demanded increases.
c) When the price of a commodity is raised (and other things being constant),
buyers tend to buy less of the commodity. Similarly, when the price is
lowered, other things being constant, quantity demanded increases.
d) None of the above
c
Q81. In the theoretical extreme of a market economy where government
\
intervention is minimal, which of the following sets of terms correctly fills the
blanks in the statement: "In such an economy, ______ and private enterprises
dictate major decisions related to production and consumption based on a
system of market signals, aiming to produce goods that yield the _____ profits.
Individual ______ patterns determine the allocation of these goods, and this
extreme type of market economy is termed as ______."

a) Public Firms, Maximum Possible, Investment, "Pro-Interventionist“

b) Individuals, Highest, Consumption, "Pro-Interventionist“
c) Individuals, Maximum Possible, Investment, "Laissez Faire“
d) Individuals, Highest, Consumption, "Laissez Faire"
d
Q82. In modern socio-economic discourse, no nation strictly adheres to a
\ economic ideology in its entirety. Instead, these systems exhibit
single
characteristics of multiple economic frameworks. What term is commonly
used to describe such economies?
a) Syncretic Economies
b) Pure Capitalist Economies
c) Unitary Socialist Economies
d) Mixed Economies

d
Q83. In the context of Lionel Robbins' definition of economics as "the science
\ studies human behavior as a relationship between ends and scarce
which
means which have alternative uses," what does the term "ends" specifically refer
to?
a) The utility derived from the allocation of resources
b) The constraints imposed by limited resources
c) Objective measurements of well-being
d) Subjective human wants and desires

d
Q84. Read the following statements carefully and choose the correct option.
\
Statement 1: In the command economy, the government addresses the
minor economic questions, by virtue of its ownership of resources and its
power to enforce decisions.

Statement 2: A market economy is one in which individuals and private

firms make the major decisions about production and consumption.

a) Statement 1 is correct, and Statement 2 is incorrect.

b) Statement 1 is incorrect, and Statement 2 is correct.
c) Both the Statements are correct b
d) Both the Statements are incorrect
Q85. Which among the following is not a “Problem of Economic
\
Organization”?
1. Which industries to choose in terms of goods and services
2. What number of units should be produced to earn the maximum possible
profits?
3. Which and of what quality factors of production to use
4. What should be the target market?
a) (1), (3), and (4)
b) (2) and (4)
c) None of the above
d) All the above
c
Q86. Read the following statements carefully and choose the incorrect ones in relation to
the concept of “Mixed Economy”.
\
1. All societies are mixed economies, with elements of both market and socialist
economies.
2. There has never been a 100 per cent market economy (although nineteenth-century
England came close).
3. Today most decisions in the United States are made by the government.
4. However, the government plays an important role in overseeing the functioning of the
market; the government passes laws that regulate economic life, produce goods and
services, and control pollution.
5. Most societies/nations today operate as mixed economies. India, right from the
beginning of the 1991 reforms, has been a mixed economy where the public sector,
private sector, and joint sector coexist and complement each other.
a) (3), and (5)
b) (1), (3), and (5)
c) All the above
d
d) None of the above
Q87. Read the following statements carefully and choose the correct option.
\
Statement 1: Economics is the psychology that deals with the production,
allocation, and use of goods and services.

Statement 2: In Socialist economy, the government addresses the major

economic questions, by virtue of its ownership of resources and its power to
enforce decisions.

a) Statement 1 is correct, and Statement 2 is incorrect.

b) Statement 1 is incorrect, and Statement 2 is correct.
c) Both the Statements are correct b
d) Both the Statements are incorrect
Q88. Read the following statements carefully and choose the correct ones regarding
\
the subject of “Economics”?
1. Economics is concerned with the production, consumption, & distribution of
goods and services.
2. Economics is becoming increasingly crucial as we grow more internationally
connected.
3. Economics is ‘the science which studies human behavior, as a relationship
between ends and scarce means, which have alternative uses.’
4. In the absence of scarcity and alternative uses of available resources, there is no
economic problem.
a) (1), (2), (3), and (5)
b) (2), (4), and (5)
c) (1), (2), and (4)
d) All the above
d
Q89. Acc. to Robbin’s definition of “Economics”,
1. \____ are unlimited.
2. The means to satisfy human wants are _____.
3. Resources are not only limited but have _____.
4. We have to make a _____.
a) Needs, Limited, Complementary Uses, Choice
b) Wants, Limited, Alternative Uses, Choice
c) Wants, Limited, Complementary Uses, Choice
d) None of the above

b
Q90. The, book “General Theory of Employment, Interest and Money”
\ by:
authored
a) Adam Smith
b) Alfred Marshal
c) Robbins
d) John Keynes

d
Q91. The word 'Economics' is derived from two Greek words
\ and _____.
_____
a) Oikos and Nemein
b) Artha Shastra
c) Acro and polis
d) Geo and logy

a
Q92. “Increasing the quantity of money in the hands of the people increases the
\
aggregate demand for goods and services, and if aggregate supply does not follow
suit, prices rise”.
The above example relates to the:
1. Demand-Pull Inflation
2. Cost Push Inflation
3. Demand side Inflation
4. Supply Side Inflation
(a) (3)
(b) (1) and (2)
(c) (2) and (4)
(d) (1)

d
Q93. Which pair formulated the IS-LM MODEL?
(a)\Sir John Richard Hicks and Alvin Hansen
(b) Marshall and Fisher
(c) Keynes and Fisher
(d) Pigou and Alvin Hansen

a
Q94. India has become the world’s 5 th largest economy. It has replaced which
\
country?
(a) United Kingdom
(b) Germany
(c) Japan
(d) Brazil

a
Q95. ‘Industrial Outlook Survey’ is conducted by:
(a)\Reserve Bank of India
(b) NITI Aayog
(c) Dept. of Economic Affairs
(d) National Statistical Office

a
Q96. Which of the following statement is incorrect regarding "Outcome
\
Budget"?
(a) Outcome Budget helps in better service delivery
(b) Outcome Budget will significantly enhance transparency, predictability, and
ease of understanding of the Government’s development agenda.
(c) Outcome budget is not presented in parliament
(d) Outcome Budget reduces unnecessary expenses

c
Q97. Which of the following statements are correct regarding the 'Terms of
\
Trade' (ToT) of a country with another country?
1. It is the ratio of the export price index to the import price index
2. It is a ratio of the value of exports to the value of imports
3. It is a measure of how much imports a country can get for a unit of
exported goods
4. ToT increases with an increase in the price of exported goods
(a) 1,2,3
(b) 1,3,4
(c) 2,3,4
(d) 1,2,3,4
b
Q98. Consider the following statements about factor cost and basic price.
\
1. factor cost is the amount receivable by the producer from the purchaser for a unit of a
good or service produced as output minus any tax payable, plus any subsidy receivable, on
that unit as a consequence of its production or sale.
2. Basic price is the price at which, a product is sold in the market. It includes the cost of
production in the form of wages, rent, interest, input prices, profit, etc. It also includes the
taxes imposed by the government and the subsidies provided by the government for the
producers.
Which of the following statements is/ are incorrect?
(a) 1
(b) 2
(c) 1,2
(d) None
d
Q100. The law of demand states that there is an inverse relation between the price of a
\
commodity and its quantity demanded, assuming all other factors affecting demand remain
constant. There are certain exceptions to the Law of Demand. Consider the following
goods and identify in which goods law of demand is not applied-
1. Designer Bags
2. Salt
3. Sugar
4. High-priced cell phone model
(a) (2), (3), and (4)
(b) (2) and (4)
(c) (1), (2), (3), and (4)
(d) (1) and (4)

c
Q.1 If RBI wants to reduce liquidity from the system, it should
a) decrease the reverse repo rate
b) decrease the repo rate
c) increase the CRR rate
d) decrease the SLR rate
Q.2 In which of the following, Bank will not be making any money?
1.Meeting CRR requirement.
2.Meeting SLR requirement.
3.Parking money in RBI under Reverse repo.
Choose the correct option:
a) Only 3
b) Only 2
c) Only 1
d) All of them
Q.3 If RBI wants to inject more liquidity in the system, it should
a) Increase the CRR rate
b) Increase the SLR rate
c) Increase the Bank rate.
d) Decrease the repo rate.
Q.4 Which of the following statement is not correct about Monetary policy committee:
i. It comprises of 6 members, where governor of RBI acts as ex-officio chairman.
ii. It was created to bring transparency and accountability in deciding monetary policy
rates.
iii.Inflation target is set by GOI in consultation with RBI. Choose the correct option:
a) Only i, ii
b) Only ii, iii
c) Only iii, ii
d) All are true
Q.5 An open market operation is an instrument of monetary policy which
involves buying or selling of ________from or to the public and banks:
A. Bonds and Other local securities
B. Debentures and Shares
C. Government Securities
D. None of These
Q.6 The Cash Reserve Ratio is an effective instrument of credit control. Under
the RBI Act, 1934 every ______bank has to keep certain minimum cash
reserves with RBI:
A. Public Bank
B. Commercial Bank
C. Industrial and Agricultural Banks
D. None of These
Q.7 Which out of the following is/are correct regarding Cash Reserve Ratio (CRR)?
a) Section 42(1) of RBI Act, 1934 lays foundation for maintaining CRR by
scheduled commercial bank with RBI.
b) Section 24 of the Banking Regulations Act, 1949 provide powers to RBI to levy
CRR on banks
c) Banks cannot earn profit on CRR.
Select the correct answer from following options:
A. Only a, and c
B. Only b, and c
C. Only c and d
D. All are correct
Q.8 Which among the following defines Marginal Standing Facility Rate?
A. The rate at which banks place their surplus funds with the RBI
B. The rate at which the Reserve Bank is prepared to buy or re-discount bills of
exchange or other commercial paper eligible for purchase
C. The rate at which banks can borrow against their excess SLR securities to
meet additional liquidity requirements
D. The rate at which banks borrow funds from the Reserve Bank against eligible
collaterals
Q.9 In context of Indian economy , ‘Open Market Operations’ refers to?
A. Borrowing by Scheduled banks from RBI.
B. Purchase and sale of govt securities by the RBI.
C. Lending by commercial banks to industry and trade.
D. None of the above.
Q.10 When RBI reduces Statutory Liquidity Ratio, which of the following is likely to
happen?
A. India’s GDP growth rate increases drastically.
B. Foreign Institutional Investors may bring more capital in to our country.
C. Scheduled Commercial Banks may cut their lending rates.
D. It may drastically reduce the liquidity to the banking system.
Q.11 Which of the following policy rates are reviewed by the RBI at the time of
Bi- Monthly review of the Monetary policy?
I. Bank rate
II. Repo rate
III. Savings bank rate, Choose the correct option:
A. Only 1
B. Only 2
C. Both 1 and 2
D. All the three
Q.12 What will be the impact on economy if RBI increase CRR?
A. Credit creation increases, Loan become cheaper.
B. Credit creation decreases, Loan become costlier.
C. Credit creation increases, Loan become costlier.
D. Credit creation decreases, Loan become cheaper.
Q.13 Which among the following defines Repo Rate?
A. The rate at which banks place their surplus funds with the RBI
B. The rate at which banks can borrow against their excess SLR securities to
meet additional liquidity requirements
C. The rate at which the Reserve Bank is prepared to buy or re-discount bills of
exchange or other commercial paper eligible for purchase
D. The rate at which banks borrow funds from the Reserve Bank against
eligible collaterals
Q.14 Which among the following defines Bank Rate?
A. The rate at which banks place their surplus funds with the RBI
B. The rate at which banks can borrow against their excess SLR securities to
meet additional liquidity requirements
C. The rate at which the Reserve Bank is prepared to buy or re-discount bills of
exchange or other commercial paper eligible for purchase
D. The rate at which banks borrow funds from the Reserve Bank against
eligible collaterals
Q.15 Which among the following defines Reverse Repo Rate?
A. The rate at which banks place their surplus funds with the RBI
B. The rate at which banks can borrow against their excess SLR securities to
meet additional liquidity requirements
C. The rate at which the Reserve Bank is prepared to buy or re-discount bills of
exchange or other commercial paper eligible for purchase
D. The rate at which banks borrow funds from the Reserve Bank against
eligible collaterals
 QUESTIONS ON NATIONAL INCOME

Q.1 Pick the correct statement/s -

a. Nominal GDP is the money value of all the goods and services produced in a year.
b. Nominal GDP is an indicator of the real performance of the economy as the prices change
over time.
c. The real GDP is calculated as the money value of all goods and services produced in a year
using the constant set of market prices that have prevailed in a certain chosen base year.
A. a, b only
B. b, c only
C. a, c only
D. a, b, c
 QUESTIONS OF POST INDEPENDENCE

Q.2 Select correct statement/s with respect to Green GDP -

a. A term for GDP after adjusting for environment degradation.
b. It was started through a system of national accounts.
c. Can be used to determine monetary value of tangible and intangible components of
something.
A. A, b only
B. B, c only
C. A, c only
D. A, b, c
 QUESTIONS OF POST INDEPENDENCE

Q.3 Pick the incorrect statement -

a. Net Foreign Factor Income = GNP - GDP
b. GNI = GNP + income spend by foreigners within the country + Foreign
income not remitted by citizens
c. Net National Income(NNI) = GNI - Depreciation = NDP + income from
citizen and business earned abroad + income remitted by foreigners living in
the country back to their home country
d. All are correct
 QUESTIONS OF POST INDEPENDENCE

Select the correct statement/s -

Q.4
a. GDP is the final value of the goods and services produced within the geographic boundaries of a country
during a year.
b. In India, contributions to GDP are mainly divided into 3 broad sectors - agriculture and allied, industry
and services sector.
c. Net domestic product accounts for capital that has been consumed over the year in the form of housing
vehicle or machinery deterioration.
A. a, b only
B. b, c only
C. a, b, & c
D. a, c only
 QUESTIONS OF POST INDEPENDENCE

Q.5 The ____ is the monetary value of the finished goods and services
produced by a country’s citizens, whether overseas or resident, in a year
minus depreciation?
a.Net National Product(NNP)
b.Gross National Product (GNP)
c.Net Domestic Product(NDP)
d.Gross Domestic Product(GDP)
e.None of the above
 QUESTIONS OF POST INDEPENDENCE

Which of the following statement/s is/are right about GDP Deflator -

Q.6
a. The GDP deflator is a measure of the level of prices of all new, domestically produced, final goods and
services in an economy in a year.
b. Using the GDP price deflator helps economists compare the levels of real economic activity from one
year to another.
c. It is a measure of general price inflation, calculated by dividing nominal GDP by real GDP then
multiplying by 100.
A. a, b, only
B. b, c only
C. a, b, & c
D. C only
 QUESTIONS OF POST INDEPENDENCE

Q.7 Alternative/s to measure national income -

a. Expenditure method
b. Value added method
c. Income method
A. a, b only
B. b, c only
C. a, c only
D. a, b, & c
 QUESTIONS OF POST INDEPENDENCE

Q.8 Disposable Income is often talked about when discussing National

Income. Which of the following correctly describes it:
A. Income available with corporates after paying indirect taxes
B. Income which companies distribute as dividends
C. Income accruing to individuals after direct taxes have been paid
D. None of the above
 QUESTIONS OF POST INDEPENDENCE

Q.9 Which of the following is/are correct regarding GNP?

a) GNP = GDP – Depreciation
b) GNP = GDP + Taxes – Subsidies
c) GNP = NNP - Depreciation – Income from Abroad
d) GNP = GDP + Net Income from Abroad
Select the correct answer from following options:
A. Only a
B. b and c
C. B and d
D. Only d
 QUESTIONS OF POST INDEPENDENCE

Q.10 GDP deflator is an often cited term in economic discussion. What does it
relate to?
A. Evaluates inflation by taking into account the GDP of the country
B. Shows real GDP growth on the basis of current production
C. The GDP deflator excludes services while Consumer Price index
includes it
D. None of the above
Q.1 The president is selected by the board of executive directors for a ____year,
renewable term:
a) 5 Year R
b) 3 Year
c) 4 Year
d) 10 Year
Q.2 Which of the following statements is not correct?
a) Both the IMF & IBRD have headquarters in Washington
b) ICSID is the constituent organization of the World Bank Group
c) IBRD is known as World Bank also
d) China’s vote share in the International Monetary Fund is 8% R
Q.3 Currently how many members are in the IBRD?
a) 193
b) 198
c) 189 R
d) 206
Q.4 Which of the following is not matched correctly?
a) IBRD (Estd.): 1945 R
b) IFC (Estd.): 1956
c) IDA (Estd.): 1960
d) MIGA (Estd.): 1988
Q.5 World Bank is a recognized member of
a) United Nations Development Council
b) United Nations Development Group R
c) United Nations Security Council
d) United Nations General Assembly
Q.6 Organization which is not a member of World Bank Group is
a) International Monetary Fund R
b) International Finance Corporation
c) International Development Association
d) International Bank for Development and Reconstruction
Q.7 Which of the following is not the function of the World Bank?
a) To provide long term loan to the member countries
b) To provide loan to private investors belonging to member countries on
its own guarantee
c) To ensure exchange rate stability R
d) To provides loan mainly for productive activities
Q.8 Which of the following is the chief objective of the World Bank:
a) To assist in the reconstruction by providing capital of productive
purpose
b) To promote private foreign investment by means of guarantees
c) Participation in loans to supplement private investment
d) All of them R
Q.9 Which of the following statement is correct?
a) Every member country of the IMF automatically becomes the member
of the World Bank R
b) The World Bank has 45 founder members
c) India is not the founding member of the World Bank
d) IMF is the part of World Bank group
Q.10 The bank provides loans only to members for the purpose of?
a) To bridge the deficit in annual budget
b) To check the balance of payments
c) Financing specific project R
d) All of the above
Thank you