Indian Economy

31. Devaluation of currency will be more beneficial if A. prices of domestic goods remain constant B. prices of exports remain constant C. prices of imports remains constant D. prices of exports rise proportionately

prices of domestic goods remain constant
prices of exports remain constant
prices of imports remains constant
prices of exports rise proportionately

Detailed SolutionDevaluation of currency will be more beneficial if A. prices of domestic goods remain constant B. prices of exports remain constant C. prices of imports remains constant D. prices of exports rise proportionately

32. The current price index (base 1960) is nearly 330. This means that A. all items cost 3-3 times more than what they did in 1960 B. the prices of certain selected items have gone up to 3-3 times C. weighted means of prices of certain item has increased 3-3 times D. gold price has gone up 3-3 times

all items cost 3-3 times more than what they did in 1960
the prices of certain selected items have gone up to 3-3 times
weighted means of prices of certain item has increased 3-3 times
gold price has gone up 3-3 times

Detailed SolutionThe current price index (base 1960) is nearly 330. This means that A. all items cost 3-3 times more than what they did in 1960 B. the prices of certain selected items have gone up to 3-3 times C. weighted means of prices of certain item has increased 3-3 times D. gold price has gone up 3-3 times

33. The Board of Industrial and Financial Reconstruction (BIFR) came into existence in A. 1984 B. 1986 C. 1987 D. 1989

1984
1986
1987
1989

Detailed SolutionThe Board of Industrial and Financial Reconstruction (BIFR) came into existence in A. 1984 B. 1986 C. 1987 D. 1989

34. If an economy is equilibrium at the point where plans to save and to invest are equal, then government expenditure must be A. zero B. equal to government income C. larger than government income D. negative

zero
equal to government income
larger than government income
negative

Detailed SolutionIf an economy is equilibrium at the point where plans to save and to invest are equal, then government expenditure must be A. zero B. equal to government income C. larger than government income D. negative

35. The co-operative credit societies have a A. two-tier structure B. three-tier structure C. four-tier structure D. five-tier structure

two-tier structure
three-tier structure
four-tier structure
five-tier structure

Detailed SolutionThe co-operative credit societies have a A. two-tier structure B. three-tier structure C. four-tier structure D. five-tier structure

36. Since the inception of the co-operative movement, rural credits has been A. institutionalized B. rationalized C. cheapened D. All of the above

institutionalized
rationalized
cheapened
All of the above

Detailed SolutionSince the inception of the co-operative movement, rural credits has been A. institutionalized B. rationalized C. cheapened D. All of the above

37. Deficit financing means that the government borrows money from the A. RBI B. local bodies C. big businessmen D. IMF

RBI
local bodies
big businessmen
IMF

Detailed SolutionDeficit financing means that the government borrows money from the A. RBI B. local bodies C. big businessmen D. IMF

38. Revenue of the state governments are raised from the following sources, except A. entertainment tax B. expenditure tax C. agricultural income tax D. land revenue

entertainment tax
expenditure tax
agricultural income tax
land revenue

Detailed SolutionRevenue of the state governments are raised from the following sources, except A. entertainment tax B. expenditure tax C. agricultural income tax D. land revenue

39. The condition of indirect taxes in the country’s revenue is approximately A. 70 percent B. 75 percent C. 80 percent D. 86 percent

70 percent
75 percent
80 percent
86 percent

Detailed SolutionThe condition of indirect taxes in the country’s revenue is approximately A. 70 percent B. 75 percent C. 80 percent D. 86 percent

40. Which of the following is not viewed as a national debt? A. Provident Fund B. Life Insurance Policies C. National Saving Certificate D. Long-term Government Bonds

Provident Fund
Life Insurance Policies
National Saving Certificate
Long-term Government Bonds

Detailed SolutionWhich of the following is not viewed as a national debt? A. Provident Fund B. Life Insurance Policies C. National Saving Certificate D. Long-term Government Bonds

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