Indian Economy MCQs

Indian Economy Multiple Choice Questions (MCQs) for SSC, State and all One Day Examinations of India. Objective Questions on Indian Economy for competitive examinations.

1. Which among the following correctly denotes Reserve Money?
[A] Currency in circulation
[B] Currency in Circulation + Other deposits of the General Public with RBI
[C] Currency in circulation + Other deposits of the general Public with RBI + Cash held with the banks
[D] Currency in circulation + Other deposits of the general Public with RBI + Cash held with the banks + Banker’s Deposits with RBI

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2. Who among the following Indian Economists played a crucial role in inception of MNREGA?
[A] Amartya Sen
[B] Jean Dreze
[C] Jagdish Natwarlal Bhagwati
[D] Dr. Vijay Kelkar

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3. Which authority regulates violations in foreign currency convertible bonds in India?
[A] Securities and Exchange Board of India (SEBI)
[B] Reserve Bank of India (RBI)
[C] Foreign Investment Promotion Board (FIPB)
[D] Bombay Stock Exchange (BSE)

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4. What percentage of global oil production is attributed to OPEC?
[A] 25%
[B] 35%
[C] 40%
[D] 55%

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5. Consider the following items with respect to the classification of “Total Food Grains” in India:

  1. Rice
  2. Wheat
  3. Coarse cereals (such as millet, barley, sorghum)
  4. Pulses (including lentils, chickpeas)

Which of the above are included in the definition of Total Food Grains by Indian agricultural standards?

[A] Only 1 and 2
[B] 1, 2, 3 and 4
[C] 1, 2 and 3
[D] 1, 2 and 4

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6. Directorate of Marketing and Inspection (DMI) is an attached Office of which among the following ministries?
[A] Ministry of Food Processing
[B] Ministry of Commerce
[C] Ministry of Agriculture
[D] Ministry of Finance

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7. The Tobin tax was originally proposed for which type of transactions?
[A] Real estate transactions
[B] Foreign exchange transactions
[C] Stock and bond transactions
[D] All financial transactions

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8. A transfer payment is a payment that is __:
[A] made by the government to its current workers
[B] made to people who are needy
[C] For in-kind services provided to the government
[D] For which no services or goods are rendered

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9. The business transactions done in lieu of which of the following would be called Invisible Trade?

  1. Consulting
  2. Income from foreign investment
  3. Shipping services
  4. Tourism

Select the correct option from the codes given below:

[A] Only 1 & 2
[B] Only 2 & 3
[C] Only 3 & 4
[D] 1, 2, 3 & 4

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10. India’s Foreign Trade Policy also known as Export Import Policy (EXIM) is framed and implemented by the:
[A] Director General of Foreign Trade (DGFT)
[B] Home Ministry
[C] Niti Aayog
[D] Finance commission

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