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. These questions are part of GKToday’s 35000+ MCQs Bank Course in GKToday Android App
1. Which among the following is the largest nuclear power station of India by capacity?
[A] Tarapur
[B] Kaiga
[C] Kakrapar
[D] Kudankulam
Show Answer
Correct Answer: D [Kudankulam]
Notes:
Kudankulam Nuclear Power Plant in Tamil Nadu is the highest-capacity nuclear plant in India, with a total of 2,000 MW currently installed with a further 2,000 MW under construction.
2. Who among the following is called father of Economics?
[A] David Hume
[B] Lamarck
[C] Adam Smith
[D] John Stuart Mill
Show Answer
Correct Answer: C [Adam Smith]
Notes:
Adam smith is considered as father of Modern Economics. In his book “The nature & causes of wealth of the Nation’s 1776, he has described economics as science of wealth. According to him economy is the study of wealth only and it deals with its production and consumption. Only material goods which are scarce and useful are wealth.
3. Who among the following was the chairman of the expert committee which suggested “Consumption Expenditure” for identifying the BPL?
[A] Abhijit Sen
[B] C Rangrajan
[C] Kirit Parikh
[D] Suresh Tendulkar
Show Answer
Correct Answer: D [Suresh Tendulkar]
4. A person lost his job due to economic recession. He agreed to do some job on a low wage. This is known to be as which among the following?
[A] Seasonal Unemployment
[B] Cyclical Unemployment
[C] Disguised Unemployment
[D] Voluntary Unemployment
Show Answer
Correct Answer: C [Disguised Unemployment]
5. Which among the following is correct about the Vostro Account?
[A] It is an account maintained by a foreign bank with a Bank in India in Indian Rupees.
[B] It is an account maintained by an Indian bank with a Bank in Foreign country in Foreign Currency.
[C] It is an account maintained by an Indian bank with a Bank in Foreign country in Foreign Currency.
[D] It is an account maintained by a Foreign Bank Branch with a Indian Bank in Foreign Currency.
Show Answer
Correct Answer: A [It is an account maintained by a foreign bank with a Bank in India in Indian Rupees.]
6. Which among the following bank had issued first successful Credit Card of the world?
[A] Bank of America
[B] Standard Chartered Bank
[C] CitiBank
[D] ANZ Grindlays Bank
Show Answer
Correct Answer: A [Bank of America]
7. With reference to the business, what is working capital?
[A] The investment made in the business
[B] Fixed assets
[C] Circulating assets- stocks, cash and debts owed to the business
[D] Amount spent on machinery or for building up stock
Show Answer
Correct Answer: C [ Circulating assets- stocks, cash and debts owed to the business ]
Notes:
Current Assets minus Current Liabilities is known as working capital.
8. For which of these countries the RBI has served as the central bank in the past?
[A] Myanmar
[B] Nepal
[C] Sri Lanka
[D] All of the above
Show Answer
Correct Answer: A [Myanmar]
Notes:
The RBI has acted as Burma’s (now Myanmar) central bank until April 1947 (except during the years of Japanese occupation (1942–45)), even though Burma seceded from the Indian Union in 1937.
9. Which section of the RBI allows the RBI to provide loans to banks and state financial corporations?
[A] 17
[B] 18
[C] 19
[D] 20
Show Answer
Correct Answer: A [ 17 ]
Notes:
Under Section 17, The RBI can provide loans to banks and state financial corporations. It can provide advances to the central government and state governments.
10. Which of these cannot be issued by a Payment bank?
[A] ATM card
[B] Debit card
[C] Credit card
[D] All of the above
Show Answer
Correct Answer: C [Credit card]
Notes:
Payment banks can issue ATM/debit cards but not credit cards. Also, they can issue other prepaid payment instruments.
