Indian Economy MCQs
Indian Economy Multiple Choice Questions (MCQs) for State and UPSC Civil Services Examinations. Objective Questions on Indian Economy for competitive examinations.
1. In which of the following years ‘Ad hoc Treasury bill System’ of meeting budget deficit in India was replaced by ways and Means Advances System?
[A] 1995
[B] 1996
[C] 1997
[D] 2000
Show Answer
Correct Answer: C [1997]
Notes:
The Ways and means advances (WMA) is a window, under which Government of India and the state Governments borrow funds from the Reserve Bank. These borrowings are purely meant to tide away temporary liquidity mismatch.
2. Which among the following is correct regarding the appointment of deputy governor in Reserve Bank of India?
[A] The appointment of a deputy governor can be for a maximum of 5 years or till the age of 62, whichever is earlier.
[B] The appointment of a deputy governor can be for a maximum of 4 years or till the age of 62, whichever is earlier.
[C] The appointment of a deputy governor can be for a maximum of 3 years or till the age of 60, whichever is earlier.
[D] The appointment of a deputy governor can be for a maximum of 2 years or till the age of 62, whichever is earlier.
Show Answer
Correct Answer: A [The appointment of a deputy governor can be for a maximum of 5 years or till the age of 62, whichever is earlier.]
3. In which year Government of India scrapped the exim scrips and introduced partial convertibility of Rupee?
[A] 1990
[B] 1991
[C] 1992
[D] 1993
Show Answer
4. Which among the following was set up primarily for the rehabilitation of Sick units?
[A] Industrial Finance Corporation of India
[B] Industrial Reconstruction Bank of India
[C] Small Industries Development Bank of India
[D] Central Bank of India
Show Answer
Correct Answer: B [Industrial Reconstruction Bank of India]
5. In which of the following countries maximum number of Branches of Indian Banks are located?
[A] UK
[B] USA
[C] Honkong
[D] Australia
Show Answer
6. Which among the following is an example of Cross selling?
[A] A sales person suggests a product or service to a person who lives in neighborhood of one of the clients
[B] A sales person suggests a premium brand of whisky, when the customer is buying a local made liquor
[C] A person suggests a new product or service to an old client of the company
[D] A person sales an extensive annual maintenance contract when the customer buys a product.
Show Answer
Correct Answer: C [A person suggests a new product or service to an old client of the company]
7. The idea of Regional Rural Banks (RRBs) in India was promulgated with RRB Act of 1976. In June 2004, an Advisory Committee on Flow of Credit to Agriculture and Related Activities recommended restructuring of RRBs in order to improve the operational viability of RRBs and take advantage of the economies of scale. Who among the following was the chairman of this committee?
[A] Prof V S Vyas
[B] PD Ojha
[C] Deepak Mohanty
[D] Prof. V K Sharma
Show Answer
Correct Answer: A [Prof V S Vyas]
8. The banks keep the Margin Requirements for the primary purpose of which of the following?
[A] To fulfill RBI requirements
[B] To keep themselves Basel II compliant
[C] To maintain a cushion against the decline of value of security
[D] To earn profit
Show Answer
Correct Answer: C [To maintain a cushion against the decline of value of security]
9. In bank group-wise classification, IDBI Bank Ltd has been included in which among the following?
[A] Nationalized Banks
[B] Private Sector Banks
[C] Foreign Banks
[D] None of them
Show Answer
Correct Answer: A [Nationalized Banks]
10. In which year, after independence, notes in denominations of Rs. 1,000, Rs. 5,000 and Rs. 10,000 were reintroduced in India?
[A] 1947
[B] 1950
[C] 1952
[D] 1954
Show Answer
Advertisement
[contact-form-7 id="141158" title="Contact form 1"]
