Indian Economy

Q. Deficit financing leads to inflation in general, but it can be checked if

A
only aggregate demand is increased
B
all the expenditure is denoted national debt payment only
C
government expenditure leads to increase in the aggregate supply in ratio of aggregate demand
D
All of the above

Correct Answer

All of the above

More Questions on Indian Economy

  • Q. Unit Trust of India (UTI) was bifurcated (into UTI-I and UTI-II) in:
    A)the year 2000
    B)the year 2005
    C)the year 2003
    D)the year 2001
    Answer: the year 2003
  • Q. If the fiscal deficit of the Union Government is Rs. 75,000 crores relending to State is Rs. 25,000 crores, interest payments are Rs. 25,000 crores, what is the amount of the primary deficit?
    A)Rs. 25,000 crores
    B)Rs. 1,00,000 crores
    C)Rs. 50,000 crores
    D)Rs. 1,25,000 crores
    Answer: Rs. 50,000 crores
  • Q. Devaluation of currency will be more beneficial if
    A)prices of exports remain constant
    B)prices of domestic goods remain constant
    C)prices of imports remains constant
    D)prices of exports rise proportionately
    Answer: prices of exports remain constant
  • Q. In the state of India, the State Financial Corporation have given assistance mainly to develop
    A)cottage industry
    B)agricultural farms
    C)large-scale industries
    D)medium and small-scale industries
    Answer: medium and small-scale industries
  • Q. States earn maximum revenue through
    A)custom revenue
    B)land revenue
    C)commercial taxes
    D)excise duties on intoxicants
    Answer: commercial taxes
  • Q. In the second nationalization of commercial banks, ___ banks were nationalized.
    A)5
    B)6
    C)4
    D)8
    Answer: 6
  • Q. Gross domestic capital formation is defined as
    A)expenditure incurred on physical assets only
    B)flow of expenditure devoted to increased or maintaining of the capital stock
    C)production exceeding demand
    D)net addition to stock after depreciation
    Answer: net addition to stock after depreciation
  • Q. If all the banks in an economy are nationalized and converted into a monopoly bank, the total deposits
    A)will increase
    B)will neither increase nor decrease
    C)will decrease
    D)None of the above
    Answer: will neither increase nor decrease
  • Q. The number of finance commissions set up upto now is:
    A)14
    B)13
    C)15
    D)16
    Answer: 15
  • Q. In Global Hunger Index (GHI) India has been ranked at:
    A)102nd place among 117 developing countries
    B)105th place among 117 developing countries
    C)96th place among 119 developing countries
    D)109th place among 117 developing countries
    Answer: 102nd place among 117 developing countries
  • Q. National expenditure includes
    A)investment expenditure
    B)consumption expenditure
    C)government expenditure
    D)All of the above
    Answer: All of the above
  • Q. In India, inflation measured by the
    A)Consumers Price Index for urban non-manual workers
    B)Wholesale Price Index number
    C)Consumers Price Index for agricultural workers
    D)National Income Deflation
    Answer: Wholesale Price Index number
  • Q. The main rubber producing state in the country is:
    A)Tamil Nadu
    B)Kerala
    C)Karnataka
    D)Hyderabad
    Answer: Kerala
  • Q. Unit Trust of India (UTI) was bifurcated (into UTI-I and UTI-II) in:
    A)the year 2000
    B)the year 2003
    C)the year 2005
    D)the year 2001
    Answer: the year 2003
  • Q. Resurgent India bonds were issued in US dollar, Pound Sterling and
    A)Deutsche Mark
    B)Japanese Yen
    C)Euro
    D)French Franc
    Answer: Deutsche Mark
  • Q. Who is responsible for establishing and maintaining astound and efficient accounting and financial reporting system in India?
    A)NITI Ayog
    B)RBI
    C)The Comptroller General of Accounts
    D)None of these
    Answer: The Comptroller General of Accounts
  • Q. The annual yield from which of the following Union Government taxes is the highest?
    A)Corporation tax and income tax
    B)Custom duties
    C)Inheritance tax, wealth tax, interest tax and gift tax
    D)Excise duties
    Answer: Excise duties
  • Q. As per the 2009-10, data the commodity with highest share in total export value was:
    A)Engineering goods
    B)Gems and Jewellery.
    C)Petroleum products
    D)Rice
    Answer: Gems and Jewellery.
  • Q. Inflation is measured in India on the basis of which ‘Index’?
    A)Consumer Price Index for urban workers
    B)Wholesale Price Index
    C)Consumer Price Index for agricultural workers
    D)National income deflation
    Answer: Wholesale Price Index
  • Q. Meera Seth committee was associated with:
    A)sex discrimination at work place
    B)the development of handloom industry.
    C)female foeticide
    D)banking sector
    Answer: the development of handloom industry.

Leave a Comment