1000 Best Indian Economy MCQs
Q105). The budget deficit means
a).the excess of total expenditure, including loans, net of lending over revenue receipts
b).difference between revenue receipts and revenue expenditure
c).difference between all receipts and all the expenditure
d).fiscal deficit less interest payments
Correct Answer:
difference between all receipts and all the expenditure
Explanation:
Q106). In utensils worth Rs 1000 are produced with copper worth Rs 500, wages paid are Rs 100, other material purchased is worth Rs 100 and depreciation of machinery is zero, then what is the value added in process?
a).Rs 1000
b).Rs 500
c).Rs 400
d).Rs 300
Correct Answer:
Rs 300
Explanation:
Q107). Paper currency first started in India in
a).1861
b).1542
c).1601
d).1880
Correct Answer:
1861
Explanation:
Q108). The ARDC is now a branch of the
a).RBI
b).NABARD
c).IDBI
d).SDBI
Correct Answer:
NABARD
Explanation:
Q109). Devaluation of currency leads to
a).fall in domestic prices
b).increase in domestic prices
c).no impact on domestic prices
d).erratic fluctuations in domestic prices
Correct Answer:
increase in domestic prices
Explanation:
Q110). Since 1983, the RBI’s responsibility with respect to regional rural banks was transferred to
a).ARDC
b).SBI
c).NABARD
d).PACs
Correct Answer:
NABARD
Explanation:
Q111). Deficit financing implies
a).printing new currency notes
b).replacing new currency with worn out currency
c).public expenditure in excess of public revenue
d).public revenue in excess of public expenditure
Correct Answer:
public expenditure in excess of public revenue
Explanation:
Q112). In which of the following sequences the change in quantity of money leads to change in price level in the Keynesian models?
a).Change in quantity of money – change in investment – change in employment and output – change in rate of interest – change in price level
b).Change in quantity of money – change in employment and output – change in investment – change in the rate of interest – change in price level
c).Change in quantity of money – change in investment – change in rate of interest – change in employment and output – change in price level
d).Change in quantity of money – change in rate of interest – change in investment – change in employment and output – change in price level
Correct Answer:
Change in quantity of money – change in rate of interest – change in investment – change in employment and output – change in price level
Explanation: