1000 Best Indian Economy MCQs
Q25). Progressive Taxation is most closely associated to the base which the tax proposals are generally developed is ______?
a).Expediency Theory
b).Cost of service approach
c).Ability to pay approach
d).Concentration approach
Correct Answer:
Ability to pay approach
Explanation:
Q26). The “Service area Approach” was an strategy launched to improve which of the following?
a).Micro, Small and medium Enterprising
b).Unorganized Sector
c).Rural lending
d).Urban Industrial Lending
Correct Answer:
Rural lending
Explanation:
Q27). A non-banking finance company (NBFC) in India has to make some investments in overseas ventures. The NBFC is required to seek regulatory clearance from which of the following authorities?
a).RBI
b).SEBI
c).IDBI
d).Ministry of Finance
Correct Answer:
RBI
Explanation:
Q28). Which among the following correctly denotes the Primary Deficit?
a).Revenue Expenditure – Revenue Receipts
b).sum of the net increase in holdings of treasury bills of the RBI and its contributions to the market borrowing of the government.
c).Budgetary Deficit + Govt. market borrowings and liabilities
d).Fiscal Deficit – Interest Payments
Correct Answer:
Fiscal Deficit – Interest Payments
Explanation:
Q29). Who among the following works as head of the “Board for Financial Supervision” in India?
a).Finance Minister
b).RBI Governor
c).Minister of State for Finance
d).Independent head appointed by President
Correct Answer:
RBI Governor
Explanation:
Q30). Under which among the following acts, Hawala transactions are banned in India?
a).FERA
b).FEMA
c).FRBMA
d).AFSPA
Correct Answer:
FEMA
Explanation:
Q31). Microcredit or microfinance is a novel approach to banking with the poor through Self Help Groups or SHGs. However, the Microfinance Institutions or MFI’s have now replaced the SHGs with JLGs. What does the JLG most commonly stands for?
a).Joint Lending Groups
b).Joint Liability Groups
c).Joint Local Groups
d).Joint Lenders Groups
Correct Answer:
Joint Liability Groups
Explanation:
Q32). If a bank launched a “CASA campaign” , which among the following would be the most probable objective of such campaign?
a).To bring down Non-performing Assets (NPA)
b).To develop better customer relations
c).To bring in more new customers
d).To provide no frill services
Correct Answer:
To bring in more new customers
Explanation: