MCQOPTIONS
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MCQOPTIONS
This section includes 2369 Mcqs, each offering curated multiple-choice questions to sharpen your Economics knowledge and support exam preparation. Choose a topic below to get started.
| 701. |
The rate of interest offered on savings accounts in all nationalized commercial banks in India is determined by- |
| A. | Union Finance Ministry |
| B. | Central Finance Commission |
| C. | Indian Banks Association |
| D. | none of these |
| Answer» E. | |
| 702. |
Credit Card . . . . . . . . . . . . . . Known as - |
| A. | hard money |
| B. | easy money |
| C. | soft money |
| D. | plastic money |
| Answer» E. | |
| 703. |
Which of the following commercial terminology refers to the mechanism through which a commercial bank lends to the government? |
| A. | cash credit ratio |
| B. | debt service obligation |
| C. | Liquidity Adjustment Facility |
| D. | Statutory Liquidity Ratio |
| Answer» E. | |
| 704. |
When the Reserve Bank of India announces an increase in the cash reserve ratio, what does it mean? |
| A. | Commercial bank will have less money to lend |
| B. | Reserve Bank of India will have less money to lend |
| C. | Central government will have less money to lend |
| D. | Commercial banks will have relatively more money to lend |
| Answer» B. Reserve Bank of India will have less money to lend | |
| 705. |
Economic development is usually coupled with – |
| A. | with deflation |
| B. | with inflation |
| C. | with stagflation |
| D. | with inflation |
| Answer» C. with stagflation | |
| 706. |
On what basis is the inflation rate measured in India? |
| A. | consumer price Index |
| B. | wholesale price index |
| C. | cost of living index of workers |
| D. | suitable all |
| Answer» C. cost of living index of workers | |
| 707. |
Which of the following functions in an economy are not included in the functions of the central bank? |
| A. | The function of foreign exchange |
| B. | control over monetary policy |
| C. | control over government spending |
| D. | Banker's act as a bank |
| Answer» D. Banker's act as a bank | |
| 708. |
Reserves in excess of the constitutional minimum maintained by the commercial banks with the Reserve Bank of India are called- |
| A. | cash reserve |
| B. | deposit reserve |
| C. | surplus reserve |
| D. | momentary reserve |
| Answer» B. deposit reserve | |
| 709. |
What is a rare currency? |
| A. | a loan |
| B. | a currency in the form of gold |
| C. | currency that is readily available |
| D. | currency that is not easily accessible |
| Answer» E. | |
| 710. |
Which of the following has the highest share in the distribution of credit in agriculture and allied activities in India? |
| A. | Commercial Bank |
| B. | Cooperative bank |
| C. | private sector banks |
| D. | micro finance institution |
| Answer» B. Cooperative bank | |
| 711. |
Which of the following is not the main function of the bank? |
| A. | loan out |
| B. | Collection of cheques/drafts of customers |
| C. | facilitating the import of goods |
| D. | issue bank draft |
| Answer» D. issue bank draft | |
| 712. |
Which of the following banks was not nationalized in 1969? |
| A. | Punjab National Bank |
| B. | bank of india |
| C. | State Bank of India |
| D. | bank of india |
| Answer» D. bank of india | |
| 713. |
Which of the following is the most important component of the liability of commercial banks in India? |
| A. | fixed deposit amount |
| B. | demand deposit amount |
| C. | inter bank liabilities |
| D. | other grounds |
| Answer» B. demand deposit amount | |
| 714. |
Which of the following allows foreign exchange for the import of goods? |
| A. | any nationalized bank |
| B. | exchange bank |
| C. | Reserve Bank of India |
| D. | Finance Ministry |
| Answer» D. Finance Ministry | |
| 715. |
As a result of the recommendations of the Working Group of Rural Banks, initially 5 Rural Regional Banks were established, the year- |
| A. | in 1973 |
| B. | in 1974 |
| C. | in 1975 |
| D. | in 1976 |
| Answer» D. in 1976 | |
| 716. |
Treasury bills are sold in India by |
| A. | R. B. I. By |
| B. | by state governments |
| C. | by commercial banks |
| D. | by SEBI |
| Answer» B. by state governments | |
| 717. |
Which one of the following is a private sector bank in India? |
| A. | corporation bank |
| B. | Kotak Mahindra Bank |
| C. | Mother D . b. Mother Bank |
| D. | Syndicate Bank |
| Answer» E. | |
| 718. |
What is a short term government security letter called? |
| A. | share |
| B. | debentures |
| C. | mutual fund |
| D. | Treasury bills |
| Answer» E. | |
| 719. |
The maximum period for which domestic fixed deposits are generally accepted by banks in our country is - |
| A. | 3 years |
| B. | 5 year |
| C. | 7 years |
| D. | 10 years |
| Answer» E. | |
| 720. |
Federal Reserve is a financial organization of which of the following country? |
| A. | U. s . a . |
| B. | Britain |
| C. | Germany |
| D. | Greens |
| Answer» B. Britain | |
| 721. |
Decimal currency system was introduced in India by |
| A. | in the year 1951 |
| B. | in the year 1955 |
| C. | in the year 1957 |
| D. | in the year 1960 |
| Answer» D. in the year 1960 | |
| 722. |
Money supply is controlled by- |
| A. | Planning Commission |
| B. | Finance Commission |
| C. | R. b. Mother |
| D. | Commercial bank |
| Answer» D. Commercial bank | |
| 723. |
Which of the following bank is headquartered in Kolkata? |
| A. | Punjab National Bank |
| B. | bank of india |
| C. | Syndicate Bank |
| D. | unite commercial bank |
| Answer» E. | |
| 724. |
The main organization implementing the Rural Infrastructure Development Federation Fund program in India is - |
| A. | nabard |
| B. | State Cooperative Bank |
| C. | R. b. I |
| D. | s . b. Mother |
| Answer» B. State Cooperative Bank | |
| 725. |
Who makes monetary policy in India? |
| A. | Central Government |
| B. | Department of Industrial Finance, India |
| C. | Reserve Bank of India |
| D. | Industrial Development Corporation of India |
| Answer» D. Industrial Development Corporation of India | |
| 726. |
Staflation status is - |
| A. | of stagnation and deflation |
| B. | deadlock and recession |
| C. | stagnation and inflation |
| D. | of deadlock and resurrection |
| Answer» D. of deadlock and resurrection | |
| 727. |
Reserve Bank of India issues currency notes |
| A. | under fixed fiduciary system |
| B. | under maximum fiduciary system |
| C. | Under the fixed minimum reservation system |
| D. | Under Proportional Reservation System |
| Answer» D. Under Proportional Reservation System | |
| 728. |
One rupee note is signed by - |
| A. | Secretary, Ministry of Finance |
| B. | Governor, Reserve Bank of India |
| C. | of finance minister |
| D. | none of these |
| Answer» B. Governor, Reserve Bank of India | |
| 729. |
In which of the following financial year the Indian Rupee was devalued twice? |
| A. | 1966 - 67 |
| B. | 1991 - 92 |
| C. | 1990 - 91 |
| D. | 1989 - 90 |
| Answer» C. 1990 - 91 | |
| 730. |
Identify the ones which are false about currency expansion. |
| A. | Indicates currency spread, but increases in group prices on a point-to-point basis |
| B. | The rate of currency spread in India is calculated on the basis of wholesale price index. |
| C. | Retail prices of some commodities are also taken into account to measure money spread. |
| D. | A fall in the rate of spread of money does not mean that prices will fall. |
| Answer» E. | |
| 731. |
If the cash fund ratio is reduced by the Reserve Bank of India, then it will have an effect on credit creation - |
| A. | Growth |
| B. | Shortage |
| C. | no effect |
| D. | no other |
| Answer» B. Shortage | |
| 732. |
A decision has been taken in October 2009 to shift the base year of WPI from 1993-94 to - |
| A. | Year 2001 - 2002 |
| B. | Year 2002 - 2003 |
| C. | Year 2003 - 2004 |
| D. | Year 2004 - 2005 |
| Answer» E. | |
| 733. |
The year in which the devaluation of rupee was done for the first time in India was- |
| A. | 1949 , |
| B. | 1966 , |
| C. | 1972 , |
| D. | 1990 , |
| Answer» B. 1966 , | |
| 734. |
Participation note is related to which one of the following - |
| A. | Consolidated Fund of India |
| B. | Foreign institutional investment |
| C. | united nations development program |
| D. | Kyoto Protocol |
| Answer» C. united nations development program | |
| 735. |
Which of the following is considered to be the major determinant of real wages (salary)? |
| A. | extra income |
| B. | Nature of Work |
| C. | chances of promotion |
| D. | purchasing power of money |
| Answer» E. | |
| 736. |
Which is the bank which has formedKisan Clubto reach the farmers easily? |
| A. | regional rural bank |
| B. | Punjab National Bank |
| C. | State Bank of India |
| D. | Allahabad Bank |
| Answer» B. Punjab National Bank | |
| 737. |
Which one of the following was the first to occur in the context of the economy of independent India? |
| A. | Nationalization of insurance companies |
| B. | Nationalization of State Bank of India |
| C. | Act of Banking Regulation Act |
| D. | Implementation of the first five year plan |
| Answer» D. Implementation of the first five year plan | |
| 738. |
The Narasimham Committee on Financial Reforms had suggested to set up - |
| A. | Four tier hierarchy of banking structure |
| B. | Three tier hierarchy of banking structure |
| C. | Two tier hierarchy of banking structure |
| D. | Integrated control by top entities |
| Answer» B. Three tier hierarchy of banking structure | |
| 739. |
The foreign currency which has the tendency to migrate quickly is called |
| A. | scarce currency |
| B. | easy money |
| C. | gold coin |
| D. | hot currency |
| Answer» E. | |
| 740. |
Bank rate is the rate at which - |
| A. | a bank lends to the public |
| B. | RBI lends to the public |
| C. | R. b. Mother lends to commercial banks |
| D. | Government of India lends to other countries |
| Answer» D. Government of India lends to other countries | |
| 741. |
Mother M . F . As per the rules of the Act, every member is required to declare the par value of his legal currency in the form of US dollars and - |
| A. | as silver |
| B. | as gold |
| C. | pound as sterling |
| D. | as a diamond |
| Answer» D. as a diamond | |
| 742. |
A change in the bank rate is affected by - |
| A. | market rate of interest |
| B. | Select industries for investment |
| C. | lending bank |
| D. | cash reserve ratio |
| Answer» B. Select industries for investment | |
| 743. |
Who among the following has the sole right to issue currency (except one rupee coins and notes) in India? |
| A. | Indian government |
| B. | Planning Commission |
| C. | State Bank of India |
| D. | Reserve Bank of India |
| Answer» E. | |
| 744. |
Meaning of cheap currency |
| A. | low rate of interest |
| B. | low level of savings |
| C. | low level of income |
| D. | low standard of living |
| Answer» B. low level of savings | |
| 745. |
If money (money) is very much and goods or things are very less, then that situation is- |
| A. | Inflation |
| B. | inflation |
| C. | Recession |
| D. | immobility / immobility |
| Answer» C. Recession | |
| 746. |
Reserve Bank of India's open market operation means buy and sell - |
| A. | of commercial bills |
| B. | Of foreign exchange |
| C. | of gold |
| D. | of government bonds |
| Answer» E. | |
| 747. |
The devaluation of currency is caused by - |
| A. | Extension of export trade |
| B. | contraction of import trade |
| C. | spread of import substitution |
| D. | suitable in all |
| Answer» E. | |
| 748. |
Who has the full right to issue paper note currency in India? |
| A. | Indian government |
| B. | Finance Commission |
| C. | reserve Bank |
| D. | Central Bank Of India |
| Answer» D. Central Bank Of India | |
| 749. |
Which of the following Indian bank became the first bank in India to reach a market capitalization of Rs 1, 00,000 crore? |
| A. | ICICI Bank |
| B. | HDFC bank |
| C. | SBI Bank |
| D. | PNB Bank |
| Answer» D. PNB Bank | |
| 750. |
Nikki is - |
| A. | Share price index of the Tokyo Stock Exchange |
| B. | Japanese name of the Central Bank of Japan |
| C. | Central Bank of Japan |
| D. | japanese forex market |
| Answer» B. Japanese name of the Central Bank of Japan | |