Economy KPSC,UPPSC,SSC,NDA,RRB,UPSC,NCERT,MPSC,WBPSC

Indian Economy MCQ-6

Which one of the following is correct about the Hundis in the Indian Banking System?

(A) A Counter of trade the commodities produced in a season
(B) An internal bill of exchange of the Indigenous Banking System
(C) A bill of exchange sold in the Indian Secondary Capital market
(D) None of the above

Consider the following
1. Currency in Circulation.
2. Bankers’ deposits with the RBI.
3. Call A Term Funding from Financial Institutions.
4. other’ deposits with the RBI.
Which of the components given above is/are included in the calculation of Reserve Money in India?

(A) 1 and 2
(B) 2, 3 and 4
(C) 1, 2 and 4
(D) Only 2

With reference to Indian commercial banks Consider the following statements
1. The base rate system for the interest of the commercial banks was introduced in
2. The base rate system has enabled a more informed assessment of the transmission of monetary policy impulses to banks’ lending rates.
Which of the statements given above is/are correct?

(A) Only 1
(B) Only 2
(C) Both 1 and 2
(D) Neither 1 nor 2

Consider the following statements
1. Institute of Banking Personnel Selection was established in
2. The first Chairman of the Institute of Banking Personnel Selection was Dr.Manmohan Singh.
Which of the statements given above is/are correct?

(A) Only 1
(B) Only 2
(C) Both 1 and 2
(D) Neither 1 nor 2

Which one of the following is correctly matched?

(A) NBFC : Organized Banking sector
(B) SHROFFS : Indigenous Banking system
(C) NIDHI : Scheduled Banking system
(D) None of the above

The higher rate of expansion in currency with the public and reserves as compared to that in deposits in an economy leads to

(A) the money multiplier remains unchanged
(B) increases at the first then decreases later on
(C) an increase in the money multiplier
(D) a decrease in the money multiplier

In which one among the following Five Year Plans did the Service Area Approach (SAA) programme launch in India?

(A) First Five Year Plan (1951-1956)
(B) Third Five Year Plan (1961 -1966
(C) Fifth Five Year Plan (1974-1979)
(D) Seventh Five Year Plan (1985-1990)

Which one of the following banks is not Private Scheduled Bank in India?

(A) UP Agro Bank Corporation Ltd India
(B) Yes bank
(C) UTI Bank
(D) Bank of Maharashtra

Which one of the following is not correct about the microfinance?

(A) It is a provision of financial services to low-income groups of a society
(B) It is aimed to assist the self-employed who traditionally lack access to banking system
(C) It is-the credit policy which does not cover the insurance of the borrower
(D) It is mainly aimed to reduce the unemployment and poverty of a country

Consider the following statements
1. Money Supply measures MO, M1 and M3 are widely used in India.
2. Money Supply measures M2 and M4are rarely used in India.
Which of the statements given above is/are correct?

(A) Only 1
(B) Only 2
(C) Both 1 and 2
(D) Neither 1 nor 2

With reference to Indian Economy, consider the following statements
1. Service Area Approach programme was started in the late nineties.
2. Service Area Approach was devised to bring economic growth in the assigned specific semi-urban and rural areas.
Which of the statements given above is/are correct?

(A) Only 1
(B) Only 2
(C) Both 1 and 2
(D) Neither 1 nor 2

What are ‘Open Market Operations’?

(A) Activities of SEBI- registered brokers
(B) Selling of currency by the RBI
(C) Selling of gilt-edged securities by the Government
(D) Sale of shares by Flies

Select the incorrect one/(s) about the Regional Rural Banks (RRBs) in India from the given statements using the codes given below
1. They are now being merged with the public sector banks under whom they used to function.
2. The original mandate of their clientele has now been abolished
3. They cannot forward advances at commercial interest rates.

(A) Only l
(B) 2 and 3
(C) Only 3
(D) 1 and 3

Which one of the following is used to determine the Money Multiplier in an economy?

(A) M3/M2
(B) MO/M3
(C) M1/M3
(D) M3/MO

Consider the following statements
1. In India, the minimum denomination coin acceptable for transaction is 50 paise.
2. Coin below 50 paise is not a legal tender for payment.
Which of the statements given above is/are correct?

(A) Only 1
(B) Only 2
(C) Both 1 and 2
(D) Neither 1 nor 2

The sixth economic census is being done in What was the year of the first economic census?

(A) 1951
(B) 1961
(C) 1971
(D) 1977

Banks of India are required to maintain a certain ratio between their risky assets and capital which is known as

(A) Cap Adequacy Ratio (CAR)
(B) Statutory Liquidity Ratio (SLR)
(C) General Bank Reserve (GBR)
(D) Capital-to-risk-weighted Adequacy Ratio (CRAR)