Indian Economy MCQ-5

With reference to India consider the following
1. Nationalization of Banks
2. Formation of Regional Rural Banks
3. Adoption of village by Bank Branches
Which of the statements given above is/are correct about the Indian Banking System?

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

With regards to the Service Area Approach Programme, consider the following
1. Avoidance of duplication of development efforts.
2. Organised and planned lending in the designated areas.
3. Monitoring and assessment of the service and its impact or production level.
4. Optimize the credit and linkages between the production and productivity.
Which of the benefits given above art actually accrued from the Service Area Approach Programme?

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

Consider the following elements
1. Broad Money (M3)
2. All deposits with Post Office Savings Banks
3. National Savings Certificates
Which of the elements given above are the parts of the M4 -Money Supply in Indian Economy?

(A) 1 and 2
(B) 1 and 3
(C) 2 and 3
(D) All of these

Which one of the following is the correct sequence of the countries having foreign Exchange Reserve from high to low?

(A) China – Russia – India – France
(B) China – France – India – Russia
(C) France – China – Russia – India
(D) France – China – India – Russia

Consider the following criteria with regards to the allotment of different districts to India Banks under the Lead Bank Scheme
1. Size of the Banks.
2. Adequacy of its resources to take part in Lead bank scheme.
3. Regional orientation of the banks
4. Banks wishes to involve in Loan Mela.
Which of the criteria given above are considered for the selection of Banks to take part in the ‘Lead Bank Scheme’?

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

With reference to Indian Economy consider the following statements
1. Special Agricultural Credit Plan (SACP) is mainly implemented by the Public Sector Banks.
2. Special Agricultural Credit Plan (SACP) was launched in the Fourth Five Year Plan.
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 among the following is used to determine the monetization of the economy?

(A) The ratio of average M1 to GDP
(B) The ratio of average M3 to GDP
(C) The ratio of average M3 to MO
(D) The ratio of average M1 to MO

Consider the following statements
1.The rank of India in International Monetary Fund {IMF} is just below the Dozen of countries.
2. China ranks second just after the United States in the quota terms of IMF.
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

As we all know, Indian money market is divided in three sectors, namely organised sector, unorganized sector and co-operative sectors. Call money market is the part of which of the following?

(A) Organised Sector
(B) Unorganized Sector
(C) Co-operative Sector
(D) All of the above

Which of the following terms indicate a mechanism used by commercial banks for providing credit to the Government?

(A) Cash Credit Ratio
(B) Debit Service Obligation
(C) Liquidity Adjustment Facility
(D) Satutory Liquidity Ratio

Consider the following statements
1. RESIDEX is an initiative to provide an index of residential prices in India across cities and over time.
2. RESIDEX for tracking prices of residential properties in India was launched in 2007 with 2001 as the base year.
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

Foreign Exchange Reserves are accumulated when there is absorption of the excess foreign exchange flows by the RBI through intervention in foreign exchange markets. Which of the following currency is used by the RBI as an intervention currency?

(A) US Dollar
(B) (b.) Euro
(C) Japanese Yen
(D) Both (a) and (b)

Devaluation usually causes the internal prices to

(A) fall
(B) rise
(C) remained unchanged
(D) None of the above

Which one of the following committees was constituted to bring reform in the Indian Banking System?

(A) Abhijit Sen Committee
(B) Abid Hussain Commitee
(C) Suresh Tendulkar Committee
(D) M Narsimham Committee

The Reserve Bank of India has initiated publication of a new set of monetary and liquidity aggregates as per the recommendations of the Working Group on Money Supply: Analytics and Methodology of Compilation. Then, which one of the following money supplies in India is remained unchanged as that of the old definitions?

(A) MO
(B) M1
(C) M3
(D) Both MO and M1

The basic aim of Lead Bank Scheme is that

(A) big banks should try to open offices in each district
(B) there should be stiff competition among the various nationalized banks
(C) individual banks should adopt particular districts for intensive development
(D) all the banks should make intensive efforts to mobilize deposits

Which one of the following matching is correct matched?
Bank -Headquarter
1. KarurVBank : Tamil Nadu
2. Kotak Mahindra : Kolkata Bank
3. Saraswat Bank : Maharashtra
Select the correct answer using the codes given below

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