Competitive Exams: Economics MCQs (Practice-Test 19 of 122)

  1. Which one of the following measure comes under stabilisation policies for agricultural goods?

    1. increase in irrigation facilities

    2. Adoption of high-yielding variety of seeds

    3. Strengthening the public distribution system

    4. appropriate support prices

  2. I is said that the Community Development Programme in India failed to achieve its purpose fully on account of the following reasons:

    1. Agricultural extension efforts were inadequate

    2. The state governments did not cooperate with the central government.

    3. The distribution of benefits of the programme was in fabour of the more privileged classes.

    4. It encouraged growth of capitalistic agriculture.

      1. 1, 2, 3 and 4

      2. 1 and 2

      3. 1, 3 and 4

      4. 2, 3 and 4

  3. The mainaim of the New Industrial Policy of 1991 was to

    1. remove restrictions of the MRTP Act

    2. dismantle the public enterprises

    3. unshackle the Indian industrial economy from unnecessary bureaucratic controls

    4. remove restrictions on direct foreign investment

  4. What is the correct chorological sequence of the following enactments in India?

    1. MRTP Act

    2. Industries (Development and Regulation) Act.

    3. FERA

    4. Minimum Wages Act.

    Select the correct answer using the codes given below:

    1. 2, 3, 4, 1

    2. 2, 3, 1, 4

    3. 4, 2, 1, 3

    4. 4, 2, 3, 1

  5. Industrial licensing was abolished for all industries in 1991 except for

    1. small-scale industries

    2. industries related to security and strategic concerns

    3. multi-national corporations

    4. export-oriented industries

  6. The State Finance Corporations

    1. provide long-term finance to largescale industries provide long-term finance to large-scale industries

    2. provide all type of finance to largescale industries

    3. provide all types of finance to industries

    4. Act as agents of the state governments in providing finance to small-scale industries.

  7. Which one of the following norms should be followed in the pricing policy of public enterprises in the non-infrastructure sector in India?

    1. No-profit-non-loss basis

    2. Import-parity price

    3. Profitability as the basis of pricing policy

    4. The Break-even principle

  8. India's share in world exports in 1997 − 98 was about

    1. 0.6 percent

    2. 1.2 percent

    3. 2.1 percent

    4. 3.2 percent

  9. Which one of the following groups of items is included in India's foreignexchange reserves?

    1. Foreign-currency assets, Special Drawing Rights (SDRs) and loans form foreign countries

    2. foreign-currency assets, god holdings of RBI and Special Drawing Rights (SDRs)

    3. Foreign-currency assets, loans from the World Bank and special Drawing Rights (SDRs)

    4. Foreign-currency assets, gold holdings of RBI and loans from the World

    Bank.

  10. Which one of the following was the largest foreign-aid given to India in 1996 − 97?

    1. USA.

    2. Asian Development bank

    3. UK

    4. UIBRD & IDA

  11. The Narasimham committee I dealt with

    1. banking-sector reforms

    2. capital-market reforms

    3. non-banking institutions'reforms

    4. insurance-sector reforms

  12. The case for price stability as the dominant objective of monetary policy in India rests on certain assumptions. Which one of the following is NOT a correct assumption?

    1. volatility in prices creates uncertainty in decision-making

    2. Rising prices make speculative investment more attractive.

    3. Rising prices create fabourable climate for promoting saving and for making optical allocation of resources have no hedge against inflation.

    4. rising prices affect adversely those who don't have the money power

  13. Which one of the following measures has been accorded the highest priority by the government for checking the inflationary pressure on the economy since 1990?

    1. Revamping the Public distribution system

    2. correcting the fiscal imbalance by reducing the fiscal deficit as a percentage of GDP.

    3. Increasing imports.

    4. Devaluation of the Rupee

  14. We have a variety of banking institutions in India as follows:

    1. SBI

    2. RBI

    3. RRBs

    4. NABARD

    The correct chronological order in which they came into being is:

    1. 1, 2, 3, 4

    2. 3, 4, 2, 1

    3. 2, 1, 3, 4

    4. 4, 3, 2, 1

  15. the basic aim of the Lead Bank Scheme is that:

    1. big banks should try to open offices in each district

    2. there should be stiff competition among the various nationalised banks.

    3. individual banks should adopt particular districts for intensive development.

    4. all the banks should make intensive efforts to mobilise deposits