RL ECO 2 Flashcards
●The ____, the apex institution of housing finance inIndia, was set up as a wholly-owned subsidiary ofthe Reserve Bank of India.
National HousingBank
●Regarding the procurement of food-grains,Government of India follows a procurement targetrather than an ___ procurement policy.
open-ended
●For distribution under Targeted Public DistributionSystem (TPDS), which cereals are issued by theGovernment of India at uniform central issueprices to the States/Union Territories?
wheatand rice
●Most of the cultivation of ____ crops in Indiacontinues to be dependent on rainfall:
Oilseedcrops
●Which airport in India is the first to be owned by apublic limited company?
Bangalore airport
●The second report of which Committee dealing withdirect and indirect taxes has maintained itsoriginal recommendation including the abolitionof exemptions relating to housing loans?
KelkarCommittee
●For calculating the____, all the stock are assignedproportional weightage.
Sensex
●The weekly compilation and Publication of WholesalePrice Indices (WPI) is done by the:
Office ofEconomic Advisor
●Which comapny has started a rural marketingnetwork called ‘e-chaupals’?
ITC
●People belonging to which age groups are eligible fortraining under TRYSEM scheme?
18-35 years
●RBI revision of Repo/Reverse Repo rate by 10 basispoints implies
0.10 per cent
●Under Repo rate banks can borrow above SLRRequirements. Under which facility can Banksborrow within SLR requirements?
MarginalStanding Facility
●Which one provides training in macroeconomicanalysis and policy and related subject as a part ofprogramme of the IMF institute?
Singaporeregional Training Institute (STI)
●The series of index number of wholesale pricesintroduced from April, 2000 had the year ____ asbase year.
1993-94
●Which system is operated under the jointresponsibility of the Central and the StateGovernments?
Public Distribution System
●Core Inflation is essentially ____ driven.
Demand
●Which type of planning is a feature of ‘MixedEconomy’?
Indicative Planning
●Which type of financing is for infrastructure projectswhich have long gestation period and helps toprevent any possible asset-liability mismatch?
Take-Out Financing
●Deposit Insurance and Credit GuaranteeCorporation (DICGC), National Housing Bank(NHB), National Bank for Agriculture and RuralDevelopment (NABARD) and Bharatiya ReserveBank Note Mudran Private Limited (BRBNMPL)are the wholly/partly owned subsidiaries of the
Reserve Bank of India
●Once a Budget has been presented in the Parliament,the government has to get all money bills relatedto the union budget passed within:
75 days
●Subsidiaries of foreign companies in India, Majorityforeign equity holding in Indian companies andCompanies exclusively financed by foreigncompanies constitute ____ in India.
ForeignDirect Investment
●What happens when there is a natural increase in thevalue of the property owned and when wepurchase a painting and there is a growth in itsvalue due to increase in its popularity?
CapitalGains arise
●Purchase of Government securities from the publicby the central bank and borrowing by theGovernment from the central bank lead to anincrease in the:
Money supply in the economy
●Despite having large reserves of coal, why does Indiaimport millions of tonnes of coal?
Most of thepower plants in India are coal based and they arenot able to get sufficient applies of coal fromwithin the country
●In India, Steel companies need large quantity of ____coal which has to be imported.
Coking coal
●Purchasing power parity at national level and Extentof budget deficit and GDP growth rate at nationallevel have been included in the:
Poverty Index
●The Multi-Dimensional Poverty Index developed byOxford Poverty and Human DevelopmentInitiative with UNDP support covers
Deprivation of education, health, assets andservices at household level
●Which Finance Commission of India recommendedDevolution of a specific share of central taxes tolocal bodies as grants?
13th FinanceCommission
●The Government of India is providing the benefit of’single window clearance’ and Establishing theTechnology Acquisition and Development Fund topromote the growth of:
Manufacturing sector inIndia
●In India, the food supply chain has been found tohave structural constraints. What is the fallout ofthis feature?
High Food Inflation
●Placing Annual Financial Statement before theParliament and Withdrawal of moneys fromConsolidated Fund of India only after passing theAppropriation Bill are methods of:
Parliamentary control over public finance in India
●What do Provisions of supplementary grants andvote-on-account and a periodic or at least a mid-year review of programme of the Governmentagainst macroeconomic forecasts and expenditureby a Parliamentary Budget Office, signify?
Parliamentary control over public finance in India
●India has experienced persistent and high foodinflation in the recent past. What could be thereasons?
As a consequence of increasingincomes, the consumption patterns of the peoplehave undergone a significant change.
“●A rapid increase in the rate of inflation is sometimesattribute to the ““base effect””. What is ““baseeffect””?”
It is the impact of the price levels ofprevious year on the calculation of inflation rate
●Which is a tax levied on value addition at each stageof transaction in production-distribution chain?
Value Added Tax
●A tax on the final consumption of goods or servicesand must ultimately be borne by the consumer
Value Added Tax
“●A ““closed economy”” is an economy is which:”
neitherexports nor imports take place
“●With what purpose is the Government of Indiapromoting the concept of ““Mega Food Parks””?”
To provide good infrast-ructure facilities for thefood processing industry.
●To increase the processing of perishable items andreduce wastage and to provide emerging and eco-friendly food processing technologies toentrepreneurs, the Government of India ispromoting:
Mega Food Parks
●All revenues received by the Union Government byway of taxes and other receipts for the conduct ofGovernment business are credited to the:
Consolidated Fund of India
●What is the term for the provision of financial serviceto people of low-income groups and includes boththe consumers and the self-employed:
Microfinance
●Promoting Self-Help Groups, Micro, Small andMedium Enterprises and Implementing the Rightto Education Act can aid in furthering theGovernment’s objective of:
Inclusive growth
●Why is the Government of India disinvesting itsequity in the Central Public Sector Enterprises(CPSEs)?
The Government no longer intends toretain the management control of the CPSEs
●Economic growth is usually coupled with:
Inflation
●The lowering of Bank Rate by the Reserve Bank ofIndia leads to:
More liquidity in the market
●What happens when the interest rate in the economyincreases?
lending decreases
●Demand curve of a firm under perfect competition is:
Perfectly Elastic
●The object of every producing firm is:
To maximiseprofit
●Who determines price under perfect competition?
Industry
●Marshall’s representative firm is a long-run averagefirm while optimum firm is a:
Minimum costfirm
●In perfect competition average revenue curve is:
Parallel to x-axis
●In the long-run, perfect competitive firm gets:
onlynormal profit
●What minimum price is acceptable by a firm in theshort-period?
Equal to AVC
●Selling cost is a must in:
Imperfect competition
●Which category of land is rent less land?
Marginalland
●Land is the only factor of production whose supply is:
Perfectly Inelastic
●The Example of derived demand is:
Demand forlabour
●Which of the following is an active factor ofproduction?
Labour
●Who developed the innovation theory of profit?
Schumpeter
“●”“An Enquiry into the Nature and Causes of Wealth ofNations”” is the book of economist:”
Adam Smith
“●”“Economics is the Science of Wealth”” who gave thisdefinition:”
Adam Smith
“●Economics is what economists do.”” It has beensupported by:”
Richard Jones, Comte andGunnar Myrdal
“●Human Welfare is the subject of Economics.”” Thisstatement is associated with the name of”
Marshall, Pigou and Penson
●Who has given scarcity definition of economics?
Robbins
●Characteristics of economic laws are:
Merestatements of economic tendencies, Less certainAND Hypothetical
●Which theory is generally included under microeconomics?
Price Theory
●Whose opinions have revolutionized the scope ofmacro economics?
J.M. Keynes
●Passive factor of production is:
Land and capital
●Under law of demand:
Price of commodity is anindependent variable Quantity demanded is adependent variable Reciprocal relationship isfound between price and quantity demanded
●For inferior commodities, income effect is:
Negative
●When total utility becomes maximum, then marginalutility will be:
Zero
●Utility means:
Power to satisfy a want
●Marginal utility is equal to average utility at that timewhen average utility is:
Maximum
●At point of satiety, marginal utility is:
Zero
●Total utility of a commodity is measured by
Valuein use
●According to Marshall, the basis of consumer surplusis:
Law of diminishing marginal utility
●Which commodity can be called as Giffen commodity
Inferior commodity
●The price of a commodity is determined where:
Demand = supply
In perfect competition, the demand for a commodity is:
Perfectly elastic
●Which condition is not found in perfect competition?
Product differentiation
●In which market, a firm cannot determine price?
Perfect competition
●Sea water, fresh air etc. are regarded in economics as:
Free goods
●If the price of tea falls, demand for coffee will:
fall
●At present the National commission on population isunder:
Ministry of Health
●Division of labour is a concept advocated by:
Smith
●When a leather industry discharges its waste in theriver causing water pollution the cost incurred onhealth hazards is called:
Social cost
●Demand for labour is a:
derived demand
●Employment in Agriculture comes under:
unorganized sector
●There is no selling cost under:
monopolisticcompetition
●Planning and control are so related that:
Both goon simultaneously in cycle
●What does National Income mean?
The total valueof all goods and services produced in the countryduring a period of one year
●Depreciation means:
loss of equipment over timedue to wear and tear
●Deficit financing leads to inflation in general, but itcan be checked if:
government expenditureleads to increase in the aggregate supply in ratioof aggregate demand
●When only aggregate demand is increased and all theexpenditure is denoted national debt paymentonly:
deficit financing can be checked
●If all the banks in an economy are nationalized andconverted into a monopoly bank, the totaldeposits:
will neither increase nor decrease
●When elasticity of demand and elasticity of supplyare equal, the burden of tax:
lies more on buyer
●If interest payment is deducted from the fiscal deficit,then the balance is:
Primary Deficit
●Which government income is included in revenuebudget?
Tax-revenue and Non-tax revenue
●Which is included in Capital budget?
Incomereceived from public borrowings
●Revealed Preference Theory was propounded by:
P.A. Samuelson
●Gross Domestic Product is defined as the value of all:
Final goods and services produced in aneconomy in a year
●An exceptional demand curve is one that moves:
upward to the right
●Production function explains the relationshipbetween:
Initial inputs and ultimate output
●In Economics the terms ‘Utility’ and ‘Usefulness’have:
Different meaning
●Nature of unemployment in agriculture in India is:
seasonal and disguised
“●The terms ““Micro Economics”” and ““MacroEconomics”” were coined by:”
Ragner Frisch
●The excess of price a person is to pay rather thanforego the consumption of the commodity iscalled:
consumer surplus
●A want becomes a demand only when it is backed bythe:
ability to purchase
●The ‘break-even’ point is where:
total revenueequals total cost
●Rate of interest is determined by:
liquiditypreference
●The purchase of shares and bonds of Indiancompanies by Foreign Institutional Investors iscalled
Foreign Indirect Investment
●An individual’s actual standard of living can beassessed by:
per capita income
●When there is an official change in the exchange rateof domestic currency, then it is called:
revaluation
●Inflation redistributes income and wealth in favourof:
rich
●Excise Duty is a tax levied on:
Commodities thatare produced and consumed within the country
●Who said ‘Supply creates its own demand’?
J.B.Say
●Effective demand depends on:
Supply price
●The degree of monopoly power is to be measured interms of the firm’s:
supernormal profit
●Under perfect competition, the industry does nothave any excess capacity because each firmproduces at the minimum point on its:
Long runaverage cost curve
●A teacher teaching students in his college, in acoaching institute and teaching students underSarva Shiksha Abhiyan Scheme constitute:
economic activity
●Elasticity of demand measures the responsiveness ofthe quantity demanded of a good to a:
change inthe price of the good
●Consumption function expresses the relationshipbetween consumption and:
income
●State ownership of means of production ischaracteristic feature of:
socialist economy
●The main objective of a firm is to maximise:
profit
●’Gresham’s law’ in economics relates to:
Circulation of currency
●In a system of free enterprise, consumers decide whatgoods and services shall be produced and in whatquantities. It is known as:
Consumer’ssovereignty
●According to Karl Marx, the change in economicsystem results in inevitable changes in:
theentire system
●A camera in the hands of a professionalphotographer is a
Capital good
