1. In the case of Agricultural goods if the govt. fixes the price above the market-clearing price together

with banning exports and buys up surpluses in production, which one of the following will characterize

the market outcome?

a)Consumers pay more for their food while producers get higher revenues.

b)Consumers get cheaper foods while producers get higher revenues.

c)Consumers pay more for foods while producers get lower revenues.

d)consumers gain but whether producers gain it cannot be said.


2.In the context of Balance of payments, ‘portfolio investments’ relates to:

a)Takeover of foreign companies

b)purchase of shares in foreign countries

c)purchase of real estate in foreign countries.

d)Private remittances to foreign countries.


3.’Williamson trade off Model ‘ is related to which of the following?

a)Merger of companies

b)takeover of companies

c)balance sheet making of an MNC

d)All of these

  1. Consider the following statements regarding ‘’ MUDRA SCHEME” which was recently announced :

1) It was set up through statutory enactment

2) MUDRA Bank was set up under the scheme only for SC/ST’s

Which of the following statements are true?

  1. a) only 1 b) only 2               c) Both                  d) None


  1. Section 499 and 500 of the IPC (Indian Penal Code) which you keep reading in news often are related to
  2. a) Deformation b) Suicide c) Crimes committed by juvenile               d) Crimes committed by   women
  3. which of the following statement regarding National Green Tribunal   are true?
  4. a) It is a statutory body
  5. b) The tribunal is not bound by the procedure laid down under the code of civil procedure
  6. c) The Chairman of the tribunal is required to be a survey or retired Chief Justice of a High Court or a   Judge of Supreme Court of India.

Which of the above statements are true?

  1. a) only 1 and 2     b) only 2 and 3     c) only 1 and 3     d) All
  2. Select the incorrect statement/statements about the ‘SENSEX’ Using the code:
  3. It is the representative share index of the Indian stock market.
  4. Its rise means an overall rise in prices of shares of a group of companies registered with the Bombay Stock Exchange
  5. a) only 1 b) 1 and 2            c) only 2               d) None of these
  6. An inflation slightly higher than the upper comfortable level is considered good in a developing economy because
  7. a) It encourages investment and saving both.
  8. b) It encourages exports and discourages imports
  9. c) It increases tax collection of Government
  10. d) It boosts investment and growth
  11. Select the correct statement about the ‘Bank Rate’:
  12. a) A rate regulated by the RBI, which functions as the rate of interest on long –term loans forwarded by it to its customers.
  13. b) Charged by banks on loans and advances to the RBI or the Government of India on its market borrowings.

c)The rate of interest, which applies on the FIIs and the DIIs if they procure loans from the RBI.

  1. d) The rate functioning as the base rate for loan forwarding by the Scheduled Commercial Banks ( SCBs) in India regulated under the Banking Regulation Act, 1949.
  2. Select the correct code related to the ‘development ‘ and ‘ non- development ‘expenditures in India from the given set of choices:
  3. Plan expenditure is the leading development expenditure of the government in India.
  4. Maintenance expenses of the assets created through plan expenditure in the previous years are also development expenditures.
  5. Planning Commission while dealing with the plan expenditures does not need to be responsible to the FRBM Act.


  1. a) only 1 b) 1 and 2 c) 2 and 3                             d) 1,2 and 3
  2. Depreciation means

a)some fixed assets losing price with the passage of time

  1. b) loss of value by the movable properties over the time of their use
  2. c) loss in value of the equipments of a plant over time due to their use
  3. d) gaining of value by a domestic currency in its foreign exchange market
  4. Deficit financing leads inflation in general, but it can be checked if
  5. a) government expenditure leads to increase in the aggregate supply in ratio of the aggregate demand
  6. b) only aggregate demand is increased
  7. c) all the expenditure is used for the national debt payment only
  8. d) fresh currencies are printed by the government to fulfill its deficit financing needs
  9. If RBI cuts down   the Cash Reserve Ratio it will have the following impact on the economy,
  10. Banks will have higher leverage to liquidity.
  11. Economy may see increased investment .
  12. Supply of currency in the economy may broaden
  13. Select the statement which defines the term ‘Insurance penetration’ correctly:

a)the number of insured per one hundred population in an economy

  1. b) insured people per one thousand of the population of an economy
  2. c) number of alive and insured per hundred population in an economy

d)none of the above

  1. Which of the following statements are true regarding project “Mousam” are true?
  2. a) It is a union ministry of cultures project with Archaeological Survey of India as its nodal   Agency.
  3. b) It is a Project under which the Govt. of India has proposed to establish cross cultural linkages and to revive historic mari time cultural and economic ties with 39 Indian ocean Countries
  4. c) It was launched in the 30th session of world heritage committee meeting which was held at Doha, qatar   2014
  5. a) only 1 and 3 b) only 2 and 3                   c) only 1 and 2                   d) all

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