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 Indian Economy Questions

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Q:

If Money supply growth is faster than real GDP growth, it results in _____.

A) Inflation B) deflation
C) budget surplus D) budget deficit
 
Answer & Explanation Answer: A) Inflation

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Q:

Which of the following best defines free trade?

A) Imports are discouraged B) There are no restrictions on exports and imports  
C) There are no duties levied on export   D) Imported goods are made duty free  
 
Answer & Explanation Answer: B) There are no restrictions on exports and imports  

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Q:

Who decides the Minimum Support Price (MSP) for agricultural crops in India?

A) Ministry of Agriculture   B) NABARD
C) Commission on Agriculture Cost and Price (CACP) D) Ministry of Commerce
 
Answer & Explanation Answer: C) Commission on Agriculture Cost and Price (CACP)

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Q:

In October 2017, SEBI directed the stock exchanges to impose how much fine/penalty on those companies which do not comply with the minimum public shareholding norms?

A) Rs 5000 per day B) Rs 12,000 per day
C) Rs 15,000 per day D) Rs 20,000 per day
 
Answer & Explanation Answer: A) Rs 5000 per day

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Q:

Recession is ___________.

A) reduction in production and employment for want of sufficient demand for goods B) rise in the cost of production, especially because of wage increase
C) increase in money supply without a matching increase in production D) No option is correct
 
Answer & Explanation Answer: A) reduction in production and employment for want of sufficient demand for goods

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Q:

In the last one decade, which one among the following sectors has attracted the highest foreign direct investment inflows into India?

A) Food processing B) Petro-chemical
C) Chemicals other than fertilizers D) Telecommunications
 
Answer & Explanation Answer: D) Telecommunications

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Q:

The Central Government has launched which of the following app to verify the GST (Goods and Services Tax) Rates under the GST regime?

A) GST Rate Searcher B) GST Rate Explorer
C) GST Rate Finder D) GST Rate Google
 
Answer & Explanation Answer: C) GST Rate Finder

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Q:

Globalization of the economy has

A) decreased regional specialization of production B) decreased investment in less developed countries
C) heightened economic differences among places D) leveled economic differences between places
 
Answer & Explanation Answer: C) heightened economic differences among places

Explanation:

Economic globalization is the increasing economic integration and interdependence of national, regional and local economies across the world through an intensification of cross-border movement of goods, services, technologies and capital.

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