General Knowledge-Economics Quiz-Part 2

Economics Quiz-Part 2

1. Fiscal deficit in the Union Budget means:

a. The sum of budgetary deficit and net increase in internal & external borrowings.

b. The difference between current expenditure and current revenue

c. The sum of monetized deficit and budgetary deficit

d. Net increase in Government’s borrowing from the RBI.

Answer: a

2. The major challenge before policy makers in India is:

1. Reduce population pressure

2. Promotion adult literacy

3. Make the growth non inclusive

4. Infrastructure development

a.1, 2 & 4 only

b.1, 3, & 4 only

c.2, 3 & 4 only

d.1, 2, 3 &4

Answer: a

3. Which of the following is an Indirect Tax?

a. Capital Gains Tax

b. Fringe Benefit Tax

c. Taxes on Lotteries, Betting, Gambling

d. Minimum Alternate Tax

Answer: c

4. Which of the following is Tax?

a. Entertainment Tax

b. Luxury Tax

c. Capital Gains Tax

d. Entry Tax

Answer: c

5. Consider the following statements:

1. Infant mortality rate takes into account the death of infants within a month after birth

2. Infant mortality rate is the number of death that occur in the first year of life for 100 live births.

Which of the statements given above is/are correct?

a. 1 only

b. 2 only

c. Both 1 & 2

d. Neither 1 nor 2

Answer: d

6. In the context of independent India’s economy, Which one of the following was the earliest event to take place?

a. Nationalisation of Insurance Companies

b. Nationalisation of State Bank of India

c. Enactment of Banking Regulation Act

d. Introduction of First Five Year Plan

Answer: c

7. Consider the following

1. Fringe Benefit Tax

2. Interest Tax

3. Banking Cash Withdrawal Tax

Which of the statements given above is/are correct?

a. 1 only

b.1 & 3 only

c.2 & 3 only

d.1, 2 & 3

Answer: d

8. The proposed All-India Goods and Services Tax (GST) was recommended by

a.Chelliah Committee on Tax Reforms

b.Kelkar Task Force on Direct and Indirect Taxes

c.Kelkar Task force on Implementation of FRBM Act

d.Empowered Committee on VAT headed by Asim Das Gupta

Answer: c

9. Which of the following is a tax on inter-state sale of goods?

a. Central Sale Tax

b. Octroi

c. Entry Tax

d. Purchase Tax

Answer: a

10. Consider the following statements:

Introduction of GST will imply that:

1. State will also enjoy the power to tax services

2. Centre will also enjoy the power to tax sale of goods

3. States will also enjoy the power to tax imports

4. Monetised deficit

Which of the statements given above is/are correct?

a.1 only

b.1 & 2 only

c.1, 2 & 3

d.2 & 3 only

Answer: c

General Knowledge-Economics Quiz-Part 1

Economics Quiz-Part 1

1. High Fiscal Deficit leads to all but one of the following:

1. Inflation
2. ’Crowding out’ of funds for private sector investment
3. Fall of interest rates
4. Adverse impact on Balance of Payments

Answer: c

2. Which of the following deficits lead to direct increase in money supply?

1. Primary deficit
2. Revenue deficit
3. Fiscal deficit
4. Monetised deficit

Answer: d

3.’Dear Money Policy’ implies:

1. Increase in CRR
2. Increase in SLR
3. Increase in REPO and Reverse REPO rates
4. Increase in Bank Rate

Select the correct answer using the code given below:

Code:

1. 1 only
2. 1 & 2 only
3. 3 & 4 only
4. 1,2,3 & 4

Answer: c

4. Banking sector Reforms since 1991 have led to all but one of the following:

1. Lowering of  CRR
2. Lowering of SLR
3. Lowering of CAR
4. Lowering of NPAs

Answer: c

5. Pick the odd one out:

1. Treasury bills
2. Certificate of deposit
3. Commercial paper
4. Dated Government Securities

Answer: d

6. Human Development Report is brought out by

1. World bank
2. IMF
3. UNDP
4. UNICEF

Answer: c

7. Human Development Index comprises of

1. Longevity
2. Infant Mortality
3. Literacy
4. Standard of Living

Select the correct answer using the code given below:

Code:

1. 1,2,3 & 4
2. 1,2 & 3 only
3. 1,3 & 4 only
4. 2,3 & 4 only

Answer: c

8. Human Poverty Index comprises of

1. Longevity
2. Combined Primary, Secondary, Tertiary Enrolment rates
3. Adult Literacy
4. Standard of Living

Select the correct answer using the code given below:

Code:

1. 1,2,3 & 4
2. 1,2 & 4 only
3. 1,3 & 4 only
4. 1 & 4 only

Answer: c

9. Standard of Living in Human Development Index is measured on the basis of

1. Access to health
2. Access to safe drinking water
3. Access to nutrition

Select the correct answer using the code given below:

Code:

1. 1,2 & 3
2. 1 & 2 only
3. 1 & 3 only
4. 2 & 3 only

Answer: d

10. A finance minister generally impose higher tax on commodities which have

1. Elastic demand
2. Inelastic demand
3. Neither elastic nor inelastic demand
4. Nothing can be said

Answer: b

11. The RBI should always possess the minimum gold stocks worth how many crores of rupees for issuing currency?

1. 85 crores
2. 115 crores
3. 200 crores
4. 400 crores

Answer: b