Q1. Which of the following is not a necessary condition for the development of India?
(a) Capital Accumulation
(b) Resource discovery
(c) Population growth
(d) Technological development
Q2. The Indian economy can be most appropriately described as a:
(a) Capitalist economy
(b) Socialist economy
(c) Traditional economy
(d) Mixed economy
Q3. Under which Act/Policy was the BIFR established?
(a) Industrial Policy of 1980
(b) Companies Act
(c) Sick Industrial Companies Act
(d) MRTP Act
Q4. Which authority recommends the principles governing the grants-in-aid of the revenue of the states out of consolidated Fund of India?
(a) Public Accounts Committee
(b) Union Ministry of Finance
(c) Finance Commission
(d) Inter-State Council
Q5. RBI does not transact the business of which of the following state governments?
(a) Nagaland
(b) Assam
(c) J & K
(d) Rajasthan
Q6. Who has provided the Savings Bank facility to the largest number of account-holders in India?
(a) State Bank of India
(b) Punjab National Bank
(c) Allahabad Bank
(d) Post Office
Q7. What is the animal on the insignia of the RBI?
(a) Lion
(b) Tiger
(c) Panther
(d) Elephant
Q8. The main source of revenue for a State Government in India is
(a) Value added tax
(b) Excise duty
(c) Income tax
(d) Property tax
Q9. To achieve high rates of growth of national output, the economy has to
(a) reduce the rate of growth of population
(b) borrow foreign capital
(c) step up the rate of savings
(d) increase the rate of investment and reduce the capital output ratio
Q10. How does the consumer benefit with VAT?
(a) It removes tax on tax and thus reduces prise-rise
(b) Reduces the cost of production
(c) With the abolition of the sales tax
(d) Due to the exemption of small business from the tax within certain limits prescribed by the State
Q11. Which of the following is an open market operation of the RBI?
(a) Buying and selling of shares
(b) Trading in securities
(c) Transaction in gold
(d) Lending to commercial banks
Q12. Which of the following is not an objective of the monetary policy of the RBI?
(a) Boost economic development
(b) Direct economic development
(c) Control inflationary pressure
(d) Ensure social justice
Q13. Which Bank was merged with the Punjab National Bank in February, 2003?
(a) Catholic Syrian Bank Ltd.
(b) Nainital Bank Ltd.
(c) Nedungadi Bank Ltd.
(d) Madurai social justice
Q14. Reserve Bank of India keeps some securities against notes. These securities are always less in comparison to
(a) Gold and foreign bonds
(b) Gold
(c) Government bonds
(d) Gold, foreign bonds and Government
Q15. Merchant Banking is an institution which provides finances to:
(a) domestic wholesale trade
(b) international trade among countries
(c) domestic retail trade among
(d) international and agencies
