EASY
UPSC CAPF AC Paper - I
IMPORTANT
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The average fixed cost curve will always be

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Important Questions on Indian Economy

EASY
UPSC CAPF AC Paper - I
IMPORTANT

The Reserve Bank of India (RBI) acts as a bankers' bank. This would imply which of the following?

1. Other banks retain their deposits with the RBI.

2. The RBI lends funds to the commercial banks in times of need.

3. The RBI advises the commercial banks on monetary matters.

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EASY
UPSC CAPF AC Paper - I
IMPORTANT

Which of the following measures would result in an increase in the money supply in the economy?

1. Purchase of government securities from the public by the Central Bank.

2. Deposit of currency in commercial banks by the public.

3. Borrowing by the government from the Central Bank.

4. Sale of government securities to the public by the Central Bank.

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EASY
UPSC CAPF AC Paper - I
IMPORTANT
Consider the following sources
1. Net bank credit to the government.
2. Bank credit to the commercial sector.
3. Net foreign exchange assets of the banking systems.
Which of the sources given above is/are the major sources of the 'Broad Money' in the India economy?
EASY
UPSC CAPF AC Paper - I
IMPORTANT
Which one of the following laws stated that bad money drives out good if their exchange rate is set by law?
MEDIUM
UPSC CAPF AC Paper - I
IMPORTANT
Consider the following statements with regard to Statutory Liquidity Ratio (SLR):
1. To meet SLR, Commercial banks can use cash only.
2. SLR is maintained by the banks with themselves.
3. SLR restricts the banks leverage in pumping more money into the economy.
Which of the statements given above is/are correct?
MEDIUM
UPSC CAPF AC Paper - I
IMPORTANT
The rise in the price of a commodity means_____.
MEDIUM
UPSC CAPF AC Paper - I
IMPORTANT

Consider the following statements :

The price of any currency in the international market is decided by the

1. World Bank.

2. Demand for goods/services provided by the country concerned.

3. Stability of the government of the concerned country.

4. Economic potential of the country in question of these statements.

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EASY
UPSC CAPF AC Paper - I
IMPORTANT
Which one of the following is emerged as a major instrument of Monetary Policy in the Indian economy?