Indian Economy MCQs

Indian Economy Multiple Choice Questions (MCQs) for SSC, State and all One Day Examinations of India. Objective Questions on Indian Economy for competitive examinations.

1. Interest rate risk falls under which risk category?
[A] Credit risk
[B] Liquidity risk
[C] Market risk
[D] Operational risk

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2. Which among the following is the highest credit risk rating that can be awarded to any company by CRISIL?
[A] AAA
[B] AAA+
[C] AA+
[D] A++

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3. If the demand and supply of a commodity increase by an equal absolute amount, what will be the effect on market price?
[A] Increase
[B] Decrease
[C] Remain Stable
[D] First decrease then increase

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4. On which of the following Date a Bank publishes its balance sheet ?
[A] March 31
[B] April 1
[C] December 31
[D] January 1

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5. Which RBI action is a qualitative credit control instrument?
[A] RBI increases Reverse Repo rate in quarterly policy review
[B] RBI decreases the CRR rate in quarterly policy review
[C] RBI decreases the Bank rate in quarterly policy review
[D] RBI announces selective credit control in quarterly policy review

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6. What is a key financial power of the World Bank?
[A] The right to set pegged currency parities
[B] The right to issue bonds for development loans
[C] The right to purchase gold below market rate
[D] All of the above

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7. The government has responsibility to ensure availability of which among the following to all consumers regardless of their ability to pay price?
[A] Giffen Goods
[B] Supplementary Goods
[C] Merit Goods
[D] Complementary Goods

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8. Which is not an inflation control measure by the Government or RBI?
[A] Repo Rate Adjustment
[B] Open Market Operations
[C] Cash Reserve Ratio (CRR)
[D] Financial Inclusion

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9. Which group is classified as a ‘shadow banking system’?
[A] Scheduled Commercial Banks, NBFCs, Hedge Funds
[B] NBFCs, Investment Banks, Hedge Funds
[C] Scheduled Commercial Banks, Private Banks, NBFCs
[D] Scheduled Commercial Banks, Cooperative Banks, Investment Banks

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10. In finance, what do Fixed to Floating and Floating to Floating refer to?
[A] Interest rates
[B] Swaps
[C] Foreign exchange rates
[D] Derivative contracts

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