Daily GS Foundation MCQs - SthaapnaEconomy Previous Year QuestionsIAS Previous Year QuestionsSthaapana – January 2019Sthaapana – January 2019 – Week 5

IAS Previous Year ECONOMY Questions – Lecture – 11 – STHAAPNA Series

Sthapna - Static MCQs for GS - Subject - Daypyq11

Hey, aspiring Officer!

The most probable questions are waiting for your response. Attempt the quiz and get the best questions and their explanation.

There are 5 questions.
There is no time limit.
2 marks are awarded for each right answer.
There is no negative marking in the Daily Quiz.
You can check the answers and explanations by clicking VIEW QUESTIONS after completing the Quiz.

Wish you good luck!

Q.1) With reference to Indian economy, consider the following : (2015)

1.Bank rate

2.Open market operations

3.Public debt

4.Public revenue

Which of the above is/are component/ components of Monetary Policy?

a)1 only

b)2, 3 and 4

c)1 and 2

d)1, 3 and 4


Q.2) When the Reserve Bank of India announces an increase of the Cash Reserve Rate, what does it mean? (2010)

a)The commercial banks will have less money to lend

b)The Reserve Bank of India will have less money to lend

c)The Union Government will have less money to lend

d)The commercial banks will have more money to lend


Q.3)  The banks are required to maintain a certain ratio between their cash in hand and total assets. This is called: (1998)

a)SBR (Statutory Bank Ratio)

b)SLR (Statutory Liquid Ratio)

c)CBR (Central Liquid Reserve)

d)CLR (Central Liquid Reserve)


Q.4) In the context of Indian economy, which of the following is/are the purpose/purposes of ‘Statutory Reserve Requirements’? (2011)

1.To enable the Central Bank to  control  the  amount of advances the banks can create

2.To make the people’s deposits with banks safe and liquid

3.To  prevent  the  commercial banks from making excessive profits

4.To force  the banks to  have sufficient vault cash to meet their day-to-day requirements

Select the correct answer using the code given below.

a)1 only

b)1 and 2 only

c)2 and 3 only

d)1,2,3 and 4


Q.5) When the Reserve Bank of India reduces the Statutory Liquidity Ratio by 50 basis points, which of the following is likely to happen? (2015)

a)India’s GDP growth rate increases drastically

b)Foreign Institutional Investors may bring more capital into our country

c)Scheduled Commercial Banks may cut their lending rates

d)It may drastically reduce the liquidity to the banking system 1 and 2 only

For solutions and detailed explanation watch the video and download the pdf


Related Articles