11. All revenues received by the Union Government by way of taxes and other receipts for 'the conduct of Government business are credited to the
(a)  Contingency Fund of India
(b)  Public Account
(c)  Consolidated Fund of India
(d)  Deposits and Advances Fund


12. Microfinance is the provision of financial services to people of low-income groups. This includes both the consumers and the self-employed. The service/services rendered under micro-finance is/are:
1.   Credit facilities
2.   Savings facilities
3.   Insurance facilities
4.   Fund Transfer facilities

Select the correct answer using the codes given below the lists:
(a)  1 only
(b)  1 and 4 only
(c)  2 and 3 only
(d)  1, 2, 3 and 4



13. Why is the offering of "teaser loans" by commercial banks a cause of economic concern ?
1. The teaser loans are considered to be an aspect of sub-prime lending and banks may be exposed to the risk of defaulters in future.
2. In India, the teaser loans are mostly given to inexperienced entrepreneurs to set up manufacturing or export units.

Which of the statements given above is/are correct ?
(a)  1 only
(b)  2 only
(c)  Both 1 and 2
(d)  Neither 1 nor 2



14. In the context of Indian economy, consider the following statements :
1. The growth rate of GDP has steadily increased in the last five years.
2. The growth rate in per capital income has steadily increased in the last five years.

Which of the statements given above is/are correct ?
(a)  1 only
(b)  2 only
(c)  Both 1 and 2
(d)  Neither 1 nor 2


15. In India, which of the following have the highest share in the disbursement of credit to agriculture and allied activities ?
(a)  Commercial Banks
(b)  Cooperative Banks
(c)  Regional Rural Banks
(d)  Microfinance Institutions



16. Economic growth is usually coupled with
(a)  Deflation
(b)  Inflation
(c)  Stagflation
(d)  Hyperinflation


17. The lowering of Bank Rate by the Reserve Bank of India leads to
(a)  More liquidity in the market
(b)  Less liquidity in the market
(c)  No change in the liquidity in the market
(d)  Mobilization of more deposits by commercial banks



18. Karl Marx explained the process of class struggle with the help of which one of the following theories ?
(a)  Empirical liberalism
(b)  Existentialism
(c)  Darwin's theory of evolution
(d)  Dialectical materialism



19. Both Foreign Direct Investment (FDI) and Foreign Institutional Investor (FII) are related to investment in a country. Which one of the following statements best represents an important difference between the two ?
(a)  FII helps bring better management skills and technology, while FDI only brings in capital
(b)  FII helps in increasing capital availability in general, while FDI only targets specific sectors
(c)  FDI flows only into the secondary market, while FII targets primary market
(d)  FII is considered to be more stable than FDI



20. India has experienced persistent and high food inflation in the recent past. What could be the reasons ?
1. Due to a gradual switch over to the cultivation of commercial crops, the area under the cultivation of food grains has steadily decreased in the last five years by about 30%.
2. As a consequence of increasing incomes, the consumption patterns of the people have undergone a significant change.
3. The food supply chain has structural constraints.

Which of the statements given above are correct ?
(a)  1 and 2 only
(b)  2 and 3 only
(c)  1 and 3 only
(d)  1,2 and 3


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