Economics Questions & Answers (Compiled from UPSC, SSC ,PSC ,IBPS previous question papers)

With reference to the guilds (Shreni) of ancient India that played a very important role in the country's

economy, which of the following statements is/are correct?

• 1. Every guild was registered with the central authority of the State and the king was the chief administrative authority on them.
• 2. The wages, rules of work, standards and prices were fixed by the guild.
• 3. The guild had judicial powers over its own members.

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Consider the following statements:

The price of any currency in 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

Which of the statements given above are correct?

Which of the following would include Foreign Direct Investment in India?

• 1. Subsidiaries of companies in India foreign companies in India
• 2. Majority foreign equity holding Indian companies
• 3. Companies exclusively financed by foreign companies
• 4. Portfolio investment

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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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Under which of the following circumstances may 'capital gains' arise?

• 1. When there is an increase in the sales of a product.
• 2. When there is a natural increase in the value of the property owned
• 3. When you purchase a painting and there is a growth in its value due to increase in its popularity

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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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In India in the overall Index of Industrial Production, the indices of Eight core Industries have a

combined weight of 37.90%. Which of the following are among those Eight Industries?

• 1. Cement
• 2. Fertilizers
• 3. Natural gas
• 4. Refinery products
• 5. Textiles

Select the correct answer using the codes given below:

Consider the following specific stages of demographic transition associated with economic

development:

• 1. Low birthrate with low death rate
• 2. High birthrate with high death rate
• 3. High birthrate with low death rate

Select the correct order of the above stages using the codes given below: