Quiz-summary
0 of 5 questions completed
Questions:
- 1
- 2
- 3
- 4
- 5
Information
Dear students,
1. In the comments section, share your score and also let everyone know the logic you’ve used to mark certain answers. This will trigger intelligent discussions benefitting everyone.
2. Completing the test should be your top priority. Focus on accuracy rather than simply attempting more questions. Give enough thought to each question, we have increased the time limit so you can do this.
3. At the end of the test, click on ‘View Questions’ button to check the solutions.
*You can attempt the test multiple times for your own practice but only your first attempt will be counted for rankings.
You have already completed the quiz before. Hence you can not start it again.
Quiz is loading...
You must sign in or sign up to start the quiz.
You have to finish following quiz, to start this quiz:
Results
0 of 5 questions answered correctly.
Time has elapsed
You have reached 0 of 0 points (0).
Average score |
|
Your score |
|
Categories
- Not categorized 0%
Pos. | Name | Entered on | Points | Result |
---|---|---|---|---|
Table is loading | ||||
No data available | ||||
- 1
- 2
- 3
- 4
- 5
- Answered
- Review
-
Question 1 of 5
1. Question
1 pointsInternationalization of Rupee would mean
1. Paying in rupees both for imports and exports
2. Repaying in rupees for the bonds issued globally
3. Accumulating Indian rupee as a reserve currency all over the world by the central banks
Which of the above statements is/are correct?Correct
Internationalisation of Rupee means the following:
1. When Indians import, they should be able to pay in rupees
2. When they export, they should accept payments in rupees
3. when they issue bonds globally, they should be able to repay in rupee regardless of the fact that they borrowed in foreign currency
4. All over the world individuals, companies and central banks should accumulate Indian rupee as a reserve currency because of its global demand.Incorrect
Internationalisation of Rupee means the following:
1. When Indians import, they should be able to pay in rupees
2. When they export, they should accept payments in rupees
3. when they issue bonds globally, they should be able to repay in rupee regardless of the fact that they borrowed in foreign currency
4. All over the world individuals, companies and central banks should accumulate Indian rupee as a reserve currency because of its global demand. -
Question 2 of 5
2. Question
1 pointsWhich of the following is not an example of a trade barrier?
Correct
a. Option A: An import quota is a type of protectionist trade restriction that sets a physical limit on the quantity of a good that can be imported into a country in a given period of time.
Option B: FDI is related to the capital sector and overall investment policy of the nation. FDI is not considered a trade component.
Option C: Such standards can effectively clog imports from competitor nations, for e.g. China in case of India.
Option D: A barrier to trade is a government-imposed restraint on the flow of international goods or services. The most common barrier to trade is a tariff—a tax on imports. Tariffs raise the price of imported goods relative to domestic goods (goods produced at home).Incorrect
a. Option A: An import quota is a type of protectionist trade restriction that sets a physical limit on the quantity of a good that can be imported into a country in a given period of time.
Option B: FDI is related to the capital sector and overall investment policy of the nation. FDI is not considered a trade component.
Option C: Such standards can effectively clog imports from competitor nations, for e.g. China in case of India.
Option D: A barrier to trade is a government-imposed restraint on the flow of international goods or services. The most common barrier to trade is a tariff—a tax on imports. Tariffs raise the price of imported goods relative to domestic goods (goods produced at home). -
Question 3 of 5
3. Question
1 pointsA negative trade balance with a large current account deficit (CAD) can have which of the following consequences for India?
1. High inflation in the economy
2. Depreciation of the domestic currency
3. Pulling out of FII from the economy
Select the correct answer codeCorrect
High CAD results in currency depreciation directly. Currency depreciation can directly feed into inflation. Thus, a high CAD fuels directly into the domestic economy. Along with fiscal deficit, it leads to high inflation in the economy.
An overall consequence is that FII and other investors will not find the domestic market worthy enough to invest and pull off from it.Incorrect
High CAD results in currency depreciation directly. Currency depreciation can directly feed into inflation. Thus, a high CAD fuels directly into the domestic economy. Along with fiscal deficit, it leads to high inflation in the economy.
An overall consequence is that FII and other investors will not find the domestic market worthy enough to invest and pull off from it. -
Question 4 of 5
4. Question
1 pointsThe Capital account in the external sector consists of
1. External assistance
2. External Commercial Borrowings (ECBs)
3. Short-term debt
4. NRI deposit
5. Invisibles
6. Portfolio investment
Select the correct answer codeCorrect
Option d is correct.
Incorrect
Option d is correct.
-
Question 5 of 5
5. Question
1 pointsWhich of the following can aid furthering the government’s objective of Financial Inclusion?
1. Financial advice to the disadvantaged groups
2. Affordable payment and remittance services
3. Disbursal of interest free loans to economically weaker section
4. Promoting savings by opening zero balance bank account.
Select the correct answer codeCorrect
Financial inclusion means that individuals and businesses have access to useful and affordable financial products and services that meet their needs – transactions, payments, savings, credit and insurance – delivered in a responsible and sustainable way.
Incorrect
Financial inclusion means that individuals and businesses have access to useful and affordable financial products and services that meet their needs – transactions, payments, savings, credit and insurance – delivered in a responsible and sustainable way.
Leaderboard: 26th Jul 2023 | Prelims Daily with Previous Year Questions
Pos. | Name | Entered on | Points | Result |
---|---|---|---|---|
Table is loading | ||||
No data available | ||||
UPSC 2024 countdown has begun! Get your personal guidance plan now! (Click here)