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Question 1 of 5
1. Question
1 pointsConsider the following statements about Intertropical Convergence Zone (ITCZ).
1. ITCZ is also known as doldrums.
2. ITCZ is an area encircling the Earth near the Equator, where the northeast and southeast trade winds converge.
3. ITCZ has no effect on tropical cyclone formation.
Which of the above statements is/are correct?Correct
The Intertropical Convergence Zone (ITCZ), known by sailors as the doldrums, is the area encircling Earth near the Equator, where the northeast and southeast trade winds converge.
The Inter Tropical Convergence Zone (ITCZ) is a low-pressure zone located at the equator, it is a zone where air tends to ascend. In July, the ITCZ is located around 20°N-25°N latitudes (over the Gangetic plain), sometimes called the monsoon trough. This monsoon trough encourages the development of thermal low over north and northwest India.
Due to the shift of ITCZ, the trade winds of the southern hemisphere cross the equator between 40° and 60°E longitudes and start blowing from southwest to northeast due to the Coriolis force. It becomes southwest monsoon.
In winter, the ITCZ moves southward, and so the reversal of winds from northeast to south and southwest, takes place. They are called northeast monsoons.Incorrect
The Intertropical Convergence Zone (ITCZ), known by sailors as the doldrums, is the area encircling Earth near the Equator, where the northeast and southeast trade winds converge.
The Inter Tropical Convergence Zone (ITCZ) is a low-pressure zone located at the equator, it is a zone where air tends to ascend. In July, the ITCZ is located around 20°N-25°N latitudes (over the Gangetic plain), sometimes called the monsoon trough. This monsoon trough encourages the development of thermal low over north and northwest India.
Due to the shift of ITCZ, the trade winds of the southern hemisphere cross the equator between 40° and 60°E longitudes and start blowing from southwest to northeast due to the Coriolis force. It becomes southwest monsoon.
In winter, the ITCZ moves southward, and so the reversal of winds from northeast to south and southwest, takes place. They are called northeast monsoons. -
Question 2 of 5
2. Question
1 pointsWhich of the following is not part of the extensive commercial grain cultivation regions of the world?
Correct
Extensive Commercial grain cultivation type of agriculture is best developed in Eurasian steppes, the Canadian and American Prairies, the Pampas of Argentina, the Velds of South Africa, the Australian Downs and the Canterbury Plains of New Zealand.
Incorrect
Extensive Commercial grain cultivation type of agriculture is best developed in Eurasian steppes, the Canadian and American Prairies, the Pampas of Argentina, the Velds of South Africa, the Australian Downs and the Canterbury Plains of New Zealand.
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Question 3 of 5
3. Question
1 pointsConsider the following statements regarding foot loose industries.
1. Foot loose industries can be located in a wide variety of places.
2. They largely depend on component parts which can be obtained anywhere.
3. These industries are generally non-polluting industries.
Which of the above statements is/are correct?Correct
• Foot loose industries can be located in a wide variety of places. They are not dependent on any specific raw material, weight losing or otherwise. They largely depend on component parts which can be obtained anywhere.
• They produce in small quantity and also employ a small labour force. These are generally not polluting industries. The important factor in their location is accessibility by road network.Incorrect
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Question 4 of 5
4. Question
1 pointsConsider the following statements regarding Sovereign Bonds.
1. A sovereign bond is a specific debt instrument issued by the government in both foreign and domestic currency.
2. The Yield of the sovereign bond is the interest rate that the government pays on issuing bonds.
3. The central banks also control the supply of money within the economy by the use of these bonds.
Which of the above statements is/are correct?Correct
A sovereign bond is a specific debt instrument issued by the government. They can be denominated in both foreign and domestic currency. Just like other bonds, these also promise to pay the buyer a certain amount of interest for a stipulated number of years and repay the face value on maturity. They also have a rating associated with them which essentially speaks of their credit worthiness.
The Yield of the sovereign bond is the interest rate that the government pays on issuing bonds. Countries with volatile economies and high inflation rates have to issue higher interest returns on their bonds compared to more stable ones.
The Yield of the bonds are dependent on primarily 3 factors:
• Creditworthiness – The issuing countries’ perceived ability to repay their debts. This can be obtained from rating agencies.
• Country Risk – External/Internal factors like unrest and wars tend to jeopardize a country’s ability to pay off their debts.
• Exchange Rates- In cases where bonds are issued in foreign currency, fluctuations in exchange rate may lead to increased pay out pressure on the issuing government.
The central banks also control the supply of money within the economy by the use of these bonds. When the government is in expansionist mode, the central bank will back debt in exchange for cash to raise capital for the expenditure. In case it is in the contracting mode, the banks hope to slow growth by selling more securities to take out liquidity from the system.Incorrect
A sovereign bond is a specific debt instrument issued by the government. They can be denominated in both foreign and domestic currency. Just like other bonds, these also promise to pay the buyer a certain amount of interest for a stipulated number of years and repay the face value on maturity. They also have a rating associated with them which essentially speaks of their credit worthiness.
The Yield of the sovereign bond is the interest rate that the government pays on issuing bonds. Countries with volatile economies and high inflation rates have to issue higher interest returns on their bonds compared to more stable ones.
The Yield of the bonds are dependent on primarily 3 factors:
• Creditworthiness – The issuing countries’ perceived ability to repay their debts. This can be obtained from rating agencies.
• Country Risk – External/Internal factors like unrest and wars tend to jeopardize a country’s ability to pay off their debts.
• Exchange Rates- In cases where bonds are issued in foreign currency, fluctuations in exchange rate may lead to increased pay out pressure on the issuing government.
The central banks also control the supply of money within the economy by the use of these bonds. When the government is in expansionist mode, the central bank will back debt in exchange for cash to raise capital for the expenditure. In case it is in the contracting mode, the banks hope to slow growth by selling more securities to take out liquidity from the system. -
Question 5 of 5
5. Question
1 pointsConsider the following statements about International Finance Corporation (IFC).
1. It is a sister organization of the IMF.
2. It is the largest global development institution focused exclusively on the private sector in developing countries.
3. Its goals are to increase sustainable agriculture opportunities, improve healthcare and education.
Which of the above statements is/are correct?Correct
IFC—a sister organization of the World Bank and member of the World Bank Group—is the largest global development institution focused exclusively on the private sector in developing countries. The Bank Group has set two goals for the world to achieve by 2030: end extreme poverty and promote shared prosperity in every country.
• The IFC is owned and governed by its member countries, but has its own executive leadership and staff that conduct its normal business operations.
• It is a corporation whose shareholders are member governments that provide paid-in capital and which have the right to vote on its matters.
Functions:
• It offers an array of debt and equity financing services and helps companies face their risk exposures, while refraining from participating in a management capacity.
• The corporation also offers advice to companies on making decisions, evaluating their impact on the environment and society, and being responsible.
• It advises governments on building infrastructure and partnerships to further support private sector development.
Since 2009, the IFC has focused on a set of development goals that its projects are expected to target. Its goals are to increase sustainable agriculture opportunities, improve healthcare and education, increase access to financing for microfinance and business clients, advance infrastructure, help small businesses grow revenues, and invest in climate healthIncorrect
IFC—a sister organization of the World Bank and member of the World Bank Group—is the largest global development institution focused exclusively on the private sector in developing countries. The Bank Group has set two goals for the world to achieve by 2030: end extreme poverty and promote shared prosperity in every country.
• The IFC is owned and governed by its member countries, but has its own executive leadership and staff that conduct its normal business operations.
• It is a corporation whose shareholders are member governments that provide paid-in capital and which have the right to vote on its matters.
Functions:
• It offers an array of debt and equity financing services and helps companies face their risk exposures, while refraining from participating in a management capacity.
• The corporation also offers advice to companies on making decisions, evaluating their impact on the environment and society, and being responsible.
• It advises governments on building infrastructure and partnerships to further support private sector development.
Since 2009, the IFC has focused on a set of development goals that its projects are expected to target. Its goals are to increase sustainable agriculture opportunities, improve healthcare and education, increase access to financing for microfinance and business clients, advance infrastructure, help small businesses grow revenues, and invest in climate health
Leaderboard: 6th May 2023 | Prelims Daily with Previous Year Questions
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