Indian Economy Questions Answers Online Quiz Test

• 1. Gross domestic capital formation is defined as

  1. flow of expenditure devoted to increased or maintaining of the capital stock
  2. expenditure incurred on physical assets only
  3. production exceeding demand
  4. net addition to stock after depreciation

• 2. In the state of India, the State Financial Corporation have given assistance mainly to develop

  1. Irrigation projects
  2. small-scale industries
  3. medium-scale industries
  4. medium and small-scale industries

• 3. States earn maximum revenue through

  1. Tax Fines
  2. Customs
  3. License sales
  4. Commercial taxes

• 4. Which of the following is not viewed as a national debt ?

  1. National Saving Certificate
  2. Provident Fund
  3. Life Insurance Policies
  4. Long-term Government Bonds

• 5. Deficit financing means that the government borrows money from the ?

  1. Revenue Department
  2. World Bank
  3. RBI
  4. None of above

• 6. The banks are required to maintain a certain ratio between their cash in hand and total assets. This is called ?

  1. Statutory Liquid Ratio
  2. Cash Reserve Ratio
  3. Liquid Ratio
  4. Statutory Ratio

• 7. In India, Inflation measured by the :

  1. National Income Deflation
  2. Wholesale Price Index number
  3. Consumer Price Index
  4. None of above

• 8. Short-term finance is usually for a period ranging up to

  1. 6 months
  2. 1 Year
  3. 2 Years
  4. 5 Years

• 9. Which one among the following formulates the fiscal policy in India ?

  1. Planning Commission
  2. Finance Commission
  3. The Reserve Bank of India
  4. Ministry of Finance

• 10. In India paper currency started in ?

  1. 1860
  2. 1861
  3. 1862
  4. 1863

• 11. Devaluation of currency leads to ?

  1. fall in domestic prices
  2. increase in domestic prices
  3. cant be predicted
  4. None of above

• 12. India earns maximum foreign exchange by the export of ?

  1. Iron
  2. Handloom
  3. Texttiles
  4. Tea

• 13. Which is the most important source of income for Government of India ?

  1. Interest
  2. Licence fee
  3. Income tax
  4. Excise duty

• 14. The mineral in which India depends largely on imports is

  1. Iron Ore
  2. Bauxite
  3. Mica
  4. Mercury

• 15. National Rural Development Institute is situated at ?

  1. Delhi
  2. Shimla
  3. Hyderabad
  4. Mumbai

• 16. Which Indian got Nobel Prize for Economics ?

  1. Teressa
  2. Amarthiya Sen
  3. C.V.Raman
  4. None of above

• 17. The bank which has the highest number of branches in the world is ?

  1. State Bank of India
  2. RBS
  3. London Bank
  4. Canara Bank

• 18. Imperial Bank of India was old name of ?

  1. State Bank of India
  2. United Bank of India
  3. Central Bank of India
  4. Punjab National Bank

• 19. Which state has the highest Per Capita Income in India ?

  1. Delhi
  2. Punjab
  3. Bihar
  4. West Bengal

• 20. Exise duty is imposed on

  1. Sale of an item
  2. Production of an item
  3. Consumption of an item
  4. All of above