INSIGHT UPSC QUIZ

Which among the following are the effects of Globalisation?

Which of the following economic terms reflects the total borrowing requirement of the Government?  

1. Fiscal Deficit

2. Revenue Deficit 

3. Effective Revenue Deficit 

4. Primary Deficit  

Select the correct answer using the code given below:

 With reference to Indian Economy, which among the following is/are classified as foreign investment:

1. Investment made by Multinational Corporations (MNCs).

2. FDI under government route.

3. External Commercial Borrowings. 

4. Foreign investor investing in an Indian small scale industrial unit.

Select the correct answer using the code given below:

To meet the requirements of the fiscal deficit, the Union government not only borrows directly from the public through debt instruments but also indirectly from commercial banks through:

Consider the following statements:

1. A surplus current account means that the nation is a lender to other countries and a deficit current account means that the nation is a borrower from other countries. 

2. The capital account deals with the change in ownership of a country’s assets, and the current account reflects the change in a country’s net income.

3. Developing nations typically run very large capital account deficits in proportion to their GDP, which are financed by loans and grants on the current account.

Which of the statements given above is/are correct?

Read the following statements carefully in the context of ‘Gross Domestic Product at Market Prices’:

1. It is the market value of all final goods and services produced within a domestic territory of a country measured in a year.

2. It includes all production done by national residents or the non-residents in a country.

3. It excludes all production done by residents in a country if the production is owned by a foreign company.

Which of the statements given above is/are correct?

In context of the difference between ‘devaluation and depreciation’, consider the following statements:

1. Devaluation is the deliberate downward adjustment of a country's currency value, whereas depreciation is a fall in the value of a currency.

2. Devaluation is more relevant in a fixed or semi-fixed exchange rate, whereas depreciation is more relevant in a floating exchange rate.

3. Devaluation makes imports more expensive, and exports more competitive, whereas depreciation makes imports cheaper, and exports less competitive.

Which of the statements given above are correct?

Which of the following is generally the largest source for financing the ‘fiscal deficit’ of the Union government? 

In context of economic theory, a perfectly competitive market will have which of the following defining features?

 1. The market consists of a large number of buyers and sellers. 

 2. Each firm can produce and sell all types of products. 

 3. Entry into the market as well as exit from the market are free for firms.

Select the correct answer using the code given below:

The central and state governments in India are taking special steps to attract foreign companies to invest in India. In this context, consider the following initiatives and select the correct answer using the code given below:

 1. Setting up of Special Economic Zones.

2. Reforms in labour laws.

3. Increase in forex reserves.

4. Reduction in import duties.

Which of these initiatives have been undertaken by central and state governments in India to attract foreign investment?