Q. Which country is currently facing international sanctions due to its nuclear weapons program?
A.
Iran
B.
North Korea
C.
Syria
D.
Venezuela
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Solution
North Korea is facing international sanctions due to its ongoing nuclear weapons program.
Correct Answer:
B
— North Korea
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Q. Which country is currently facing significant sanctions from the international community due to its invasion of Ukraine?
A.
Russia
B.
Belarus
C.
China
D.
Iran
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Solution
Russia is facing extensive sanctions from various countries and organizations due to its invasion of Ukraine in 2022.
Correct Answer:
A
— Russia
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Q. Which country is currently involved in a territorial dispute with China over the South China Sea?
A.
Vietnam
B.
India
C.
Japan
D.
Philippines
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Solution
Vietnam has ongoing territorial disputes with China in the South China Sea, particularly over the Paracel and Spratly Islands.
Correct Answer:
A
— Vietnam
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Q. Which country is known for implementing extensive electoral reforms in the 1990s to enhance democracy?
A.
South Africa
B.
China
C.
North Korea
D.
Russia
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Solution
South Africa implemented extensive electoral reforms in the 1990s to enhance democracy after the end of apartheid.
Correct Answer:
A
— South Africa
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Q. Which country recently normalized relations with Israel through the Abraham Accords?
A.
Saudi Arabia
B.
United Arab Emirates
C.
Bahrain
D.
Oman
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Solution
The United Arab Emirates normalized relations with Israel in 2020 as part of the Abraham Accords.
Correct Answer:
B
— United Arab Emirates
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Q. Which country was notably absent from the 2021 G20 summit?
A.
Russia
B.
China
C.
India
D.
Brazil
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Solution
Russia was notably absent from the 2021 G20 summit, which raised concerns about its engagement in global economic discussions.
Correct Answer:
A
— Russia
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Q. Which country was the first to recognize the independence of South Sudan in 2011?
A.
United States
B.
United Kingdom
C.
China
D.
Kenya
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Solution
The United States was the first country to recognize South Sudan's independence on July 9, 2011.
Correct Answer:
A
— United States
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Q. Which country was the first to sign an Association Agreement under the European Neighbourhood Policy?
A.
Ukraine
B.
Moldova
C.
Georgia
D.
Armenia
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Solution
Ukraine was the first country to sign an Association Agreement under the ENP in 2014.
Correct Answer:
A
— Ukraine
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Q. Which country was the first to withdraw from the Paris Agreement on climate change?
A.
United States
B.
China
C.
India
D.
Brazil
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Solution
The United States was the first country to announce its withdrawal from the Paris Agreement in 2017.
Correct Answer:
A
— United States
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Q. Which country was the first to withdraw from the Paris Agreement?
A.
Brazil
B.
United States
C.
China
D.
India
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Solution
The United States was the first country to withdraw from the Paris Agreement, officially doing so in 2020 under the Trump administration.
Correct Answer:
B
— United States
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Q. Which economic indicator is most likely to be affected by a natural disaster?
A.
Unemployment rate
B.
Consumer confidence index
C.
Gross domestic product (GDP)
D.
All of the above
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Solution
All of the above economic indicators are likely to be affected by a natural disaster, as they reflect the overall economic health and consumer sentiment.
Correct Answer:
D
— All of the above
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Q. Which electoral system is designed to ensure proportional representation?
A.
First-past-the-post
B.
Single transferable vote
C.
Winner-takes-all
D.
Majoritarian system
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Solution
The single transferable vote system is designed to ensure proportional representation in elections.
Correct Answer:
B
— Single transferable vote
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Q. Which financial instrument is commonly used by farmers to hedge against crop price fluctuations?
A.
Futures contracts
B.
Savings accounts
C.
Equity shares
D.
Government bonds
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Solution
Futures contracts are used by farmers to lock in prices for their crops, providing a hedge against price volatility in the market.
Correct Answer:
A
— Futures contracts
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Q. Which financial instrument is commonly used by farmers to hedge against price fluctuations?
A.
Futures contracts
B.
Savings accounts
C.
Equity shares
D.
Government bonds
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Solution
Futures contracts are financial instruments that allow farmers to lock in prices for their crops, helping them hedge against price fluctuations in the market.
Correct Answer:
A
— Futures contracts
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Q. Which financial instrument is commonly used by governments to finance budget deficits?
A.
Stocks
B.
Bonds
C.
Mutual funds
D.
Derivatives
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Solution
Governments typically issue bonds to finance budget deficits, as they are a way to borrow money from investors.
Correct Answer:
B
— Bonds
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Q. Which financial instrument is commonly used for government borrowing?
A.
Stocks
B.
Bonds
C.
Mutual funds
D.
Derivatives
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Solution
Bonds are commonly used as financial instruments for government borrowing, allowing governments to raise funds from investors.
Correct Answer:
B
— Bonds
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Q. Which financial instrument is commonly used to fund automation projects?
A.
Equity shares
B.
Government bonds
C.
Venture capital
D.
Savings accounts
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Solution
Venture capital is often used to fund automation projects, as it provides the necessary capital for startups and innovative technologies.
Correct Answer:
C
— Venture capital
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Q. Which financial instrument is commonly used to hedge against crop price fluctuations?
A.
Futures contracts
B.
Savings accounts
C.
Equity shares
D.
Government bonds
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Solution
Futures contracts are financial instruments that allow farmers to lock in prices for their crops, protecting them against price volatility in the market.
Correct Answer:
A
— Futures contracts
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Q. Which financial instrument is considered a safe investment during economic downturns?
A.
Stocks
B.
Bonds
C.
Real estate
D.
Cryptocurrencies
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Solution
Bonds, especially government bonds, are considered safer investments during economic downturns compared to stocks and other instruments.
Correct Answer:
B
— Bonds
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Q. Which financial instrument is crucial for funding small and medium enterprises (SMEs) in India?
A.
Equity shares
B.
Debentures
C.
Venture capital
D.
Government bonds
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Solution
Venture capital is crucial for funding SMEs as it provides the necessary capital for growth and innovation, contributing to inclusive growth.
Correct Answer:
C
— Venture capital
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Q. Which financial instrument is often used to fund environmental projects?
A.
Corporate bonds
B.
Green bonds
C.
Treasury bills
D.
Equity shares
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Solution
Green bonds are specifically designed to fund projects that have positive environmental impacts.
Correct Answer:
B
— Green bonds
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Q. Which financial instrument is primarily used by the RBI to control inflation?
A.
Government bonds
B.
Treasury bills
C.
Reverse repo rate
D.
Equity shares
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Solution
The reverse repo rate is used by the RBI to control inflation by absorbing excess liquidity from the banking system.
Correct Answer:
C
— Reverse repo rate
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Q. Which financial instrument is primarily used to support food security initiatives in India?
A.
Agricultural bonds
B.
Food coupons
C.
Subsidized loans
D.
Food security bonds
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Solution
Subsidized loans are often provided to farmers to enhance agricultural productivity, contributing to food security.
Correct Answer:
C
— Subsidized loans
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Q. Which financial instrument represents ownership in a company?
A.
Bond
B.
Stock
C.
Derivative
D.
Mutual fund
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Solution
Stocks represent ownership in a company, giving shareholders a claim on the company's assets and earnings.
Correct Answer:
B
— Stock
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Q. Which fiscal policy action is likely to be taken during a recession?
A.
Increase taxes
B.
Decrease government spending
C.
Increase government spending
D.
Reduce transfer payments
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Solution
During a recession, governments typically increase government spending to stimulate economic activity and boost aggregate demand.
Correct Answer:
C
— Increase government spending
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Q. Which fiscal policy action is likely to stimulate economic growth?
A.
Increasing taxes
B.
Decreasing government spending
C.
Increasing government spending
D.
Reducing public investment
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Solution
Increasing government spending is likely to stimulate economic growth by boosting demand and creating jobs.
Correct Answer:
C
— Increasing government spending
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Q. Which fiscal policy tool can be used to stimulate economic growth?
A.
Increasing taxes
B.
Decreasing government spending
C.
Increasing government spending
D.
Reducing interest rates
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Solution
Increasing government spending is a fiscal policy tool that can stimulate economic growth by boosting demand.
Correct Answer:
C
— Increasing government spending
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Q. Which fiscal policy tool is primarily used to influence economic activity?
A.
Taxation
B.
Interest rates
C.
Reserve requirements
D.
Open market operations
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Solution
Taxation is a primary fiscal policy tool used by governments to influence economic activity by adjusting tax rates and tax revenues.
Correct Answer:
A
— Taxation
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Q. Which Five-Year Plan in India focused on the removal of poverty?
A.
First Plan
B.
Fifth Plan
C.
Eighth Plan
D.
Tenth Plan
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Solution
The Fifth Five-Year Plan (1974-1979) focused on the removal of poverty and aimed at achieving self-reliance.
Correct Answer:
B
— Fifth Plan
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Q. Which fundamental duty emphasizes the importance of promoting harmony and the spirit of common brotherhood?
A.
To abide by the Constitution
B.
To promote harmony
C.
To safeguard public property
D.
To develop scientific temper
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Solution
The fundamental duty to promote harmony and the spirit of common brotherhood is enshrined in Article 51A of the Constitution.
Correct Answer:
B
— To promote harmony
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