Economy & Banking

Download Q&A

Economy & Banking MCQ & Objective Questions

Understanding the concepts of Economy & Banking is crucial for students preparing for various exams in India. This subject not only forms a significant part of the curriculum but also plays a vital role in competitive exams. Practicing MCQs and objective questions helps students reinforce their knowledge, identify important questions, and improve their exam preparation strategies.

What You Will Practise Here

  • Basic concepts of economy and its components
  • Functions of banking institutions and their roles in the economy
  • Types of banks and financial institutions
  • Monetary policy and its impact on the economy
  • Key economic indicators and their significance
  • Understanding inflation, deflation, and their effects
  • Government policies related to economy and banking

Exam Relevance

The topics of Economy & Banking are frequently included in the syllabi of CBSE, State Boards, NEET, JEE, and other competitive exams. Students can expect questions that test their understanding of economic principles, banking operations, and real-world applications. Common question patterns include multiple-choice questions that assess both theoretical knowledge and practical applications of economic concepts.

Common Mistakes Students Make

  • Confusing the roles of different types of banks and financial institutions
  • Misunderstanding key economic terms such as inflation and deflation
  • Overlooking the importance of government policies in economic scenarios
  • Failing to connect theoretical concepts with real-world examples

FAQs

Question: What are some important Economy & Banking MCQ questions for exams?
Answer: Important questions often cover topics like the functions of the Reserve Bank of India, types of monetary policy, and the impact of inflation on purchasing power.

Question: How can I effectively prepare for Economy & Banking objective questions?
Answer: Regular practice of MCQs, reviewing key concepts, and understanding the application of theories in real-life scenarios can significantly enhance your preparation.

Start solving practice MCQs today to test your understanding of Economy & Banking! Strengthen your concepts and boost your confidence for your upcoming exams.

Q. Which of the following is a macroeconomic benefit of Environmental Conservation Acts?
  • A. Increased pollution
  • B. Sustainable economic growth
  • C. Higher energy costs
  • D. Reduced foreign investment
Q. Which of the following is a microeconomic effect of Environmental Conservation Acts?
  • A. Increased consumer prices
  • B. Higher unemployment rates
  • C. Improved resource allocation
  • D. Decreased competition
Q. Which of the following is a microeconomic effect of robotics in production?
  • A. Increased competition among firms
  • B. Higher unemployment rates across all sectors
  • C. Decreased consumer choice
  • D. Uniform pricing across industries
Q. Which of the following is a potential consequence of a high budget deficit?
  • A. Lower interest rates
  • B. Increased public investment
  • C. Higher inflation
  • D. Decreased government spending
Q. Which of the following is a potential effect of robotics on productivity?
  • A. Decrease in overall productivity
  • B. Increase in production costs
  • C. Increase in efficiency and output
  • D. Reduction in technological innovation
Q. Which of the following is a primary source of funds for commercial banks?
  • A. Government grants
  • B. Deposits from customers
  • C. Foreign investments
  • D. Stock market profits
Q. Which of the following is a quantitative tool of monetary policy used by the RBI?
  • A. Open market operations
  • B. Moral suasion
  • C. Credit control
  • D. Public debt management
Q. Which of the following is a quantitative tool of monetary policy?
  • A. Moral suasion
  • B. Open market operations
  • C. Bank rate
  • D. Cash Reserve Ratio
Q. Which of the following is a tool used by the RBI to control money supply?
  • A. Cash Reserve Ratio (CRR)
  • B. Fiscal Policy
  • C. Public Debt Management
  • D. Foreign Direct Investment
Q. Which of the following is a tool used by the Reserve Bank of India (RBI) to control money supply?
  • A. Open market operations
  • B. Fiscal policy
  • C. Taxation
  • D. Public expenditure
Q. Which of the following is an example of an automatic stabilizer?
  • A. Government infrastructure projects
  • B. Unemployment benefits
  • C. Tax cuts
  • D. Public investment programs
Q. Which of the following is NOT a benefit of irrigation?
  • A. Increased crop yield
  • B. Drought resistance
  • C. Soil salinization
  • D. Improved food security
Q. Which of the following is NOT a component of fiscal policy?
  • A. Government spending
  • B. Taxation
  • C. Monetary supply
  • D. Transfer payments
Q. Which of the following is NOT a function of commercial banks?
  • A. Accepting deposits
  • B. Providing loans
  • C. Issuing currency
  • D. Facilitating payments
Q. Which of the following is NOT a function of the central bank?
  • A. Issuing currency
  • B. Controlling inflation
  • C. Providing personal loans
  • D. Regulating the banking system
Q. Which of the following is NOT a function of the RBI in the context of disaster management?
  • A. Providing emergency liquidity
  • B. Setting up disaster relief funds
  • C. Regulating commercial banks
  • D. Conducting monetary policy
Q. Which of the following is NOT a function of the RBI?
  • A. Maintaining price stability
  • B. Regulating commercial banks
  • C. Issuing government bonds
  • D. Managing foreign exchange reserves
Q. Which of the following is NOT a function of the Reserve Bank of India (RBI) related to food security?
  • A. Monetary policy formulation
  • B. Regulating food prices
  • C. Managing foreign exchange
  • D. Issuing currency
Q. Which of the following is NOT a function of the Reserve Bank of India (RBI)?
  • A. Issuing currency
  • B. Managing foreign exchange
  • C. Setting fiscal policy
  • D. Regulating banks
Q. Which of the following is NOT a function of the Reserve Bank of India?
  • A. Issuing currency
  • B. Regulating foreign exchange
  • C. Providing personal loans
  • D. Controlling inflation
Q. Which of the following is NOT a goal of monetary policy?
  • A. Controlling inflation
  • B. Maximizing employment
  • C. Stabilizing currency
  • D. Increasing government revenue
Q. Which of the following is NOT a method of budgeting?
  • A. Zero-based budgeting
  • B. Incremental budgeting
  • C. Performance budgeting
  • D. Dynamic budgeting
Q. Which of the following is NOT a tool of fiscal policy?
  • A. Government spending
  • B. Taxation
  • C. Monetary supply control
  • D. Public debt management
Q. Which of the following is NOT a tool of monetary policy used by the RBI?
  • A. Cash Reserve Ratio (CRR)
  • B. Statutory Liquidity Ratio (SLR)
  • C. Open Market Operations (OMO)
  • D. Income Tax Rate
Q. Which of the following is NOT a type of inflation?
  • A. Creeping inflation
  • B. Walking inflation
  • C. Galloping inflation
  • D. Stagflation
Q. Which policy is primarily used by the Reserve Bank of India (RBI) to promote inclusive growth?
  • A. Monetary policy
  • B. Fiscal policy
  • C. Trade policy
  • D. Industrial policy
Q. Which policy is typically used to reduce unemployment?
  • A. Tight monetary policy
  • B. Expansionary fiscal policy
  • C. Contractionary fiscal policy
  • D. Deflationary policy
Q. Which scheme is aimed at providing financial assistance for the education of girls?
  • A. Beti Bachao Beti Padhao
  • B. Sukanya Samriddhi Yojana
  • C. Pradhan Mantri Ujjwala Yojana
  • D. National Girl Child Day
Q. Which scheme is designed to promote entrepreneurship among women in India?
  • A. Stand-Up India
  • B. Make in India
  • C. Digital India
  • D. Skill India
Q. Which sector is primarily targeted by the planning process in India?
  • A. Agriculture
  • B. Manufacturing
  • C. Services
  • D. All of the above
Showing 181 to 210 of 222 (8 Pages)
Soulshift Feedback ×

On a scale of 0–10, how likely are you to recommend The Soulshift Academy?

Not likely Very likely