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Economics › GST

Economics › GST

2011

Which one of the following is not a feature of “Value Added Tax”?

Options

(a)

It is a multi-point destination-based system of tax.

(b)

It is a tax levied on value addition at each stage of transaction in the production distribution chain.

(c)

It is a tax on the final consumption of goods or services and must ultimately be borne by the consumer.

(d)

It is basically a subject of the Central Government, and the State Governments are only a facilitator for its successful implementation.

Answer

(D)
Economics › GST

2011

In India, which of the following have the highest share in total tax revenue of the Central Government?

Options

(a)

Taxes on income

(b)

Taxes on commodities and services

(c)

Taxes on property and capital gains

(d)

Custom duties

Answer

(B)
Economics › Inflation

Economics › Inflation

2011

A rapid increase in the rate of inflation is sometimes attributed to the “base effect”. What is “base effect”?

Options

(a)

It is the impact of drastic deficiency in supply due to failure of crops.

(b)

It is the impact of the surge in demand due to rapid economic growth.

(c)

It is the impact of the price levels of previous year on the calculation of inflation rate.

(d)

None of the statements (a), (b) and (c) given above is correct in this context.

Answer

(C)
Economics › Inflation

2011

India has experienced persistent and high food inflation in the recent past. What could be the reasons?

1. Due to a gradual switchover to the cultivation of commercial crops, the area under the cultivation of food grains has steadily decreased in the last five years by about 30%.
2. As a consequence of increasing incomes, the consumption patterns of the people have undergone a significant change.
3. The food supply chain has structural constraints.

Options

(a)

1 and 2 only

(b)

2 and 3 only

(c)

1 and 3 only

(d)

1, 2 and 3

Answer

(B)
Economics › National Income Accounting(GDP)

Economics › National Income Accounting(GDP)

2011

In the context of Indian economy, consider the following statements:
1. The growth rate of GDP has steadily increased in the last five years.
2. The growth rate in per capita income has steadily increased in the last five years.

Options

(a)

1 only

(b)

2 only

(c)

Both 1 and 2

(d)

Neither 1 nor 2

Answer

(D)
Economics › National Income Accounting(GDP)

2011

In terms of economy, the visit by foreign nationals to witness the XIX Commonwealth Games in India amounted to

Options

(a)

Export

(b)

Import

(c)

Production

(d)

Consumption

Answer

(A)
Economics › RBIXLiquidity Management

Economics › RBIXLiquidity Management

2011

Consider the following statements:
1. An increase in the rate of interest may lead to an increase in the rate of inflation.
2. An increase in the rate of interest may lead to a decrease in the level of investment.
3. An increase in the rate of interest may lead to an increase in the rate of savings.
Which of the statements given above is/are correct?

Options

(a)

1 only

(b)

2 and 3 only

(c)

1 and 2 only

(d)

2 and 3 only

Answer

(B)
Environment › Biodiversity

Environment › Biodiversity

2011

If a tropical rainforest is removed, it does not regenerate quickly as compared to a tropical deciduous forest. This is because

Options

(a)

The soil of the rainforest is deficient in nutrients.

(b)

Propagules of the trees in a rainforest have poor viability.

(c)

The rain forest species are slow growing.

(d)

Exotic species invade the fertile soil of the rainforest.

Answer

(A)
Environment › Biodiversity

2011

Three of the following criteria have contributed to the recognition of western Ghats, Sri Lanka and Indo-Burma regions as hotspots of biodiversity: 1. Species richness 2. Vegetation density 3. Endemism 4. Ethno-botanical importance 5. Threat perception 6. Adaptation of flora and fauna to warm and humid conditions Which three of the above are correct criteria in this context?

Options

(a)

1, 2 and 6 only

(b)

2, 4 and 6 only

(c)

1, 3 and 5 only

(d)

3, 4 and 6 only

Answer

(C)
Environment › Biodiversity

2011

The Himalayan Range is very rich in species diversity. Which one among the following is the most appropriate reason for this phenomenon?

Options

(a)

It has a high rainfall that supports luxuriant vegetative growth.

(b)

It is a confluence of different biogeographical zones.

(c)

Exotic and invasive species have not been invasive species and have not been introduced in this region.

(d)

It has less human interference.

Answer

(B)

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