Multiple Choice Questions

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Increase in Cash Reserve Ratio leads to

  • increase in bank credit

  • decrease in bank credit

  • constant bank credit

  • excess bank credit


B.

decrease in bank credit

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In the long run, the fixed costs become

  • money costs

  • real costs

  • opportunity costs

  • variable costs

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The business is stock markets and other securities markets is regulated by

  • Stock and Exchange Bank of India

  • State and Exchange Bank of India

  • Securities and Exchange Board of India

  • Sole Trade and Exchange Bank of India

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Private investment is otherwise called as

  • autonomous investment

  • foreign institutional investment

  • foreign direct investment

  • induced investment

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Liquidity Preference means

  • showing preference to hold bonds and securities

  • refraining from consumption

  • desire of the public to hold cash

  • showing preference to hold capital assets

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The Phillip's curve is the schedule showing the relationship between

  • aggregate supply and demand

  • total saving and investment

  • the rate of unemployment and rate of inflation

  • demand for and supply of loanable funds

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Which of the following plans had actual growth rate higher than the targetted growth rate?

  • Eighth Five Year Plan

  • Fourth Five Year Plan

  • Fifth Five Year Plan

  • Seventh Five Year Plan

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State Bank of India was previously known as

  • Co-operative Bank of India

  • Canara Bank

  • Imperial Bank of India

  • Syndicate Bank

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When Central Bank buys securities, bank reserves

  • has no impact on the reserves

  • expands

  • contracts

  • remains the same

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A firm practising price discrimination will be

  • charging different prices for different qualities of a product

  • buying in the cheapest and selling in the dearest markets

  • charging different prices in different markets for a product

  • buying only from firms selling in bulk at a distance

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