industries manufacturing & service sectors section 3 MCQ Questions & Answers Detailed Explanation

Answer: (c)

Economic liberalisation in India started with substantial changes in Industrial licensing policy.

The LPG Model ( Liberalisation, privatisation & Globalisation) was introduced by Dr Manmohan Singh in 1991 as India was facing problems of depleting reserves. Under liberalisation, the Industrial licensing policy was changed and under the new licensing policy the private players were allowed to set up their industrial units without obtaining License from the government and thus private investment in India increased drastically

Answer: (c)

SEBI has introduced the 'Graded Surveillance Measure' to keep a tab on the securities/shares of those companies which witness an abnormal price rise that is not commensurate with the financial health and fundamentals of the company.

The underlying principle behind the graded surveillance framework is to alert and protect investors trading in a security, which is seeing abnormal price movements. SEBI may put shares of companies under the measure for suspected price rigging.

The main objective of these measures are to;

1. Alert and advise investors to be extra cautious while dealing in these securities and
2. Advise market participants to carry out necessary due diligence while dealing in these securities

It became effective from March 2017

Answer: (d)

Answer: (a)

Shashikant Sharma is in function as a Comptroller and Auditor General (CAG) of India since 23 May 2013. He is the 12th CAG of India.

The Comptroller and Auditor General (CAG) of India is an authority, established by the Constitution of India which audits all receipts and expenditure of the Government of India and the state governments, including those bodies and authorities substantially financed by the government.

Answer: (d)

Air India (Tata Airlines) was founded by J.R.D. Tata in 1932. In 1953, the Government of India passed the Air Corporations Act and purchased a majority stake (nationalized) in the carrier from Tata Sons though its founder J. R. D. Tata

As per the present FDI Policy, 100% FDI is permitted in "scheduled Air Transport Service/Domestic Scheduled Passenger Airline".

However, for Air India, as per the present policy, foreign investment (FDI/FPI) in Air India, including that of foreign Airline(s) shall not exceed 49%, subject to the condition that substantial ownership and effective control of Air India shall continue to be vested in Indian Nationals.

Now cabinet in early March 2020 approved changes in the FDI policy specific to Air India only where NRIs (who are Indian Nationals either through Individuals or through their companies) will be allowed to own 100% in Air India and that too under automatic route.

So Foreign Airlines (treated as Foreign Nationals) will still be allowed to own only 49% of Air India.

Answer: (d)

PKI stands for Public Key Infrastructure. The Reserve Bank of India released a draft report on making payment system effective to secure a safe, secure, efficient, robust and sound payment system in the country.