introduction to indian economy section 5 MCQ Questions & Answers Detailed Explanation

Answer: (c)

Ways and means advances (WMA) is a mechanism used by the Reserve Bank of India (RBI) under its credit policy by which provides to the States banking with it to help them to tide over temporary mismatches in the cash flow of their receipts and payments.

This is guided under Section 17(5) of RBI Act, 1934, and are repayable in each case not later than three months from the date of making that advance'.

Answer: (a)

State Government transactions are carried out by RBI in terms of the agreement entered into with the State Governments in terms of section 21 A of the RBI Act.

As of now, such agreements exist between RBI and all the State Governments except with the Government of Jammu and Kashmir.

Answer: (d)

The Ninth Plan recognised the integral link between rapid economic growth and the quality of life of the mass of the people. Ensuring environmental sustainability of the development process through social mobilisation and participation of people at all levels was one of the specific objectives of the Ninth Plan as approved by the National Development Council.

In the Ninth Plan document, policies and programmes during the Eighth Plan period were reviewed, shortcomings identified and a new policy framework suggested overcoming the shortcomings and ensuring the sustainability of the development process not only in economic terms but also in terms of social and environmental factors.

Answer: (b)