introduction to indian economy section 8 MCQ Questions & Answers Detailed Explanation

Answer: (b)

Videsh Sanchaar Nigam Limited (VSNL) was the first Indian PSU to be listed in the New York Stock Exchange in 2000. The company operates a network of earth stations, switches, submarine cable systems, and value added service nodes to provide a range of basic and value added services.

Answer: (e)

The Reserve Bank of India (RBI), on 25 October 2011, deregulated savings bank deposit interest rates, leaving it to the banks to select their own interest rates.

However, each bank will have to offer a uniform interest rate on savings bank deposits up to Rs.1 lakh, irrespective of the amount in the account within this limit.

Besides, for savings bank deposits over Rs.1 lakh, a bank may provide differential rates of interest, if it so chooses.

Answer: (a)

National Income is based on the production of goods and services.

A variety of measures of national income and output are used in economics to estimate,

1. total economic activity in a country or region,
2. including gross domestic product (GDP),
3. gross national product (GNP),
4. net national income (NNI), and
5. adjusted national income (NNI* adjusted for natural resource depletion).

All are especially concerned with counting the total amount of goods and services produced within some “boundary”.

Answer: (b)

Financial inclusion or inclusive financing is the delivery of financial services at affordable costs to sections of disadvantaged and low-income segments of society.

For financial inclusion 'Know your customer' norms should be relaxed and no-frills account should be opened for low-income segments which are looking for basic banking only.

Along with general-purpose credit cards should be issued and bank branches should be opened in unbanked rural areas.

Answer: (b)

The economic liberalisation in India refers to ongoing economic reforms in India that started on 24 July 1991.

In 1991, the government of P. V. Narasimha Rao and his finance minister Manmohan Singh (currently the Prime Minister of India) started breakthrough reforms which included opening for international trade and investment, deregulation, initiation of privatization, tax reforms, and inflation controlling measures.

Answer: (a)

India Brand Equity Foundation is a Trust established by the Ministry of Commerce with the Confederation of Indian Industry (CII) as its associate.

IBEF’s primary objective is to promote and create international awareness of the Made in India label in markets overseas and to facilitate the dissemination of knowledge of Indian products and services.

Towards this objective IBEF works closely with stakeholders across government and industry. IBEF works with a network of stakeholders – domestic and international – to promote Brand India.