Indian Economy-GK Practice MCQ Questions – 05 Posted on July 15, 2020July 15, 2020 by admin Question 1If an economy is equilibrium at the point where plans to save and to invest are equal, then government expenditure must be A. zero B. equal to government income C. larger than government income D. negative Question 2Deficit financing means that the government borrows money from the A. RBI B. local bodies C. big businessmen D. IMF Question 3The condition of indirect taxes in the country's revenue is approximately A. 70 percent B. 75 percent C. 80 percent D. 86 percent Question 4Which of the following is the first Indian private company to sign an accord with Government of Myanmar for oil exploration in two offshore blocks in that country? A. Reliance Energy B. Essar Oil C. GAIL D. ONGC Question 5Which of the following is not viewed as a national debt? A. Provident Fund B. Life Insurance Policies C. National Saving Certificate D. Long-term Government Bonds Question 6Since the inception of the co-operative movement, rural credits has been A. institutionalized B. rationalized C. cheapened D. All of the above Question 7In pursuance with the recommendations of Narsimham Committee, the RBI has framed new guidelines A. to govern entry of new private sector banks to make the banking sector more competitive B. to reduce the freedom given to banks to rationalize their existing branch network C. to setup more foreign exchange banks D. to lend more easily for industrial development Question 8Revenue of the state governments are raised from the following sources, except A. entertainment tax B. expenditure tax C. agricultural income tax D. land revenue Question 9Non Tax revenues can be increased by improving the working of the A. State Road Transport Corporations B. electricity boards C. commercial irrigation projects D. All of the above Question 10The co-operative credit societies have a A. two-tier structure B. three-tier structure C. four-tier structure D. five-tier structure