11. To implement a contractionary monetary policy, RBI should not do which of the following?
A. Increase the Statutory Liquidity Ratio.
B. Decrease the Marginal Standing Facility Rate.
C. Cut the Bank Rate and Repo Rate.
How many of the above statements is/are correct?
- A and B
- A only
- B and C
- A, B, and C
Answer: (3) B and C
Explanation:
- B. Decreasing the MSF rate would make borrowing cheaper, increasing the money supply, which is not contractionary.
- C. Cutting rates would also increase the money supply, counter to contractionary policy goals.
Thus, B and C are correct, making option (3) the correct answer.
12. The Coalition for Disaster Resilient Infrastructure was launched by the Hon'ble Prime Minister of India during the United Nations Climate Action Summit on 23rd September 2019 in New York.
A. It is a global partnership of National Governments and UN agencies only.
B. A network will be developed to advance disaster resilient infrastructure in developing countries with a primary focus on India.
Which of the above statements is correct?
- A only
- B only
- Both A and B
- Neither A nor B
Answer: (2) B only
Explanation:
- A. Incorrect. The partnership includes various stakeholders beyond just national governments and UN agencies.
- B. Correct. The focus on developing countries, including India, aligns with the objectives of the Coalition.
Thus, the correct answer is (2) B only.
13. According to the Global Payments Report by Worldpay FIS, India’s e-commerce market is projected to post impressive gains and grow at 18 percent annually through 2025.
Which of the following statements are true regarding the growth of e-commerce industry in India?
A. E-commerce order volume growth in FY22 was driven mainly by consumers from tier-II and tier-III cities in the last two years.
B. Tier-I cities indicated a comparatively slower order volume growth rate compared to tier-II and tier-III cities.
C. Fiscal support during the pandemic helped boost e-commerce penetration in rural areas, likely by increasing consumption.
Options:
- A and B only
- C only
- A, B, and C
- None of the above
Answer: (3) A, B, and C
Explanation:
- A. Correct. Tier-II and III cities have driven significant growth in e-commerce.
- B. Correct. Growth in tier-I cities has slowed due to market saturation.
- C. Correct. Fiscal support during the pandemic boosted rural e-commerce penetration.
All three statements are true, making option (3) the correct answer.
14. Consider the following statements:
A. The Reserve Bank of India links all ATMs in India.
B. Capital Adequacy Ratio is for each bank to decide and should be in the range provided by RBI.
C. Benchmark interest rates are decided by the Monetary Policy Committee of RBI.
Which of the following statements is/are correct?
- Only one statement is correct
- Only two statements are correct
- All three statements are correct
- None of the above
Answer: (2) Only two statements are correct
Explanation:
- A. Incorrect. The RBI does not directly link all ATMs; NPCI operates the National Financial Switch.
- B. Correct. Banks must maintain the CAR within RBI's guidelines.
- C. Correct. The MPC of the RBI decides key benchmark interest rates.
Thus, only statements B and C are correct, making option (2) the right answer.
15. Consider the following statements about RTE quota:
A. Amendment to RTE Act removed private schools from being recognized as ‘neighbourhood schools’ if there is a Government or a Government-aided school within the limits of any ward.
B. In the academic year 2024-25, there isn’t a single private school in Bengaluru that can give RTE quota seats.
Which of the above statements is/are correct?
- A only
- B only
- Both A and B
- Neither A nor B
Answer: (1) A only
Explanation:
- A. Correct. The amendment restricts recognition of private schools as "neighbourhood schools" under certain conditions.
- B. Incorrect. While availability may vary, it's unlikely that no private school in Bengaluru offers RTE quota seats.
Thus, the correct answer is (1) A only.