Static Quiz 13 April 2024 (Economy)
Quiz-summary
0 of 5 questions completed
Questions:
- 1
- 2
- 3
- 4
- 5
Information
Static Quiz 13 April 2024 (Economy)
You have already completed the quiz before. Hence you can not start it again.
Quiz is loading...
You must sign in or sign up to start the quiz.
You have to finish following quiz, to start this quiz:
Results
0 of 5 questions answered correctly
Your time:
Time has elapsed
You have reached 0 of 0 points, (0)
Categories
- Not categorized 0%
- 1
- 2
- 3
- 4
- 5
- Answered
- Review
- Question 1 of 5
1. Question
The price at which food grains are issued to the State governments/ UTs from the central pool under Targeted Public Distribution System is called?
CorrectMinimum Support Price (MSP): The rate announced by GoI at which purchases are made from the farmers by GoI and State governments and their agencies for the central pool. The MSP is same for the entire country and there is no limit for procurement in terms of volume/ quantity provided that stock satisfies Fair Average Quality (FAQ).
• Central Issue Price (CIP): The price at which food grains (wheat and rice) are issued to the State governments/ UTs from the central pool at uniform prices for distribution under Targeted Public Distribution System (TPDS)/NFSA. CIP is fixed by Department of Food and Public Distribution, Ministry of Consumer Affairs, Food and Public Distribution.
• Economic Cost: The cost incurred by the central government by way of procurement (at MSP), storage, transportation and distribution (to the nearest depot).
• Acquisition Cost: Economic Cost is the total cost to FCI. It consists of Acquisition Cost and Distribution Cost. Acquisition cost consists of Minimum Support Price (MSP) plus procurement incidental cost.IncorrectMinimum Support Price (MSP): The rate announced by GoI at which purchases are made from the farmers by GoI and State governments and their agencies for the central pool. The MSP is same for the entire country and there is no limit for procurement in terms of volume/ quantity provided that stock satisfies Fair Average Quality (FAQ).
• Central Issue Price (CIP): The price at which food grains (wheat and rice) are issued to the State governments/ UTs from the central pool at uniform prices for distribution under Targeted Public Distribution System (TPDS)/NFSA. CIP is fixed by Department of Food and Public Distribution, Ministry of Consumer Affairs, Food and Public Distribution.
• Economic Cost: The cost incurred by the central government by way of procurement (at MSP), storage, transportation and distribution (to the nearest depot).
• Acquisition Cost: Economic Cost is the total cost to FCI. It consists of Acquisition Cost and Distribution Cost. Acquisition cost consists of Minimum Support Price (MSP) plus procurement incidental cost. - Question 2 of 5
2. Question
With reference to the benefits of Alternative Investment Funds (AIF), consider the following statements:
1) It may help in reducing volatility that is commonly associated with traditional investments
2) It helps in diversification in terms of markets strategies and investment styles
3) It is beneficial for small-scaled investors as it requires low investment amount
Select the correct answer using the code given below.CorrectAlternative Investment Funds (AIF for short) are those funds created or established in India as a privately pooled investment vehicle in order to collect funds from specific investors as per a previously defined investment policy.
AIF does not include funds covered under the SEBI (Mutual Funds) Regulations, 1996, SEBI (Collective Investment Schemes) Regulations, 1999 or any other regulations of the Board to regulate fund management activities.
Benefits:
Alternative Investments may help in reducing volatility that is commonly associated with traditional investments as their performances are not dependent on the ups and downs of a stock market.
Helps in diversification in terms of markets strategies and investment styles
Strong potential in improving performance.Drawbacks
A high investment amount is required, something which is not possible for small-scaled investors.
Alternative investment funds are complex funds and due diligence is needed before deciding to invest in them.IncorrectAlternative Investment Funds (AIF for short) are those funds created or established in India as a privately pooled investment vehicle in order to collect funds from specific investors as per a previously defined investment policy.
AIF does not include funds covered under the SEBI (Mutual Funds) Regulations, 1996, SEBI (Collective Investment Schemes) Regulations, 1999 or any other regulations of the Board to regulate fund management activities.
Benefits:
Alternative Investments may help in reducing volatility that is commonly associated with traditional investments as their performances are not dependent on the ups and downs of a stock market.
Helps in diversification in terms of markets strategies and investment styles
Strong potential in improving performance.Drawbacks
A high investment amount is required, something which is not possible for small-scaled investors.
Alternative investment funds are complex funds and due diligence is needed before deciding to invest in them. - Question 3 of 5
3. Question
With reference to subsidies categorised by the Worl Trade Organization (WTO), which among the following is an example of ‘Green box’ Subsidy?
1) Domestic food aid
2) Infrastructure support
3) Minimum Support Price (MSP)
Select the correct answer using the code given below.CorrectGreen Box subsidies include:
R&D support, infra support like irrigation, electricity, expenses related to accumulation & holding of public stocks for food security, domestic food aid to the section of population in need and any direct payment to producers which is not linked to production.Price support provided in the form of procurement of crops at MSP is classified as a trade-distorting subsidy and falls under the ‘amber box’ measures, which are subject to certain limits.
IncorrectGreen Box subsidies include:
R&D support, infra support like irrigation, electricity, expenses related to accumulation & holding of public stocks for food security, domestic food aid to the section of population in need and any direct payment to producers which is not linked to production.Price support provided in the form of procurement of crops at MSP is classified as a trade-distorting subsidy and falls under the ‘amber box’ measures, which are subject to certain limits.
- Question 4 of 5
4. Question
Which of the followings is/are sources of Public Debt?
1) Dated government securities
2) External Assistance
3) Short term borrowings
Select the correct answer using the code given below.CorrectPublic Debt:
Public debt is the total amount borrowed by the government of a country.
In the Indian context, public debt includes the total liabilities of the Union government that have to be paid from the Consolidated Fund of India. It excludes liabilities contracted against Public Account.
Sources of Public Debt:
Dated government securities or G-secs
Treasury Bills or T-bills
External Assistance
Short term borrowingsIncorrectPublic Debt:
Public debt is the total amount borrowed by the government of a country.
In the Indian context, public debt includes the total liabilities of the Union government that have to be paid from the Consolidated Fund of India. It excludes liabilities contracted against Public Account.
Sources of Public Debt:
Dated government securities or G-secs
Treasury Bills or T-bills
External Assistance
Short term borrowings - Question 5 of 5
5. Question
With reference to the WTO agreements, ‘A common market where member countries coordinate macro-economic and exchange rate policies’ is called?
CorrectFree Trade Agreements (FTA): A free trade agreement is a preferential arrangement in which members reduce tariffs on trade among themselves, while maintaining their own tariff rates for trade with non-members.
• Customs Union (CU): A customs union is a free trade agreement (FTA)in which members apply a common external tariff (CET) schedule to imports from non-members.
• Common Market (CM): A common market is a customs union (CU) where movement of factors of production is relatively free amongst member countries.
• Economic Union (EU): An economic union is a common market (CM) where member countries coordinate macro-economic and exchange rate policies.IncorrectFree Trade Agreements (FTA): A free trade agreement is a preferential arrangement in which members reduce tariffs on trade among themselves, while maintaining their own tariff rates for trade with non-members.
• Customs Union (CU): A customs union is a free trade agreement (FTA)in which members apply a common external tariff (CET) schedule to imports from non-members.
• Common Market (CM): A common market is a customs union (CU) where movement of factors of production is relatively free amongst member countries.
• Economic Union (EU): An economic union is a common market (CM) where member countries coordinate macro-economic and exchange rate policies.
