Convertibility of the rupee implies: [IAS 1994]
being able to convert rupee notes into gold
freely permitting the conversion of rupee to other major currencies and vice versa
allowing the value of the rupee to be fixed by market forces
developing an international market for currencies in India
Correct Answer :
B. freely permitting the conversion of rupee to other major currencies and vice versa
Related Questions
Inflation is caused as a result of:
increase in money supply
fall in production
increase in money supply without a corresponding increase in production
decrease in money supply without a corresponding decrease in production
Among the remedies of inflation we cannot include:
better capacity utilisation
lowering bank rate
reducing budgetary deficit
an efficient public distribution system
Which of the following are definite implications of a fall in inflation?
1. Prices have fallen
2. Prices are increasing more slowly than before
3. Food supply has increased
4. There is industrial stagnation
1 and 3
1 only
2 only
1, 3 and 4
The inflation experienced in the country at present is:
galloping inflation
secondary inflation
unrealistic inflation
cost-push inflation
Of the various ways of financing government's investment expenditure, the least inflationary is : [PCS 1994]
foreign aid
deficit financing
taxation
public borrowing
Amongst the currency quotes USD/JPY, USD/Euro and USD/CAD, which one of the following is referred as the base currency for quotes? [Punjab & Sindh Bank 2011]
USD
JPY
Euro
None of these
Which of the following groups suffer the most from inflation? [CPO SI 2003]
Debtors
Creditors
Business class
Holders of real assets
An essential attribute of inflation is:
fall in production
increase in prices
absence of black market
presence of black market
In the last one decade, which one among the following sectors has attracted the highest Foreign Direct Investment inflows into India? [IAS 2004]
Chemicals other than fertilizers
Services sector
Food processing
Telecommunication
Consider the following statements:
Full convertibility of the rupee may mean: [IAS 2002]
1. its free float with other international currencies.
2. its direct exchange with any other international currency at any prescribed place inside and outside the country.
3. it acts just like any other international currency.
Which of these statements are correct?
1 and 2
1 and 3
2 and 3
1, 2 and 3
The sum of which of the following constitutes Broad Money in India? [IAS 1997]
1. Currency with the public
2. Demand deposits with banks
3. Time deposits with banks
4. Other deposits with RBI
Choose the correct answer using the codes given below:
1 and 2
1, 2 and 3
1, 2, 3 and 4
1, 2 and 4
The Indian Rupee is fully convertible:
1. In respect of Current Account of Balance of Payments
2. In respect of Capital Account of Balance of Payments
3. Into Gold
Which of these statements is/are correct ?
1 only
3 only
1 and 2 only
1, 2 and 3
'Devaluation' means: [RRB 1992]
converting rupee into gold
lowering of the value of one currency in comparison of some foreign currency
making rupee dealer in comparison to some foreign currency
None of these
Among the causes of inflation can be listed:
1. slow growth in agricultural output
2. increasing non-development expenditure of Government
3. rapid population growth
4. rapid growth in costly imports
1 and 2
2 and 3
1, 2, 3 and 4
1 and 4 only
Which of the following governmental steps has proved relatively effective in controlling the double digit rate of inflation in the Indian economy during recent years?
Containing budgetory deficits and unproductive expenditure
Streamlined public distribution system
Enhanced rate of production of all consumer goods
Pursuing an export-oriented strategy
Which of the following is incorrect about convertibility?
The exchange rate should be determined by the forces of demand and supply of the currency
The exchange rate' would indicate the strength of the economy
It would discourage black market transactions
The RBI will be a direct player now rather than being an indirect one
Which of the following mints undertakes refining of gold for licensed gold dealers and production of medals for defence services?
The Hyderabad Mint
The Mumbai Mint
The Kolkata Mint
None of the above
Which of the following accounts for Cost-Push Inflation?
Increase in money supply
Increase in indirect taxation
Increase in population
Increase in non-plan expenditure
Black money is :
counterfeit currency
illegally earned money
money earned through underhand deals
income on which payment of tax is usually evaded
Stagflation implies a case of: [CDS 1992]
galloping inflation
recession plus inflation
adverse balance of trade
rising wages and employment
The best means of saving during inflation is to keep:
money
Government Bonds
equity
time deposits with Banks
The terms of economics, the recession occurring two times with a small gap in between is known as [Bank of India PO 2010]
Double Deflation
Deflation
Deep Recession
None of these
The situation with increasing unemployment and inflation is termed as: [CPO AC 2003]
hyperinflation
galloping inflation
stagflation
reflation
Which of the following measures should be taken when an economy is going through inflationary pressures?
1. The direct taxes should be increased.
2. The interest rate should be reduced.
3. The public spending should be increased
Select the correct answer using the code given below: [CDS 2012]
1 only
2 only
2 and 3
1 and 2
Which of the following prints currency notes of the denomination of Rs. 100?
The Bank Note Press, Dewas
The Indian Security Press, Nasik Road
The Security Printing Press, Hyderabad
All of the above
Broad money in India is :
M1
M2
M3
M4
Devaluation of currency by a country is meant to lead to :
1. expansion of import trade
2. promotion of import substitution
3. expansion of export trade
1 only
2 and 3
1 and 2
1 and 4
Consider the following statements:
The price of any currency in international market is decided by the [IAS 1998]
1. World Bank
2. Demand for goods/services provided by the country concerned
3. stability of the government of the concerned country
4. economic potential of the country in question
Of these statements:
1, 2, 3 and 4 are correct
2 and 3 are correct
3 and 4 are correct
1 and 4 are correct
Who among the following is most benefitted from inflation? [IAS 1989]
Government pensioners
Creditors
Savings Bank Account holders
Debtors
Rupee was devalued by what percent in July 1991 ? [MP PCS 1990]
18
20
22
25