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Test Booklet Series

TEST BOOKLET

GENERAL STUDIES (P) 2024 – Test – 4146

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Time Allowed: Two Hours Maximum Marks: 200

INSTRUCTIONS

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THE ANSWER SHEET.

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3. You have to enter your Roll Number on the Test Booklet in the Box
provided alongside. Do NOT write anything else on the Test Booklet. ok
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4. This Test Booklet contains 100 items (Questions). Each item is printed in English. Each item comprises four
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responses (answers). You will select the response which you want to mark on the Answer Sheet. In case you
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feel that there is more than one correct response with you consider the best. In any case, choose ONLY ONE
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response for each item.

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5. You have to mark all your responses ONLY on the separate Answer Sheet provided. See direction in the
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answers sheet.
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6. All items carry equal marks. Attempt all items. Your total marks will depend only on the number of correct
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responses marked by you in the answer sheet. For every incorrect response 1/3rdof the allotted marks will be
deducted.

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fill in some particulars in the answer sheets as per instruction sent to you with your Admission Certificate.

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9. Sheet for rough work are appended in the Test Booklet at the end.

DO NOT OPEN THIS BOOKLET UNTIL YOU ARE ASKED TO DO SO

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1. Consider the following statements regarding 4. Consider the following:
near money: 1. Corporation Tax
1. It refers to non-cash assets that can be 2. Income Tax
easily converted to cash.
3. Union Excise Duties
2. The nearness of near money varies
depending on the actual time frame 4. Customs
required for cash conversion. Arrange the contribution of the above taxes
3. The certificates of deposit (CDs) are an in decreasing order for the year 2021-22:
example of near money. (a) 2-1-4-3
How many of the above statements are (b) 2-1-3-4
correct?
(c) 1-2-3-4
(a) Only one
(d) 1-2-4-3
(b) Only two
(c) All three
(d) None 5. With reference to the Periodic Labour Force
Reports (PLFS), consider the following
2. How many of the following economic statements regarding the last 5 years' trends
activities are not included in the estimation of employment parameters as per the usual
of the GDP of a country?
status:
1. Transfer payments
2. Unpaid work 1. In the last five years, the Labour Force
3. Stock purchases Participation Rate (LFPR) has increased.
4. Construction of a room in an existing 2. In the last five years, the Worker
building Population Ratio (WPR) has increased.

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Select the correct answer using the code 3. In the last five years, the Unemployment

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Rate (UR) has declined.
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(a) Only one
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How many of the statements given above

(b) Only two
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is/are correct?
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(c) Only three

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(d) All four (a) Only one

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(b) Only two

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3. Consider the following statements :

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(c) All three

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Statement I: In comparison to demand-pull

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(d) None
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inflation, cost-push inflation is less

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responsive to monetary policy measures.

6. Consider the following statements regarding
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Statement II: Cost-push inflation is driven by

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supply-side factors and monetary policy may India's GDP on purchasing power parity
have limited effectiveness in addressing (PPP):
these factors. 1. India is the second-largest economy by
Which one of the following is correct in purchasing power.
respect of the above statements?
2. Indians enjoy higher purchasing power
(a) Both Statement-I and Statement-II are
as goods and services tend to be
correct and Statement-II is the correct
explanation for Statement-I relatively costlier in India.
(b) Both Statement-I and Statement-II are Which of the statements given above is/are
correct and Statement-II is not the correct?
correct explanation for Statement-I (a) 1 only
(c) Statement-I is correct but Statement-II is
(b) 2 only
incorrect
(c) Both 1 and 2
(d) Statement-I is incorrect but Statement-II
is correct (d) Neither 1 nor 2
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7. In the context of the Market Stabilization 10. Consider the following statements regarding
Scheme (MSS), consider the following the regulation of Over The Top (OTT)
statements: platforms in India:
1. They are included as a part of the 1. The OTT platforms are regulated under
country’s ‘internal Central Government the Telecommunications Act 2023.
debt’. 2. The Telecommunications Act 2023 does
2. The amount raised under the MSS does not empower the government to break
not get credited to the Government the encryption of messages exchanged
Account. via OTT platforms.
Which of the statements given above is/are Which of the statements given above is/are
correct? correct?
(a) 1 only (a) 1 only
(b) 2 only (b) 2 only
(c) Both 1 and 2 (c) Both 1 and 2
(d) Neither 1 nor 2 (d) Neither 1 nor 2

8. With reference to the circular flow of 11. Which of the following is/are the major
income, consider the following: objectives of the Palna Scheme?
1. Flow of goods and services 1. To provide day-care facilities for
2. Payment of rent for land children (6 months to 6 years) of
3. Flow of wages for labour working mothers
How many of the above are considered as 2. To promote institutional deliveries.

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3. To monitor compliance of the Maternity
real flow?

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Benefit Act, 2017 for setting up creche
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facilities.
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(b) Only two

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Select the correct answer using the code

(c) All three
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given below.
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(d) None
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(a) 1 and 2 only

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(b) 2 only
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9. Consider the following statements regarding

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(c) 1 and 3 only

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the National Startup Advisory Council

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(d) 1, 2 and 3
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(NSAC):
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1. It was constituted by the Department for

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12. Which of the following statements best

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Promotion of Industry and Internal

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describes the Capital Conservation Buffer?

Trade.
(a) It is the additional capital which
2. NSAC advises the Government on
corporates must set aside to repay the
measures needed to build a strong
debt amount.
ecosystem for nurturing innovation and
(b) it is the additional funds which the
startups in the country.
government keeps to face the fiscal
3. The Council is headed by the Union
crisis situation.
Minister of Commerce and Industry. (c) It is the additional capital which banks
How many of the statements given above are are required to hold to withstand periods
correct? of stress.
(a) Only one (d) It is the reserve funds maintained by the
(b) Only two RBI to maintain exchange rate stability
(c) All three in case of a flight of capital from
(d) None domestic markets.
3 www.visionias.in ©Vision IAS
13. Consider the following subsidies: 16. With reference to the Reserve Bank of India
1. Food Subsidy (RBI), Minimum Reserve System is

2. Fertiliser subsidy (a) The minimum cash deposits that the

scheduled commercial banks have to
3. Petroleum subsidy
keep with the RBI.
Arrange the above subsidies in decreasing
(b) The minimum deposits that the
order of their value.
scheduled commercial banks have to
(a) 1-2-3 keep in the form of government
(b) 1-3-2 securities.
(c) 2-1-3 (c) The minimum reserve that RBI has to
(d) 3-2-1 maintain in the form of gold bullion and
foreign currencies.
(d) The minimum amount that RBI has to
14. What does "dynamic scoring" refer to in the
earmark for lending to the state
evaluation of fiscal policy proposals?
governments.
(a) Assessing the impact of policies on
multiple economic variables over time
17. Logistics Ease Across Different States
(b) Ignoring the potential long-term effects (LEADS) 2023 Report was released by

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of fiscal policies (a) NITI Aayog

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(c) Relying solely on historical data for (b) Ministry of Road Transport & Highways
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(c) Ministry of Consumer Affairs, Food and
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policy analysis
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Public Distribution
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(d) Avoiding the consideration of

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(d) Ministry of Commerce and Industry

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inflationary pressures
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18. 'Investors that provide to startup companies

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15. Consider the following statements regarding

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and small businesses that are believed to

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the Quarterly Employment Survey (QES):

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have long-term growth potential. It generally

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1. It is conducted by the National Sample comes from well-off investors, investment

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Survey Office (NSSO). banks and any other financial institutions.

2. It covers establishments with ten or However, it does not always take just a

more workers in certain major sectors of monetary form; it can be provided in the
form of technical or managerial expertise.'
the economy.
Which of the following types of investments
Which of the statements given above is/are
has been described by the passage given
correct?
above?
(a) 1 only (a) Angel Investment
(b) 2 only (b) Venture Capital
(c) Both 1 and 2 (c) Personal Investment
(d) Neither 1 nor 2 (d) Peer to Peer Lending
4 www.visionias.in ©Vision IAS
19. The term 'Zero Trust Authentication' (ZTA) 22. Recently, World Health Organization
was recently seen in the news in the context (WHO) has recognized Noma as a Neglected
of
Tropical Disease (NTD). In this context,
(a) nuclear missiles
(b) hypersonic glide vehicles consider the following statements regarding

(c) quantum communications Noma:

(d) cyber security 1. It is a severe gangrenous disease of the

liver and pancreas.

20. Consider the following indicators:
2. It is associated with extreme poverty,
1. Perceptions of corruption
2. Maternal Mortality Rate malnutrition, and poor access to
3. Labour Market Participation Rate sanitation.
4. Life Expectancy at Birth
Which of the statements given above is/are
How many of the above are considered in
correct?
computation of the Human Development
Index (HDI)? (a) 1 only
(a) Only one (b) 2 only
(b) Only two
(c) Both 1 and 2
(c) Only three

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(d) Neither 1 nor 2

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(d) All four ok
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21. In the context of National Asset 23. Consider the following statements regarding
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Reconstruction Company Limited

the union government's fiscal parameters in
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(NARCL), consider the following

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the last 5 years:

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statements:
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1. It would house bad loans of Rs.100 crore 1. The revenue expenditure has never been
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and above. more than 10% of GDP.

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2. It is the first asset reconstruction 2. The capital expenditure has never been
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company where private sector banks

more than 3% of GDP.
hold the majority of the ownership.
3. It will be capitalised through equity from 3. The non-tax revenue increased

banks and non-banking financial continuously.

companies. How many of the statements given above are
How many of the above statements are
correct?
correct?
(a) Only one
(a) Only one
(b) Only two (b) Only two
(c) All three (c) All three
(d) None
(d) None
5 www.visionias.in ©Vision IAS
24. In the context of national income 26. Consider the following statements regarding
accounting, consider the following extra-budgetary resources (EBR):
1. The repayment of the entire principal
statements:
and interest of EBR is done from the
Statement I: Money supply in an economy is
government budget.
an example of a stock variable. 2. It is excluded from the fiscal deficit
Statement II: Stocks are defined over a calculations but added to the total debt
period of time. of the government.
Which one of the following is correct in 3. State governments are not permitted to
make Extra Budgetary Borrowings.
respect of the above statements?
How many of the statements given above are
(a) Both Statement-I and Statement-II are
correct?
correct and Statement-II is the correct (a) Only one
explanation for Statement-I (b) Only two
(b) Both Statement-I and Statement-II are (c) All three
correct and Statement-II is not the (d) None

correct explanation for Statement-I

27. In the context of macroeconomics, marginal
(c) Statement-I is correct but Statement-II is
propensity to consume (MPC) refers to
incorrect (a) fraction of total additional income that

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(d) Statement-I is incorrect but Statement-II people use for consumption.

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is correct (b) fraction of total consumption that is
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incurred on basic necessities like food.
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(c) fraction of income that is put into

25. Consider the following statements regarding
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savings for future consumption.

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the Foreign Currency Non-Resident (Bank)

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(d) fraction of income that is incurred on

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(FCNR (B)) account:

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capital investment.
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1. FCNR(B) accounts can be opened by

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28. Consider the following statements regarding

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both NRIs and Overseas Corporate

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Bodies with an authorized dealer. the United Nations Convention against

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Corruption (UNCAC):
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2. Repatriation of funds in FCNR(B)

1. It is the only legally binding universal
accounts is permitted.
anti-corruption instrument.
3. Deposits in these accounts are not 2. The United Nations Office on Drugs and
included in India’s external debt Crime (UNODC) serves as the custodian
outstanding. of the Convention.
3. India has not signed the Convention.
Which of the statements given above is/are
How many of the statements given above are
correct?
correct?
(a) 1 only
(a) Only one
(b) 1 and 2 only (b) Only two
(c) 2 and 3 only (c) All three
(d) 3 only (d) None

6 www.visionias.in ©Vision IAS

29. Which of the following countries has 32. Consider the following statements regarding
the Toll-Operate-Transfer (TOT) Model:
recently withdrawn from the Organization of
1. The TOT model was designed to
the Petroleum Exporting Countries (OPEC)? encourage private participation in the
Highway sector.
(a) Nigeria
2. Under this model, national highways are
(b) Qatar given on short-term leases to private
entities.
(c) Libya
3. The TOT operator collects user fees
(d) Angola under the prescribed rates by NHAI.
How many of the statements given above are
correct?
30. Which of the following represents "built-in (a) Only one
(b) Only two
inflation"? (c) All three
(a) Inflation caused by external factors (d) None

(b) Inflation caused by changes in 33. In the context of finance, the term 'Total
government policies Expense Ratio' refers to
(a) the amount of capital required to
(c) Inflation resulting from automatic produce one unit of output.
increases in wages and prices (b) the loss of potential gain by selecting
one share of a company over another.

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(d) Inflation driven by speculative activities (c) the total costs associated with managing

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in financial markets ok
and operating a mutual fund.
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(d) the ratio of a bank's capital in relation to
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its risk weighted assets and current

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liabilities.
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31. Consider the following banks:

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1. Scheduled Commercial Banks 34. Consider the following statements regarding

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the Payments Infrastructure Development

2. Regional Rural Banks
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Fund (PIDF) Scheme:

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3. Urban Co-operative Banks 1. It aims to encourage the deployment of

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payment acceptance infrastructure such

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4. Small Finance Banks

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as physical Point of Sale (PoS)

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5. Local Area Banks terminals.

2. PIDF is governed through an Advisory
How many of the above are eligible to
Council and managed and administered
participate in the trading of Priority Sector by the Ministry of Finance.
3. Beneficiaries of the PM Vishwakarma
Lending Certificates (PSLC) through
Scheme have been incorporated as
Reserve Bank of India's E-Kuber platform? merchants eligible for deployment under
PIDF.
(a) Only two How many of the statements given above are
(b) Only three correct?
(a) Only one
(c) Only four (b) Only two
(d) All five (c) All three
(d) None
7 www.visionias.in ©Vision IAS
35. Consider the following statements: 38. What does the concept of "job polarization"
1. Bond price and bond yield are inversely in the labor market refer to?
related. (a) The simultaneous growth of high-skilled
2. Bond yield and interest rates are and low-skilled jobs, with a decline in
inversely related. middle-skilled jobs
3. Interest rates and bond prices are (b) The equal distribution of job
inversely related. opportunities across all skill levels
How many of the above statements are (c) The elimination of low-skilled jobs and
correct?
the expansion of high-skilled jobs
(a) Only one
(d) The cyclical nature of employment in
(b) Only two
the labor market
(c) All three
(d) None
39. Consider the following statements regarding
Gross capital formation:
36. Consider the following statements regarding
1. Gross capital formation is a part of the
surcharge and cess:
country's total expenditure which is not
1. Proceeds collected from both cess and
consumed but added to the nation's fixed
surcharge will be deposited in the
Consolidated Fund of India. tangible assets and stocks.

2. State governments in India cannot 2. It represents the excess of current

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impose any cess. income over current expenditure of

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3. Proceeds of the surcharge are kept as a various sectors of the economy.
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separate fund after being collected into Which of the statements given above is/are
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the Consolidated Fund of India. correct?

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How many of the statements given above are (a) 1 only

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correct? (b) 2 only

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(a) Only one (c) Both 1 and 2

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(b) Only two (d) Neither 1 nor 2

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(c) All three

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(d) None
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40. Consider the following statements regarding

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Windfall Tax:
37. Consider the following indexes: 1. It is imposed when companies increase
1. Physical Quality of Life Index prices in collaboration with other
2. Better Life Index
companies.
3. Gross National Happiness Index
2. It was recently imposed on the
4. Gender Inequality Index
pharmaceutical industry in India.
How many of the above are published by
Which of the statements given above is/are
United Nations Development Programme
correct?
(UNDP)?
(a) 1 only
(a) Only one
(b) 2 only
(b) Only two
(c) Both 1 and 2
(c) Only three
(d) All four (d) Neither 1 nor 2
8 www.visionias.in ©Vision IAS
41. Consider the following statements regarding 44. Consider the following statements with
the National Financial Reporting Authority respect to Inverted Duty Structure:
(NFRA): 1. Under this, the import duty on finished
1. It is a statutory body constituted under
goods is kept high, while import duty on
the Goods and Services Tax Act, 2017.
intermediate goods is kept low.
2. NFRA monitors and enforces
compliance with accounting standards 2. It adversely affects the domestic
and auditing standards manufacturing industries.
3. It also recommends accounting and Which of the statements given above is/are
auditing policies and standards to be correct?
adopted by companies.
(a) 1 only
Which of the statements given above are
(b) 2 only
correct?
(a) 1 and 2 only (c) Both 1 and 2
(b) 2 and 3 only (d) Neither 1 nor 2
(c) 1 and 3 only
(d) 1, 2 and 3 45. Consider the following statements regarding
Public Debt in India:
42. Consider the following statements regarding
1. The proportion of external liability in the
Operation Prosperity Guardian:
public debt of India is more than 10
1. It is a multinational security initiative

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launched by the USA. percent.

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2. It was launched to aid the safe 2. A major portion of the public debt of
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movement of ships in the South China India consists of marketable securities.
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Sea. Which of the statements given above is/are

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Which of the statements given above is/are

correct?
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correct?
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(a) 1 only
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(a) 1 only
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(b) 2 only
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(b) 2 only
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(c) Both 1 and 2 (c) Both 1 and 2

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(d) Neither 1 nor 2 (d) Neither 1 nor 2

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43. Consider the following statements in the 46. Which of the following is/are not included in
context of Banking Stability Index :
the Personal Income?
1. The index measures the level of
1. Corporation tax
interdependence of financial institutions
mainly banks. 2. Saving of private corporate sector
2. It is published by The Economist 3. Transfer income
Intelligence Unit. Select the correct answer using the code
Which of the statements given above is/are given below.
correct?
(a) 1 and 2 only
(a) 1 only
(b) 2 and 3 only
(b) 2 only
(c) 1 only
(c) Both 1 and 2
(d) Neither 1 nor 2 (d) 1, 2 and 3
9 www.visionias.in ©Vision IAS
47. In the context of economics, the 'Marginal 50. In the context of National Income
Accounting, consider the following
Productive Theory' deals with which of the
territories:
following four factors of production? 1. Fishing vessels operated by the residents
of India in the international waters
(a) Labour
2. Military establishments of India located
(b) Land in other countries
3. Embassies and consulates of a foreign
(c) Capital
country located in India
(d) Entrepreneurship 4. Offices of international organisations
located in India
How many of the above constitute the
48. Which of the following best describes the domestic territory of India?
term Base effect? (a) Only one
(b) Only two
(a) It refers to the contribution of price (c) Only three
changes in the previous year to the (d) All four

current change in inflation.

51. During a liquidity trap, what step might be
(b) It is the impact of the surge in demand taken when traditional monetary policy is
ineffective?
due to rapid economic growth.

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(a) Lowering interest rates further

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(c) It refers to the effect of increasing ok
(b) Increasing government spending
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(c) Selling government bonds
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foreign investments on the economy

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(d) Imposing capital controls

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(d) None of the above

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52. Consider the following statements regarding

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the National Sports Awards:

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49. Which of the following acts are

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1. Major Dhyan Chand Khel Ratna Award

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is given to honor sportspersons who

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recommended as per the Clean Note Policy

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continue to contribute to the promotion

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of the RBI? of sports events even after their

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1. Write/put rubber stamps retirement.

2. The Arjuna Award is given for showing
2. Staple the banknotes qualities of leadership, sportsmanship,
3. Use banknotes for making garlands/toys and a sense of discipline.
3. The Dronacharya Award is given to
Select the correct answer using the code coaches for doing outstanding and
given below. meritorious work.
How many of the statements given above are
(a) 1 and 2 only
correct?
(b) 1, 2 and 3 (a) Only one
(b) Only two
(c) 1 only
(c) All three
(d) None (d) None
10 www.visionias.in ©Vision IAS
53. Consider the following statements regarding 55. Consider the following:

Tax Inspectors Without Borders (TIWB) Statement I: Intermediate goods are not
included in the calculation of national
program:
income.
1. The initiative enables the sharing of tax
Statement II: The inclusion of intermediate
audit knowledge and skills with tax goods in national income will lead to the
administrations in developing countries. problem of double counting.

2. It is a joint initiative of the Organisation Which one of the following is correct in

respect of the above statements?
for Economic Co-operation and
(a) Both Statement-I and Statement-II are
Development (OECD) and the United
correct and Statement-II is the correct
Nations Development Programme
explanation for Statement-I
(UNDP). (b) Both Statement-I and Statement-II are
Which of the statements given above is/are correct and Statement-II is not the

correct? correct explanation for Statement-I

(c) Statement-I is correct but Statement-II is
(a) 1 only
incorrect
(b) 2 only
(d) Statement-I is incorrect but Statement-II

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(c) Both 1 and 2 is correct
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(d) Neither 1 nor 2
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56. Recently, RBI has released a draft

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framework on Self-Regulatory Organisations

54. A Small Finance Bank:
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(SROs). In this context, consider the

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1. should have minimum equity paid-up

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following statements:
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capital of 500 cr. 1. SROs are government organizations that

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2. is required to extend 75 percent of its sets and enforces rules and standards
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Adjusted Net Bank Credit (ANBC) to relating to the conduct of its member
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entities.
Priority Sector Lending sectors.
2. Entities intending to function as an SRO
3. should have 25% of branches in
shall be set up as a not-for-profit
unbanked areas
company registered under the
Which of the statements given above are Companies Act, 2013
correct? Which of the statements given above is/are

(a) 1 and 2 only correct?

(a) 1 only
(b) 2 and 3 only
(b) 2 only
(c) 1 and 3 only
(c) Both 1 and 2
(d) 1, 2 and 3 (d) Neither 1 nor 2
11 www.visionias.in ©Vision IAS
57. Which of the following is/are the merits of 60. In the context of the banks, Provisioning
Direct Taxes? Coverage Ratio is calculated by:
1. They are progressive in nature. (a) dividing the total value of the bank's
2. They factor in the impact of externalities provisions for bad loans by the total
in the calculation of tax rates. value of its non-performing assets.
3. They act as a tool to control inflation. (b) dividing the bank's capital by its total
Select the correct answer using the code risk-weighted assets.
given below. (c) dividing a bank's total loans by its total
(a) 1 and 2 only deposits.
(b) 2 only (d) dividing a bank's operating expenses by
(c) 1 and 3 only its operating income.
(d) 1, 2 and 3
61. Consider the following statements with
58. Consider the following statements: respect to indicators of the Indian Stock
1. Sand is classified as a major mineral market i.e. Sensex and Nifty:
under the Mines and Minerals 1. Sensex is an index of the top 50
(Development and Regulations) Act, of companies traded on the Bombay stock
1957. exchange while Nifty is an index of the
2. Administrative control over sand mining top 30 companies traded on the National

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vests with respective State Stock Exchange.

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Governments. ok
2. For Sensex, the base year is 1978-79
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Which of the statements given above is/are whereas for the Nifty base year is 1995.
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correct? Which of the statements given above is/are

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(a) 1 only correct?

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(b) 2 only
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(a) 1 only
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(c) Both 1 and 2

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(b) 2 only
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(d) Neither 1 nor 2 (c) Both 1 and 2

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(d) Neither 1 nor 2

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59. If there is excess demand for certain

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products in the market leading to their high 62. The Legal Entity Identifier (LEI) is a global
prices, the central bank can increase the reference number that uniquely identifies
down payment and reduce the number of every legal entity or structure that is party to
installments of repayment of such credit. a financial transaction, in any jurisdiction.
This mechanism of the central bank to check The issuance of LEI in India is under the
inflation most likely represents the use of purview of:
which of the following qualitative tools (a) The Clearing Corporation of India
under Monetary Policy?
Limited
(a) Rationing of credit
(b) The Reserve Bank of India
(b) Margin Requirements
(c) Registrar of Companies, Ministry of
(c) Direct Action
Corporate Affairs
(d) Regulation of consumer credit
(d) National Payments Corporation of India
12 www.visionias.in ©Vision IAS
63. In the context of the economy, what do you 65. Which of the following is not an advantage

understand by the term shadow banking? of buy-back of G-Secs by the Government of

(a) It refers to an illegal foreign exchange India?

market where trading of currency (a) It allows the government to extend the

happens outside the conventional maturity date of outstanding G-Secs.

banking system. (b) It increases liquidity in the secondary G-

(b) It refers to provisions of accessing secs market.

banking related services without actually (c) It reduces the gross fiscal deficit of the

going to the bank branch. Central Government in the current year.

(c) It refers to the non bank financial (d) It eases the redemption pressure on the

intermediaries that provide services government in the immediate following

similar to those of traditional year.

commercial banks.

(d) It is a term coined to denote the crony 66. Consider the following statements :

capitalism in banks that provide loans to Statement I: Cyclical unemployment tends to

kith and kin of politicians and business rise during economic downturns.

om
.c
conglomerates. Statement-II: Cyclical unemployment is
ok
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ou

associated with fluctuations in the business

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ta

64. Consider the following statements regarding cycle, and during recessions, businesses may
eh
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Net Factor Income from Abroad (NFIA): cut back on hiring, leading to higher
ar
m
ku

1. It is the difference between the factor unemployment rates.

l.
hi
ik

income earned by a country from abroad Which one of the following is correct in
rn
fo

and the factor income paid by a country respect of the above statements?
y
nl
O

to the rest of the world. (a) Both Statement-I and Statement-II are

2. NFIA will be positive when the factor correct and Statement-II is the correct

income earned from abroad is less than explanation for Statement-I

the factor income paid to abroad. (b) Both Statement-I and Statement-II are

Which of the statements given above is/are correct and Statement-II is not the

correct? correct explanation for Statement-I

(a) 1 only (c) Statement-I is correct but Statement-II is

(b) 2 only incorrect

(c) Both 1 and 2 (d) Statement-I is incorrect but Statement-II

(d) Neither 1 nor 2 is correct

13 www.visionias.in ©Vision IAS
67. Consider the following items : 70. Consider the following:
1. Dividends and profits earned from 1. Currency (notes and coins)

PSU’s 2. Net demand deposits held by

commerical banks
2. Disinvestment receipts
3. Net time deposits of commerical banks
3. Provident funds
4. Total deposits with Post Office savings
4. Revenue earned from direct taxes such organisations (excluding National
as income tax Savings Certificates)
How many of the above are included in the Which of the above form components of
Consolidated Fund of India? broad money?
(a) 1 and 3 only
(a) Only one
(b) 2 and 3 only
(b) Only two
(c) 1, 2 and 4 only
(c) Only three
(d) 1, 2, 3 and 4
(d) All four
71. Which of the following terms best described
68. Which of the following statements best Angel Tax, sometimes seen in the news?
describes the situation of “debt overhang”? (a) Tax imposed on unlisted companies
exclusively financed by foreign
(a) A situation in which a debt is difficult or
companies.
impossible to repay because of high-
(b) Tax imposed on foreign imports to

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interest rates.

.c
protect local business and market.
(b) A situation where all current income ok
(c) Income tax payable on capital raised by
tlo
ou

gets used up in repaying the unlisted companies via issue of shares.

@
ta

accumulated debt. (d) Taxes imposed on capital flows from tax

eh

havens.
.m

(c) A situation in which underlying debt is

ar
m

written off the balance sheet due to the

ku

72. In the context of the Indian Financial System

l.
hi

liquidation of borrowers.
Code (IFSC), consider the following
ik
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(d) None statements:

fo
y

1. It is an alpha-numeric code that uniquely

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69. Which of the following are the functions of identifies a bank branch participating in
Money? the NEFT system.

1. Store of Value 2. It’s an 11-digit code with the first 4

alpha characters representing the branch,
2. Unit of Accounting
and the last 6 characters representing the
3. Medium of exchange
bank.
Select the correct answer using the code 3. There must be a zero in the code.
given below. How many of the above statements are
(a) 1 and 2 only correct?
(b) 2 and 3 only (a) Only one
(b) Only two
(c) 1 and 3 only
(c) All three
(d) 1, 2 and 3
(d) None
14 www.visionias.in ©Vision IAS
73. What is the difference between Net National 76. Consider the following countries :
Product at Market Price and Gross National 1. Japan
2. India
Product at Market Price?
3. USA
(a) Net Factor Income from abroad
In terms of General Government debt to
(b) Depreciation GDP ratio arrange the above countries in
(c) Net Indirect Taxes decreasing order:
(d) Indirect Taxes and Subsidies (a) 1-3-2
(b) 2-1-3
(c) 1-2-3
74. Consider the following statements regarding
(d) 3-1-2
the UPI Tap and Pay facility:
1. UPI Tap and Pay facility can initiate 77. Consider the following statements
payments without the need for a quick regarding Bear Market:
response (QR) code. 1. It is a market that is on the rise.
2. In a bear market, investors rush to sell
2. It utilises Bluetooth technology to
their stocks instead of buying.
capture details about a payee’s UPI ID.
3. During it the country's economy is
Which of the statements given above is/are strong and employment levels are high.

om
correct? Which of the statements given above is/are

.c
(a) 1 only correct? ok
tlo
(a) 1 only
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(b) 2 only
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(b) 2 only
ta

(c) Both 1 and 2

eh

(c) 1 and 3 only

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(d) Neither 1 nor 2

(d) 1, 2 and 3
ar
m
l.ku
hi

75. Consider the following statements: 78. Consider the following statements with
ik
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1. Shares are debt instruments issued by a respect to the RBI Prompt Corrective Action
fo
y

(PCA) Framework:
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company with a fixed rate of interest.

O

1. RBI may allow PCA banks to incur

2. Shareholders do not get any right to vote
capital expenditure only to upgrade
in company's general meetings. technology.
3. Shares are considered riskier 2. Urban Cooperative banks fall under the
investments compared to the debentures. regulatory framework of Prompt
Corrective Action (PCA).
How many of the above statements are
Which of the statements given above is/are
correct?
correct?
(a) Only one (a) 1 only
(b) Only two (b) 2 only
(c) All three (c) Both 1 and 2

(d) None (d) Neither 1 nor 2

15 www.visionias.in ©Vision IAS
79. Which one of the following best describes 82. In the context of Indian defence sector,
the aim of the Reserve Bank of India (RBI) - Project 15B is associated with development
Retail Direct Scheme? of
(a) Providing financial restructuring of large
(a) stealth guided-missile destroyer
debted projects by allowing the bank's
(b) nuclear powered submarines
lender in acquiring equity of the stressed
(c) nuclear powered aircraft carrier
project.
(d) advanced medium combat aircraft
(b) Regulating retail inflation by directly
linking repo rates to bank rates.
(c) Improving the grievance redress 83. Consider the following items of expenditure

mechanism for resolving customer with respect to the Union government (in

complaints against RBI's regulated 2021-22):

entities. 1. Defence
(d) Providing a one-stop solution to 2. Pensions
facilitate investment in Government 3. Education
Securities by individual investors.
4. Interest payments

Arrange the above items in decreasing order.

om
80. Which of the following is not a transfer

.c
(a) 2-4-1-3 ok
tlo
payment?
ou

(b) 1-4-2-3
(a) Public health insurance
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(c) 4-1-2-3
eh

(b) Old age pension

.m

(d) 4-1-3-2
ar

(c) Unemployment allowance

m
ku

(d) Corporate bailouts

l.
hi
ik

84. Which of the following are considered as

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81. Consider the following statements regarding leakages from the circular flow of income?
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nl
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the Cost Inflation Index: 1. Saving by households

1. It is notified by the National Sample
2. Investment
Survey Office(NSSO) every year.
3. Spending on imports
2. It is used for the computation of long-
4. Government spending
term capital gain.
Select the correct answer using the code
Which of the statements given above is/are
given below.
correct?
(a) 1 only (a) 1 and 2 only

(b) 2 only (b) 2 and 4 only

(c) Both 1 and 2 (c) 1 and 3 only

(d) Neither 1 nor 2 (d) 3 and 4 only
16 www.visionias.in ©Vision IAS
85. Consider the following statements regarding 88. Consider the following statements:
fiscal deficit trends in India in the last 10 Statement I: Banks generally keep the
years: reserve deposit ratio low.
1. Fiscal Deficit was the highest in the year Statement II: Keeping reserves is costly for
2020-21. banks.
Which one of the following is correct in
2. It has never been less than 3 percent of
respect of the above statements?
GDP.
(a) Both Statement I and Statement II are
Which of the statements given above is/are
correct and Statement II is the correct
correct? explanation for Statement II.
(a) 1 only (b) Both Statement I and Statement II are
(b) 2 only correct and Statement II is not the
(c) Both 1 and 2 correct explanation for Statement I.
(d) Neither 1 nor 2 (c) Statement I is correct but Statement II is
incorrect.
86. Consider the following statements regarding (d) Statement I is incorrect but Statement II
Minimum Alternate Tax: is correct.
1. It was first introduced through the
89. Consider the following statements regarding
Special Economic Zones Act, of 2005.
the PACE Mission:
2. It cannot be imposed on companies that
1. The mission aims to study the
are a unit of the International Financial

om
atmosphere of Mars.

.c
Services Centre and deriving its income 2. The PACE Mission was being developed
ok
tlo
solely in convertible foreign exchange. by NASA.
ou

Which of the statements given above is/are Which of the statements given above is/are
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ta

correct? correct?
eh
.m

(a) 1 only (a) 1 only

ar

(b) 2 only
m

(b) 2 only
ku

(c) Both 1 and 2

l.

(c) Both 1 and 2

hi
ik

(d) Neither 1 nor 2 (d) Neither 1 nor 2

rn
fo
y

90. With reference to secondary markets,

nl

87. Consider the following passage:

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consider the following statements :

It is an group of islands that extends from
1. In the secondary market, the sale and
Kamchatka Peninsula (Russia) to Hokkaido
purchase of existing or second-hand
Island (Japan). It separates the Sea of securities take place.
Okhotsk from the Pacific Ocean. Russia and 2. The price of securities in a seconday
Japan both assert sovereignty over this market is fixed by the management of
region. the company issuing them.
Which of the following is being described in Which of the statements given above is/are
the above given passage? correct?
(a) Paracel Islands (a) 1 only
(b) Chagos Islands (b) 2 only
(c) Spratly Islands (c) Both 1 and 2
(d) Neither 1 nor 2
(d) Kuril Islands
17 www.visionias.in ©Vision IAS
91. Consider the following statements regarding 94. With reference to the Spot Exchanges,
the Antarctic Circumpolar Current (ACC): consider the following statements:
1. These are trading platforms which
1. Antarctic Circumpolar Current is the
facilitate purchase and sale of specified
only current that flows completely
commodities.
around the globe.
2. NCDEX Spot Exchange Limited is the
2. It is driven by strong easterly winds. only spot exchange currently operating
How many of the statements given above are in the country.
correct? Which of the statements given above is/are
correct?
(a) 1 only
(a) 1 only
(b) 2 only
(b) 2 only
(c) Both 1 and 2
(c) Both 1 and 2
(d) Neither 1 nor 2 (d) Neither 1 nor 2

92. What is the concept of the "lump of labor 95. With reference to "Income elasticity of
demand", which of the following statements
fallacy" in the context of employment?
is/are correct?
(a) The belief that the total amount of work
1. Normal goods have a positive income
available in an economy is fixed
elasticity of demand.

om
(b) The idea that workers should be paid

.c
2. Inferior goods have a negative income
ok
tlo
based on the quantity of work they elasticity of demand.
ou

produce Select the correct answer using the code

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ta

given below.
eh

(c) The notion that technology always leads

.m

(a) 1 only
ar

to increased employment
m

(b) 2 only
ku

(d) The concept that labor is the only factor

l.

(c) Both 1 and 2

hi
ik

of production (d) Neither 1 nor 2

rn
fo
y
nl

96. How many of the following are not eligible

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93. Which of the following is/are part of

'production tax'? to be identified as a Social Enterprise to be
listed on the Social Stock Exchange (SSE)?
1. Stamps and registration fees
1. For-profit social enterprises
2. Goods and Services Tax
2. Corporate foundations
3. Tax on profession 3. Political or religious organizations
Select the correct answer using the code 4. Trade associations
given below. Select the correct answer using the code

(a) 1 and 2 only given below.

(a) Only one
(b) 2 and 3 only
(b) Only two
(c) 1 and 3 only
(c) Only three
(d) 2 only (d) All four
18 www.visionias.in ©Vision IAS
97. Consider the following statements regarding 99. With reference to the Nidhi Company,
the Akash Weapon System: consider the following statements:
1. It is a short range air to air missile
1. They are created mainly to cultivate the
system.
habit of savings amongst their members.
2. The weapon system can simultaneously
2. They can lend money to both their
engage multiple targets at short ranges.
Which of the statements given above is/are members and nonmembers.

correct? 3. They are regulated by the Ministry of

(a) 1 only Corporate Affairs (MCA).
(b) 2 only Which of the statements given above are
(c) Both 1 and 2
correct?
(d) Neither 1 nor 2
(a) 2 and 3 only
(b) 1 and 2 only
98. Which of the following best defines the
Anchor Investors? (c) 1 and 3 only

(a) High Net Worth Individuals (HNWI) (d) 1, 2 and 3

who invest their own money into start-
ups. 100. London Interbank Offered Rate (LIBOR)
(b) An individual who works as part of a

om
refers to the rate at which

.c
financial institution and is concerned ok
(a) European banks sell foreign currencies
tlo
with raising capital for corporates.
ou

to its customers.
@

(c) A company that deals mostly in

ta

(b) world’s leading banks lend money to

eh

international finance, business loans for

.m

Corporates.
ar

companies and underwriting.

m
ku

(d) Institutional investors who are offered (c) British banks lend money to its
l.
hi

shares in an Initial Public Offering (IPO)

ik

international customers.
rn

a day before the offer opens.

fo

(d) world’s leading banks charge each other

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for short-term loans.

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