BANKING Content

RBI Grade B 11 Oct 2009

Instructions

For the following questions answer them individually

Question 21

One of the key factors that provide impetus 10 strong growth is Interest Rates. How do interest rates contribute to the growth of economy particularly when these are lowered down ?
(A) It gives corporations the opportunity to prepay high cost debts and replace them with fresh funds raised at lower rates.
(B) Banks use this opportunity to maximize pro ts on their treasury operations and these excess pro ts are used to clean their Balance Sheets by making higher provisions for NPAs or sticky loans.
(C)The Govt. also gets benefited as it can borrow funds from open market at low interest rates and bridge its fiscal deficit.

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Question 22

The concept of - "Meeting the needs of present without compromising the ability of future generation to meet their needs", is generally known as the concept of______ .

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Question 23

Which of the following is NOT the component of India's Securities Market ?

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Question 24

Which of the following was/ were the objectives of the Competition Act 2002 ?
(A) To keep a check on unfair trade practices.
(B) To promote Govt. supported products/services in competition to those launched by private parties-
(C)To control the activities of the stock markets in India which are considered highly volatile.

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Question 25

Which of the following is/was NOT included in the agenda set for the Banking Reforms in India ?

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Question 26

Which of the following is the full form of the 'BRA' as used in banking field ?

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Question 27

As we all know Govt. of India pays special emphasis on management of Fiscal Deficit. What is Fiscal Deficit ?

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Question 28

An argument amongst the economists all over the world is going on, on the issue of imposing special taxes on goods and services whose prices do not reflect the true social cost of their consumption, for example, tax on polluting environment. Which of the following are the other examples of such taxes ?
(A) Duties on cigarettes
(B) Duties on alcohol
(C) Tax on gambling and lotteries
(D) Airport Tax

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Question 29

The presidential election of Iran held in June 2009 was contested between Mohd. Ahmedincjad and ______

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Question 30

The presidential and Provincial Council elections took place in which of the following countries in August
2009 ?

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