CURRENCY INFLATION MCQS SET 26

CURRENCY INFLATION MCQS SET 26

251) Who decides the volume and value of bank notes to be printed each year?
A) Ministry of Commerce and Trade
B) Finance Minister
C) Reserve Bank of India
D) EXIM Bank
Correct Answer: Reserve Bank of India
   
252) Primary gold is a gold of:
A) 20 carat
B) 21 carat
C) 22 carat
D) 24 carat
Correct Answer: 24 carat
   
253) All bank notes in India have a silver or green security band with inscriptions (visible when held against light) of:
A) Bharat in Hindi and “RBI” in English
B) India in Hindi and “RBI” in English
C) Hidustan in Hindi and “RBI” in English
D) Bharat Sarkar in Hindi and “RBI” in English
Correct Answer: Bharat in Hindi and “RBI” in English   
 
254) The Foreign Exchange Management Act (FEMA) was introduced in:
A) 1990
B) 998
C) 1999
D) 2002
Correct Answer: 998
   
255) The Foreign Exchange Management Act (FEMA) was introduced in:
A) 1990
B) 998
C) 1999
D) 2002
Correct Answer: 1999

256) The highest denomination of currency notes in circulation as legal tender in India is at present:
A) Rs.50
B) Rs.100
C) Rs.500
D) Rs.1000
Correct Answer: Rs.1000
   
257) The cause of inflation is:
A) increase in money supply and fall in production
B) increase in money supply
C) fall in production
D) decrease in money supply and fall in production
Correct Answer: increase in money supply and fall in production
   
258) Who among the following is most benefitted from inflation?
A) Government pensioners
B) Creditors
C) Savings Bank Account holders
D) Debtors I
Correct Answer: Debtors I
   
259) The situation with increasing unemployment and inflation is termed as:
A) hyperinflation
B) galloping inflation
C) stagflation
D) reflation
Correct Answer: stagflation
   
260) Which of the following factors contributes to an inflationary trend?
A) 15% fall in production of industrial goods
B) 15% increase in supply of money in the market
C) 15% increase in prices of agricultural products
D) none of these
Correct Answer: 15% increase in supply of money in the market