The following quiz will have 20 General Studies Multiple Chose Questions for West Bengal Civil Service preliminary exam and also helpful other competitive exams like State PSC (BPSC, JPSC, MPSC, OPSC, RPSC, PPSC, UPPSC etc.) exams, UPSC (CDS and NDA), Railway Recruitment Board (RRB) exams, Staff Selection Commission exams (CGL, CHSL and MTS) and other competitive exams.
Hope this quiz will be helpful to you all!
[B] External commercial borrowings
[C] Borrowing from RBI
[D] None of above
Correct Answer: [C] Borrowing from RBI
Explanation: Deficit financing is the budgetary situation where expenditure is higher than the revenue. It is a practice adopted for financing the excess expenditure with outside resources. The expenditure revenue gap is financed by either printing of currency or through borrowing.
Deficit financing is very useful in developing countries like India because of revenue scarcity and development expenditure needs. Various indicators of deficit in the budget are:
- Budget deficit = Total expenditure – Total receipts
- Revenue deficit = Revenue expenditure – Revenue receipts
- Fiscal Deficit = Total expenditure – Total receipts except borrowings
- Primary Deficit = Fiscal deficit – Interest payments
- Effective revenue Deficit = Revenue Deficit – Grants for the creation of capital assets
- Monetized Fiscal Deficit = The part of the fiscal deficit covered by borrowing from the RBI.
2. India is one among the few countries in the world having government held stock of food grains for which of the following reasons
[B] Price stabilization in case of crop failures
[C] Providing food grains under public distribution system
[D] All of the above
Correct Answer: [D] All of the above
3. Which of the following comprises of Revenue Expenditure?
1. Interest payment
2. Grants given to state governments
3. Expenses incurred for the normal functioning of the government
4. Loan given by the government
Select the correct answer using the code below
[B] 1, 2 and 3
[C] 2, 3 and 4
[D] All of the above
Correct Answer: [B] 1, 2 and 3
Explanation: An expenditure that neither creates assets nor reduces a liability is categorized as revenue expenditure e.g., salaries of employees, interest payment on past debt, subsidies, pension, etc. These are financed out of revenue receipts. Broadly, any expenditure which does not lead to any creation of assets or reduction in liability is treated as revenue expenditure.
If it creates an asset or reduces a liability, it is categorised as capital expenditure.
4. What does the ‘Velocity of money’ refer to?
[B] The number of times a unit money changes hands
[C] The velocity of consumption in an economy
[D] Money laundering in an economy
Correct Answer: [B] The number of times a unit money changes hands
Explanation: The velocity of money is a measurement of the rate at which consumers and businesses exchange money in an economy.
5. Which of the following not the secondary sector of economy?
[B] Transport
[C] Construction
[D] Electricity and Gas supply
Correct Answer: [B] Transport
Explanation: In general, economic activities are divided into eight different divisions. They are (a) Agriculture, (b) Mining & Quarrying, (c) Manufacturing, (d) Electricity, Gas and Water supply, (e) Construction, (f) Trade, (g) Transport & Storage and (h) Services. Further, all the persons engaged in these divisions can be clubbed into three major sectors – 1. Primary Sector which include (a); 2. Secondary Sector which includes (b), (c), (d) and (e) and 3. Service Sector which includes (f), (g) and (h).
6. Which of the following statement is correct?
[B] National income is always equal to Gross Domestic Product
[C] National income is always less than Gross Domestic Product
[D] National income may be less or more than Gross Domestic Product
Correct Answer: [D] National income may be less or more than Gross Domestic Product
Explanation: National income is Net National Product at factor cost. To calculate GDP we have to add Net Factor Income from abroad to arrive at GNP. From GNP we have to reduce depreciation and indirect taxes and add subsidies to arrive at NNP at factor cost. So if sum of NFIA and subsidies is greater than the sum of indirect taxes and depreciation, national income is more than GDP and vice versa.
7. Which of the following pairs is correctly matched?
[B] Tendulkar Committee – Capital Account Convertibility
[C] Urijit Patel Committee – Monetary Policy Reforms
[D] Kelkar Committee – Poverty Estimation
Correct Answer: [C] Urijit Patel Committee – Monetary Policy Reforms
Explanation: Tarapore Committee on Capital Account Convertibility, Tendulkar Committee on Poverty Estimation and Kelkar Committee on Revisiting & Revitalizing PPP.
8. Economic growth in India measured by GDP at
[B] Current market price
[C] Factor cost at constant price
[D] Factor cost at market price
Correct Answer: [A] Constant market prices
Explanation: Earlier Economic growth in India was measured as change in GDP at Factor Cost. From January, 2015, the MOPSI has changes in this with GDP at Constant market prices.
9. Which of the following Islands does Nine Degree Channel cut through?
[B] Amindivi Islands and Cannanore Islands
[C] Amindivi Islands and Minicoy Island
[D] Andrott Island and Minicoy Island
Correct Answer: [A] Cannanore Islands and Minicoy Island
Explanation: The Nine Degree Channel is a channel in the Indian Ocean between the Cannannore Islands( Kalpeni and Suheli) and Maliku Atoll of Minicoy Island.
10. Which one of the following is the type of plate boundary of the Indian plate along the Himalayan Mountains?
[B] Divergent boundary
[C] Transform boundary
[D] Continent-continent convergence
Correct Answer: [D] Continent-continent convergence
Explanation: The Indian plate includes Peninsular India and the Australian continental portions. The subduction zone along the Himalayas forms the northern plate boundary in the form of continent— continent convergence
11. The Indian states with the longest and shortest international borders are
[B] Rajasthan and Sikkim
[C] Jammu & Kashmir and Nagaland
[D] West Bengal and Punjab
Correct Answer: [C] Jammu & Kashmir and Nagaland
Explanation: Jammu and Kashmir has longest international border length of 3176 Km while West Bengal has second longest international border length of nearly 2510 Km (with Bangladesh). Indian state with smallest (least) international border length is Nagaland.
12. Sundarbans delta is formed by which of the following rivers?
[B] Yamuna and Brahmaputra
[C] Brahmaputra and Meghna
[D] Ganges and Brahmaputra
Correct Answer: [D] Ganges and Brahmaputra
Explanation: The Sundarbans mangrove forest, one of the largest such forests in the world (140,000 ha), lies on the delta of the Ganges, Brahmaputra and Meghna rivers on the Bay of Bengal.
13. If you intend to visit Majuli Island during your Puja Vacations, which one of the following States/Union Territories of you will be going to
[B] Lakshadweep
[C] Assam
[D] Manipur
Correct Answer: [C] Assam
Explanation: Majuli, located on the Brahmaputra River in Assam is the biggest river island in world.
14. Which of the following passes are the sister trade routes between India and China?
[B] Shipki La
[C] Lipulekh
[D] All of the above
Correct Answer: [D] All of the above
Explanation: Nathu La is one of the three open trading border posts between India and China; the other two being Shipkila in Himachal Pradesh and Lipulekh (or Lipulech) in Uttarakhand.
15. Among the following Union Territories of India, which one has the largest size?
[B] Lakshadweep
[C] Andaman & Nicobar Islands
[D] Chandigarh
Correct Answer: [C] Andaman & Nicobar Islands
Explanation: Andaman & Nicobar Islands is a group of islands and the largest union territory in India with an area of 8,249 sq km.
[B] Cyril Ramaphosa
[C] Scott Emerson
[D] Reginald Dunkins
Current Affairs January 2019
Correct Answer: [B] Cyril Ramaphosa
17. Who is the author of the book “We Are Displaced: My Journey and Stories from Refugee Girls around the World”?
[B] Malala Yousafzai
[C] Zia Jefferson
[D] Sandra Philip
Current Affairs January 2019
Correct Answer: [B] Malala Yousafzai
18. Who was appointed the new Chief Justice of Pakistan in January 2019?
[B] Justice Saqib Nisar
[C] Justice Askar Mujeeb
[D] Justice Isfaq Ameen
Current Affairs January 2019
Correct Answer: [A] Justice Asif Saeed Khosa
19. Which city has been named by United Nations Educational, Scientific and Cultural Organization (UNESCO) as the World Capital of Architecture for 2020?
[B] Rio de Janeiro, Brazil
[C] Kuala Lampur, Malaysia
[D] Johannesburg, South Africa
Current Affairs January 2019
Correct Answer: [B] Rio de Janeiro, Brazil
20. Which country introduced a new ‘GAFA tax’ named after Google, Apple, Facebook and Amazon to ensure that the companies pay a fair share of taxes in Europe in January 2019?
[B] Germany
[C] France
[D] Switzerland
Current Affairs January 2019
Correct Answer: [C] France