IASbaba’s 60 Day Plan- Prelims Test 2017 Economics and Current Affairs [Day 22]

Hello Friends

So, here we are with the 22th Day of 60 Days Plan. It is the third edition of 60 Days program but seems like the first one because of the excitement involved everywhere, including us 🙂

We are equally excited and pumped. Our Team is working hard to make you realize your dream. Do not take it insincerely and let us down. Your faith and participation has to be in sync with the amount of hard work and effort we do.

Let us pledge to make it a big game changer (better than last year) in the next 60 days!

Importance of Self – Tracking: Learning from Last Year

Last year, aspirants used to comment their answers in the comment box on daily basis. There were huge participation in discussion. Putting answers in comment box has been very effective to self track yourself after updating the score. In the end you can cross check your performance through disqus profile.

It was highly effective in the last edition of 60 Days that propelled aspirants to monitor their performance and learn through discussion. Let you solve these questions with full honesty and write your result in the comment box. Interact with peers to know your mistakes.

The importance of this initiative stands time bound and aggressive reverse engineering to learn the concepts. Many of you must be busy with your own strategy but let us tell you honestly that in the last two months, it is very important to revise and consolidate your learning. Just reading won’t suffice.

So, take out few hours from your schedule and make it a revision exercise.

How you can make the best use of it?

Be honest to your effort and do not start competing with XYZ aspirants here just for the sake of marks. It is more important for you to introspect and check your learning than focusing on others. Try to answer the questions in 20 minutes only. 

Do not get into negative feeling that I don’t have enough knowledge to answer these questions. Feel like you are taking the real exam. What would be your response then?

The same will be replicated in UPSC exam. Here, you get marks only and nothing else matters. So make effort to know the answers of all questions. Do not cheat 😛

Baba’s Gyan for REVISION

Many of you, almost all, asks about effective revision strategy! Can there be any?

Let us tell you something Baba does 😀 

You guys study a lot and there is no issue with the hard work that has been put in. But when it comes to input-output comparison, your performance is questionable.

What to do?

Just do this for a Week: Go to bed before stipulated time of your sleep, at least 1 hour before. Close your eyes and try to relax your mind. You should attain full comfort and calmness.

Do this on the First Day: Imagine the full story of a recent movie that you have watched. Try to recollect from starting to end. See, whether you are able to depict the clear picture or not!

Now, do the same for everything you learnt from morning specially the ones you struggled with. Since it is fresh, most of the things should flow into your mind smoothly. Check what is your recollecting capacity.

For example, if you prepared Polity Day 2: Topics- Try to collect all important concepts and learning of the day.

Trust us, this exercise if done with sincerity will give you immense confidence as well as boost your performance. There is no ideal time for revision and there cannot be any specific date put for it, as commonly done.

This will always expose your weaknesses the very same day and if you tend to forget something, can always get back to consolidate and cement it.

REPEAT IT FOR A WEEK & SEE THE MAGIC 😀 

Must to Do: Read the detailed article regarding Micro Analysis Matrix and follow the guidelines- Click Here

Try to hold your nerves and learn to control the temptation. This is very important art to learn and implement!

Are you ready? Let’s start

[Day 22]: ECONOMICS & CURRENT AFFAIRS 

ARCHIVES

Q.1) Consider the following statements with reference to the recently launched India Post Payment Bank (IPPB)

1. It can accept both Term Deposits and Demand Deposits
2. The maximum loan that can be provided to a customer is one lakh rupees

Which of the above statements is/are correct?

1. 1 only
2. 2 only
3. Both 1 and 2
4. Neither 1 nor 2

Q.2) Consider the following statements with reference to the Small Finance Banks

1. They can be started with a minimum paid up capital of ?100 Crores
2. They can accept demand deposits and provide loans
3. 50% of their Net credit should be set aside to meet the Priority Sector Lending targets

Which of the above statements is/are correct?

1. 1 and 2 only
2. 2 and 3 only
3. 1 and 3 only
4. All of the above

Q.3) Recently Strategic Debt Restructuring Scheme was in news, consider the following statements with respect to the SDRC

1. Under this scheme the loan outstanding by a company to the Bank will be converted into equity
2. Banks will acquire the majority ownership in the debtor company

Which of the above statements is/are correct?

1. 1 only
2. 2 only
3. Both 1 and 2
4. Neither 1 nor 2

Q.4) Consider the following statements about the reverse repo rate

1. It is an interest rate at which the Banks deposit their cash with the RBI
2. If reverse repo rate is increased the bank’s lending rates to customers will also increase

Which of the following statements is/are incorrect?

1. 1 only
2. 2 only
3. Both 1 and 2
4. Neither 1 nor 2

Q.5) Consider the following statements with reference to the Cash reserve ratio (CRR)

1. It is a percentage of Bank’s Net time and Demand Liabilities that are kept with the RBI
2. CRR deposits earn interest at the rate which is equal to reverse repo rate.

Which of the above statements is/are correct?

1. 1 only
2. 2 only
3. Both 1 and 2
4. Neither 1 nor 2

Q.6) RBI uses variety of Qualitative and Quantitative tools to control the Credit creation in the economy, in this regard which of the following is not a Quantitative tool?

1. Reserve ratio requirements
2. Regulating the Bank rate
3. Setting margin requirements for different sectors
4. Regulating the repo rate

Q.7) Consider the following statements with reference to the MUDRA Bank

1. It will provide long term loans directly to the small scale enterprises
2. It will be the regulator of all Micro Finance Institutions in the country

Which of the above statements is/are correct?

1. 1 only
2. 2 only
3. Both 1 and 2
4. Neither 1 nor 2

Q.8) which of the following statements with respect to Marginal Standing Facility is incorrect?

1. Under this scheme all the banks can borrow money from RBI for 1 day
2. The minimum loan request has to be 1 crores and multiples there of
3. Banks can borrow 1% of their Net time and Demand Liabilities
4. Interest rate of repo rate plus one percent will be charged by the RBI

Q.9) If RBI reduces the CRR requirements, which of the following are most likely to happen?

1. Inflation will increase because of increased money supply
2. Interest rates will increase because of decrease in the money supply.
3. Interest rates on consumer loans will come down

Which of the above statements is/are correct?

1. 1 and 2 only
2. 2 and 3 only
3. 1 and 3 only
4. All of the above

Q.10) The Reserve Bank of India (RBI) acts as a bankers’ bank. This would imply which of the following?

1. Banks keep their deposits with the RBI
2. RBI provides loans to banks whenever they are in need
3. It rediscounts the Bills of exchange

Choose the correct answer using the codes given below.

1. 1 and 2 only
2. 2 and 3 only
3. 1 and 3 only
4. All of the above

Q.11) Recently Monetary Policy Committee (MPC) was in the news, in this regard consider the following statements

1. It will have six members including the RBI Governor who will be the Chairman
2. All the members of MPC will hold office for a 5 year term

Which of the above statements is/are correct?

1. 1 only
2. 2 only
3. Both 1 and 2
4. Neither 1 nor 2

Q.12) Consider the following statements with reference to the Payment Banks

1. They can issue Debit cards but cannot issue Credit Cards
2. They are exempted from the CRR and SLR requirements
3. The main objective of establishing the payment banks is to further Financial Inclusion

Which of the above statements is/are correct?

1. 1 and 2 only
2. 2 and 3 only
3. 1 and 3 only
4. All of the above

Q.13) Consider the following statements with reference to Sukanya Samruddhi Yojana

1. Main objective of the scheme is to cover the Higher education and Marriage expenses of the Girl Child
2. The Government will pay interest on the accounts opened under the scheme for 25 years

Which of the above statements is/are correct?

1. 1 only
2. 2 only
3. Both 1 and 2
4. Neither 1 nor 2

Q.14) Consider the following statements with reference to the Bharath QR code

1. It will work as a common interface for all the debit/credit card payments in the country
2. It is managed by the National payments corporation of India
3. It is one of the initiates of the GOI to promote cashless transactions

Which of the above statements is/are correct?

1. 1 and 2 only
2. 2 and 3 only
3. 1 and 3 only
4. All of the above

Q.15) Consider the following statements with reference to the Banks Board Bureau

1. It is a part of Indradhanush Mission to revamp the Public Sector Banks
2. The board will appoint the new Directors of the Public Sector Banks 

Which of the above statements is/are correct?

1. 1 only
2. 2 only
3. Both 1 and 2
4. Neither 1 nor 2 

Q.16) Ken-Betwa river linking project has become a stage for a unique man-animal conflict. The environmentalists fear that one of the tiger reserve/national park may get submerged. Which is the tiger reserve that we are referring to?

1. Panna
2. Pench
3. Kanha
4. Bandhavgarh

Q.17) Global Youth Development Index is released by

1. World Economic Forum
2. World Youth International
3. AIESEC
4. None of the above

Q.18) Consider the following statements about Pashupatinath temple

1. It is a UNESCO World Heritage site
2. It is built in the Nepalese pagoda style of architecture

Select the correct statements

1. Only 1
2. Only 2
3. Both 1 and 2
4. Neither 1 nor 2

Q.19) Which of the following is true about ‘Psyche’?

1. Saturn’s biggest moon
2. Largest metallic asteroid
3. A Kuiper belt object
4. None of the above

Q.20) Consider the following statements about Sentinelese tribe

1. They are the indigenous people of the Andaman Islands
2. They are not designated as scheduled tribe of India
3. They speak Jarawa language

Select the correct statements

1. 1 and 2
2. 2 and 3
3. Only 1
4. All of the above

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