IASbaba’s 60 Day Plan- Prelims Test 2017 Economics and Current Affairs [Day 34]

Hello Friends

So, here we are with the 34th 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 34]: ECONOMICS & CURRENT AFFAIRS 

ARCHIVES

Q.1) Which of the following is not a Money Market instrument?

1. Treasury Bills
2. Repurchase Agreements
3. Shares of a Company
4. Certificate of Deposit 

Q.2) Consider the following statements with reference to the Capital Markets

1. Capital Markets consists of long term borrowing and lending through bonds only
2. Secondary markets in India are regulated by the RBI

Which of the above statements is/are incorrect?

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

Q.3) Consider the following statements with reference to the Demutualization of the Stock exchanges

1. Demutualization means the separation of the ownership from the management in the day to day running of business
2. The Stock Exchanges that are association of persons are to be converted into a for-profit 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 with reference to SEBI

1. It regulates the trading of Shares in the Stock exchanges
2. It regulates the trading of Agricultural Commodities in Commodity exchanges

Which of the following statements is/are correct?

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 Foreign Direct Investment

1. FDI inflows are highly volatile as the capital can leave the country overnight
2. FDI is preferable over debt financing as it does not create interest obligations

Which of the following statements is/are correct?

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

Q.6) Consider the following statements about Foreign Portfolio Investment (FPI)

1. Returns in FPI are in the form of dividends and interest payments
2. Investment through FPI does not entail control of the management of the company
3. FPI is the passive holding of securities and other financial assets by a foreign firm

Which of the following 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.7) Consider the following statements with reference to the Start-up India Fund

1. It will provide early stage seed capital to the startups
2. RBI is the custodian of the Start-up India Fund

 Which of the following statements is/are correct?

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

Q.8) Consider the following statements with reference to the Venture capitalists (VCs)

1. They invest money collected from a pool of investors
2. They provide the seed capital to start a business
3. Investment by VCs can be either as debt or as equity

Which of the following 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.9) Consider the following statements with reference to Initial public offering (IPO)

1. IPO is the process through which the shares are sold to the public for the first time
2. Ones the shares are purchased by the general public they can be sold in the Stock Exchanges

Which of the following statements is/are correct?

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

Q.10) Consider the following statements with reference to Indian Depository Receipts (IDRs)

1. IDRs are used by the Indian companies to raise capital overseas
2. It is a derivative instrument with the shares of the issuing company as the underlying asset

Which of the following statements is/are correct?

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

Q.11) Consider the following statements with reference to P-notes

1. P-notes provide foreign investors an opportunity to invest in Indian stock markets
2. Since the identity of the investor is not revealed, it can be used for Money laundering

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.12) Consider the following statements with reference to “Rights Issue”

1. In rights issue, the existing shareholders are given the first right to additional shares
2. In rights issue, the existing shareholders are issued additional shares for free

Which of the following statements is/are correct?

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

Q.13) Consider the following statements about Offer For Sale (OFS) issue

1. The primary aim of OFS is to raise additional capital to run an enterprise
2. The primary aim of OFS is to dilute the shareholding of the promoters

Which of the following 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 Preference Shares

1. Preference Shares are a combination of both debt and equity
2. Preference shareholders have preference over the common stock holders in case of winding up of business

Which of the following statements is/are correct?

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

Q.15) Recently the NITI Ayog has suggested Strategic Sale of nearly 22 PSUs, in this context consider the following statements with reference to Strategic Sale of PSUs

1. In Strategic Scale the government retains the Majority ownership of the company
2. In Strategic Sale the government’s stake is sold to the highest bidder

Which of the following statements is/are correct?

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

Q.16) Consider the following statements about Capital Gains

1. Capital gains tax can be defined as a source of custom and excise revenue
2. In case of Shares and equity mutual funds holding period of 36 months or more qualifies as ‘long-term capital gain’

Select the correct statements

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

Q.17) ______________ is the only Indian destination that features in The Association of British Travel Agents (ABTA) ’12 Destinations to Watch for this year’.

1. Kerala
2. Sikkim
3. Meghalaya
4. Rajasthan

Q.18) Consider the following statements about Socio Economic and Caste Census 2011 (SECC 2011)

1. It was the first-ever caste-based census since 1931 Census of India
2. Beneficiaries for Pradhan Mantri Awas Yojana – Gramin (PMAY – Rural) will be chosen according to data taken from the SECC 2011

Select the correct statements

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

Q.19) Consider the following statements about Financial Stability and Development Council (FSDC)

1. It is chaired by Governor of Reserve Bank of India
2. A sub-committee of FSDC is under the chairmanship of Finance Minister of India
3. Members of FSDC include the heads of PFRDA, SEBI and IRDA

Select the incorrect statements

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

Q.20) Consider the following statements about Pradhan Mantri Kaushal Vikas Yojana (PMKVY)

1. It enables NRIs and overseas scientific community to participate and contribute to R&D in India
2. It will be implemented through the National Skill Development Corporation (NSDC)

Select the correct statements

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

Q.21) Consider the following statements about The Credit Guarantee Fund Scheme for Micro and Small Enterprises (CGS)

1. It was launched to make available collateral-free credit to the micro and small enterprise sector
2. Only the new enterprises are eligible to be covered under the scheme
3. The Ministry of Micro, Small and Medium Enterprises, and Small Industries Development Bank of India (SIDBI), established a Trust named Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) to implement the Credit Guarantee Fund Scheme for Micro and Small Enterprises

Which of the following statements is/are correct?

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

Q.22) Agenda 2063 is concerned with

1. Sustainable Development Goals
2. African Union
3. World Fare Trade Organization
4. None of the above

Q.23) Consider the following statements about Lean Manufacturing Competitiveness Scheme

1. It is a component of National Manufacturing Competitiveness Programme (NMCP)
2. It is basically an initiative to reduce “waste” in manufacturing
3. National Productivity Council (NPC) was selected as National Monitoring and Implementing Unit (NMIU) for facilitating implementation and monitoring of the Scheme

Which of the following statements is/are correct?

1. 1 and 2
2. 2 and 3
3. 1, 2 and 3
4. 1 and 3

Q.24) ‘Mission 41K’ and ‘Mission Raftaar’ is concerned with

1. Ministry of Road Transport and Highways
2. Ministry of Power
3. Ministry of Railways
4. Both (a) and (c)

Q.25) Consider the following statements about Transports Internationaux Routiers (TIR)

1. It is the only global customs transit system that provides easy and smooth movement of goods across borders in sealed compartments or containers under customs control from the customs office of departure to the customs office of destination
2. All members of INSTC are signatories to TIR Convention 1975
3. The conventions were adopted under the auspices of the United Nations Economic Commission for Europe (UNECE)

Which of the following statements is/are correct?

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

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