606: In the context of Indian economy, 'Open Market Operations' refers to
(a) borrowing by scheduled banks from the RBI
(b) lending by commercial banks to industry and trade
(c) purchase and sale of government securities by the RBI
(d) None of the above
Explanation:
Open market operations are the principal tools of monetary policy. It involves buying and selling of government securities in the open market in order to expand or contract the amount of money in the economy.
See NCERT book on Macroeconomics of class 12 at page 44
607: The economic cost of food grains to the Food Corporation of India is Minimum Support Price and bonus (if any) paid to the farmers plus
(a) transportation cost only
(b) interest cost only
(c) procurement incidentals and distribution cost
Explanation:
The economic cost of foodgrains consists of three components, namely the MSP including central bonus, if applicable, as the price paid to farmers, procurement incidentals, and the cost of distribution.
Source: https://frontline.thehindu.com/static/html/fl1706/17060980.htm
608: The upper part of the given graph is a hypothetical movement in the BSE Sensex over a few months and the lower part is the fluctuation in the average value of automobile shares in the same period (actual values not given).
Which one of the following inferences can be drawn from the graphs ?
(a) The automobile share market has been as unstable as BSE Sensex in that period
(b) There has been a major political change in June/July
(c) Automobile shares have shown a steady improvement in price, unaffected by large fluctuations in BSE Sensex
(d) None of the above
Explanation:
Automobile shares have shown a steady improvement in price, unaffected by large fluctuations in BSE Sensex
609: The supply-side economics lays greater emphasis on the point of view of
(a) producer
(b) global economy
(c) consumer
(d) middle-man
Explanation:
Supply side economics lays greater emphasis on the point of view of the producer whereas the demand side economics lays emphasis on the interest of the consumer.
610: Priority Sector Lending by banks in India constitutes the lending to
(a) agriculture
(b) micro and small enterprises
(c) weaker sections
(d) All of the above
Explanation:
Priority Sector Lending by banks in India constitutes:
1. agriculture
2. micro and small enterprises
3. micro credit to weaker section
4. Education
5. Housing
See page 374 of India Year book 2013 third paragraph - last two lines