MMTC Limited is India's largest international trading organization.

1.Consider the following statements:
1. MMTC Limited is India's largest international trading organization.
2. Neelachal Ispat Nigam Limited has been set up by MMTC jointly with the Government of Orissa. [UPSC 2009(CS-P)]
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
Answer: (c)
2.A “closed economy” is an economy in which [UPSC 2011 (CS-P)]
(a) The money supply is fully controlled
(b) Deficit financing takes place
(c) Only exports take place
(d) Neither exports nor imports take place
Answer: (d)
3.A great deal of Foreign Direct Investment (FDI) to India comes from Mauritius than from many major and mature economics like UK and France. Why? [UPSC 2010 (CS-P)]
(a) India has preference for certain countries as regards receiving FDI.
(b) India has doubled taxation avoidance agreement with Mauritius.
(c) Most citizens of Mauritius have ethnic identity with India and so they feel secure to invest India.
(d) Impending dangers of global climate change prompt Mauritius to make huge investment in India.
Answer: (b)
4.A rapid increase in the rate of inflation is sometimes attributed to the “base effect”. What is “base effect”?  [UPSC 2011 (CS-P)]
(a) It is the impact of drastic deficiency in supply due to failure of crops
(b) It is the impact of the surge in demand due to rapid economic growth
(c) It is the impact of the price levels of previous year on the calculation of inflation rate
(d) None of the statements (a), (b) and (c) given above is correct in this context
Answer: (c)
5.Among the following, who are the Agarea community? [UPSC 2009(CS-P)]
(a) A traditional toddy tappers community of Andhra Pradesh
(b) A traditional fishing community of Maharashtra
(c) A traditional silk-weaving community of Karnataka
(d) A traditional salt pan workers community of Gujarat
Answer: (d)
6.An objective of the National Food Security Mission is to increase the production of certain crops through area expansion and productivity enhancement in a sustainable manner in the identified districts of the country. What are those crops? [UPSC 2010 (CS-P)]
(a) Rice and Wheat only.
(b) Rice, wheat and pulses only.
(c) Rice, wheat, pulses and oil seeds only.
(d) Rice, wheat, pulses, oil seeds and vegetables.
Answer: (b)
7.As per the UN – Habitat’s Global Report on Human Settlement 2009, which one among the following regions has shown the fastest growth rate of urbanization in the last three decades? [UPSC 2010 (CS-P)]
(a) Asia
(b) Europe
(c) Latin America and Caribbean
(d) North America
Answer: (a)
8.As regards the use of international food safety standards as reference point for the dispute settlements, which one of the following does WTO collaborate with? [UPSC 2010 (CS-P)]
(a) Codex Alimentarius Commission.
(b) International Federation of Standards Users.
(c) International Organization for Standardization.
(d) World Standards Cooperation.
Answer: (a)
9.Both Foreign Direct Investment (FDI) and Foreign Institutional Investor (FII) are related to investment in a country. Which one of the following statements best represents an important difference between the two? [UPSC 2011 (CS-P)]
(a) FII helps bring better management skills and technology, while FDI only brings in capital
(b) FII helps in increasing capital availability in general, while FDI only targets specific sectors
(c) FDI flows only into the secondary market, while FII targets primary market
(d) FII is considered to be more stable than FDI
Answer: (b)
10.Consider the following actions by the Government:
1. Cutting the tax rates
2. Increasing the government spending
3. Abolishing the subsidies
In the context of economic recession, which of the above actions can be considered a part of the “fiscal stimulus” package? [UPSC 2010 (CS-P)]
(a) 1 and 2 only
(b) 2 only
(c) 1 and 3 only
(d) 1, 2 and 3
Answer: (a