Question : Assertion :- Interest rates, taxes, inflation, stock market indices, value of rupee, personal disposable income, unemployment rate etc, are the factors which affect the economic environment.
Reason :- The economic environment consists of an economic system, economic policies and economic conditions prevailing in a country.
Option 1: Both assertion and reason are true and reason is correct explanation of assertion.
Option 2: Both assertion and the reason are true but reason is not the correct explanation of assertion.
Option 3: Assertion is true but the reason is false.
Option 4:
Assertion is false but reason is true.
Correct Answer: Both assertion and reason are true and reason is correct explanation of assertion.
Solution :
Economic environment refers to all the forces and factors which directly influence the economy of your country. Economic environment includes Interest rates, taxes, inflation, stock market indices, value of rupee, personal disposable income, unemployment rate etc, are the factors which affect the economic environment.
Hence, option 1 is the correct answer.