Question : Which of the following are the parts of stabilization measure of new economic policy?
 

Option 1: Controlling inflation by keeping the rising prices under control.
 

Option 2: Improving efficiency of the economy.
 

Option 3: Increasing international competitiveness by removing the rigidities in various segments of the Indian Economy.
 

Option 4: All of the above.
 

Question : An increase in the nominal exchange rate can be caused by:

Option 1: Lower interest rates in the domestic economy.
 

Option 2: Higher inflation rates in the domestic economy.
 

Option 3: Lower inflation rates in the domestic economy.

Option 4: Government intervention in the foreign exchange market.

Question : In a managed exchange rate system, the central bank of a country may intervene to influence the exchange rate by buying or selling its currency in the foreign exchange market. This intervention is aimed at ________.

Option 1: maintaining price stability
 

Option 2: promoting economic growth
 

Option 3: controlling inflation

Option 4: managing trade imbalances

Question : Barter exchange is also known as
 

Option 1: C-C economy
 

Option 2: B-B economy
 

Option 3: D-D economy
 

Option 4: A-A economy
 

Question : Fill in the blanks-
_________ are the external assets held by the central bank for direct financing of external payment imbalance.
 

Option 1: Foreign exchange reserves
 

Option 2: Gold reserves
 

Option 3: Special drawing rights
 

Option 4: None of the above.