9.
Which of the following can be said about Asian
economies during the period form 2003-2007?
A.
Though inflation was rising at the time
politicians did not pay much attention.
B.
Many of the poor countries were able to compel
internationally.
C.
The growth rate of Asian countries was
facilitated by growth in advanced countries.
A.
All (A), (B) & (C)
B.
Only (A)
C.
Only (B)
D.
Both (A) & (B)
10.
Which of the following is not an anti- inflation
measure being used by Asian countries?
A.
Increase in benchmark interest rate by a central
bank.
B.
Checks n lending
C.
Subsidizing fuel for farmers.
A.
Only (C)
B.
Both (A) & (B)
C.
Both (B) & (C)
D.
Only (B)
11.
What makes it difficult for Asian countries to
control inflation?
A.
Restrictions by organizations like the Asian
Development Bank
B.
Governments are indecisive and adopt
counterproductive measure.
C.
The problem is global in nature not restricted
to their individual countries.
D.
Economic growth rate cannot occur in the absence
of inflation.
12.
Why are experts not very concerned about the
impact of inflation on Asian economies?
A.
Asian countries have not maintained substantial
hard currency reserves.
B.
The condition of Asian banks in currently both
stable and strong.
C.
The Asian Development Bank will bail them out of
any trouble.
A.
Only (A)
B.
Both (A) &(C)
C.
Both (A) & (B)
D.
Only (B)
13.
What is the author’s advice to politicians
regarding the handling of inflation?
A.
They should focus on preventing agitations among
their citizens not implementing anti-inflation measures.
B.
They ought to implement anti-inflation measures
even at the cost of losing office.
C.
They must focus on maintain high economic growth
rate as inflation will taper off on its own.
D.
Countries should handle the problem
independently and not collectively.
14.
What could the impact of stringent inflation
measures be?
A.
Increased consumption as families spend a larger
part of their income on essential goods.
B.
Politicians may be voted out of power.
C.
Economic growth rate remains constant
D.
Old prices within the country remain stable
despite high global prices.
15.
Why is high economic growth necessary for
developing countries?
A.
To catch up with the growth rate of the advanced
countries
B.
To sustain their economies despite the ill
effects of inflation
C.
To provide better educational opportunities to
their citizens.
D.
To create employment opportunities for citizens
16.
Why has inflation been referred to as a
“catastrophe”?
A.
Prices of essential commodities are unaffordable
for all.
B.
Our past efforts to reduce poverty will be
nullified
C.
Governments are unstable and do not take
stringent decisions
D.
It has divided countries rather than ensuring
co-operations among them
17.
Which of the following can be inferred from the
passage?
A.
Growth rate in advanced countries was low so the
effects of inflation were not felt.
B.
Closing the economy to global markets will
reduce inflation.
C.
India has been the most severely by inflation.
A.
None
B.
Only (A)
C.
Only (B)
D.
Both (B) & (C)
18.
Which of the following factors was responsible
for inflation in India?
A.
Reserve bank India razing the interest rates
very frequently.
B.
High population growth
C.
Sudden rise in prices of oil worldwide
D.
Reckless competition with china
Answer: