Crash Course Test- 2 - UPSC MCQ

Consider the following statements :
(1) Excess fiscal expansion can lead to “crowding-out of private investment”
(2) Helicopter drop is a special case of expansionary fiscal policy
Which of the above statements is/are correct?

Under the Indian Budget, as mentioned in Article 112, which of the following is an example of Non-Debt Creating receipts?

Arrange the following taxes in decreasing order of their contribution to government’s finances
(1) Corporate Tax
(2) GST
(3) Custom Duty
(4) Tax on Personal Income
Choose the correct option given below:

Consider the following statements :
(1) The ideal conditions for formation of dew are clear sky, calm air, high relative humidity and cold and long nights.
(2) The ideal conditions for formation of frost are completely the same as those for formation of dew.
Which of the above statements is/are correct?

Which of the following statements is/are correct about Coriolis Force?
(1) It is directly proportional to the gravitational force
(2) It acts perpendicular to the pressure gradient force
Select the correct answer using the code given below:

Which of the following statements is/are correct?
(1) Bora is a warm, dusty and dry local wind, which blows in the northerly direction from Sahara Desert to Italy.
(2) Mistral is a cold local wind, which blows in Spain and France.
(3) Sirocco is an extremely cold and dry north easterly wind, which blows along the shores of Adriatic Sea.
Select the correct answer using the code below:

Consider the following statements about BOP :
(1) Surplus in BOP increases a country’s FOREX reserves
(2) There is no requirement of reserve movements, if Current Account Deficit is entirely financed by Capital Account Surplus.
(3) Current and Capital Account transactions are also known as “below the line” items
Which of the above statements is/are correct?

Assertion : Increase in the international crude oil price, increases India’s Import bill
Reason : Crude Oil is an Inelastic good for India, and most of India’s crude oil requirements are met through Imports.
Select the correct option below :

Which of the following statements with respect to foreign trade in India is false?

Consider the following statements regarding convectional rainfall :
(1) It is very common in the equatorial regions.
(2) It is also known as the relief rain.
Which of the statements given above is/are correct?

Consider the following pairs regarding Local winds:
(1) Chinook - USA
(2) Foehn - Switzerland
(3) Harmattan - Europe
Which of the pairs given above is/are correctly matched?

Consider the following statements about type of volcanoes:
(1) Shield Volcanoes are mostly made up of Basalt
(2) Hawaiian Volcanoes are examples of Shield Volcanoes
(3) Composite volcanoes are characterised by eruptions of cooler and more viscous lavas than basalt.
Which of the above statements is/are correct?

Consider the following statements with regard to rock cycle:
(1) Rock cycle is a continuous process through which old rocks are transformed into new rocks
(2) Secondary rocks cannot be changed into primary rocks
Which of the above statements is/are correct?

Which one of the following statements appropriately describes “Fiscal Stimulus”?

Consider the following actions which the government can take :
(1) Devaluing the domestic currency
(2) Reduction in export subsidy
(3) Adopting suitable policies which attract greater FDI and more funds from FPI.
Which of the above actions can help reduce Current Account Deficit?

Which of the following is not a feature of Regional Rural Banks?

In which of the following countries, Lake Balkhash, situated in the land depression of tectonic origin, is located?

Consider the following statements about Bolivia :
(1) Bolivia shares Lake Titicaca with Peru
(2) It is a landlocked country
Which of the statements given above is/are correct?

Consider the following statements :
(1) The East African Rift is caused by the fracturing of the earth’s crust.
(2) The East African Rift System is marked by substantial volcanic activity; including lavas erupted from fissures, along the rift in the region.
Which of the above statements is/are correct?

Consider the following statements about Gran Chaco :
(1) The Gran Chaco Is an arid sub-tropical region of low forests and Savanna
(2) It its located in South Africa
Which of the above statements is/are correct?

Consider the following statements :
(1) Harry Hess proposed the “sea floor” spreading theory.
(2) He argued that the constant eruptions at the crest of the oceanic ridges cause the rupture of the oceanic crust and the new lava wedges into it, pushing the oceanic crust n either side
Which of the above statements is/are true ?

The price of any currency in international market is decided by the :
(1) World Bank
(2) Demand for goods/services provided by the country concerned
(3) Stability of the government of concerned country
(4) Economic potential of the country win question
Which of the above statement is/are correct?

The spike in inflation during December 2019, was due to :
(1) Very high food inflation levels
(2) Very high core inflation levels
Which of the above statements is/are correct?

Which of the following is not a reason for high current account deficit?

Consider the following statements :
(1) Higher Inflation favours the Creditors
(2) Higher Inflation decreases real wages in the economy
Which of the above statements is/are correct?

Consider the following statements related to the forms of plate tectonics:
(1) In divergent boundaries, new crust is generated, as the plates pull away from each other.
(2) In convergent boundaries, the crust is destroyed, as one plate dived under another.
(3) In transform boundaries, the crust is neither produced nor destroyed, as the plates slide horizontally past each other.
Which of the above statements is/are correct?

Which of the following would be the most likely consequence of Liquidity Deficit in the economy ?