Consider the following statements: 1. An additional spending by the Government of X is likely to have less impact on income than an additional transfer of X to households. 2. An additional spending by the Government of X is likely to have less impact on income if it is not accompanied by an expansion in money supply. Which of the statements given above is/are correct?

Consider the following statements : The effect of devaluation of a currency is that it necessarily 1. improves the competitiveness of the domestic exports in the foreign markets 2. increases the fore…

Which of the following statements is/are correct? 1. Most of India's reserves are held in the form of foreign currency. 2. There is no cost of holding foreign currency as reserves by a nation. Select…

Consider the following statements : 1. Purchasing Power Parity (PPP) exchange rates are calculated by comparing the prices of the same basket of goods and services in different countries. 2. In terms…

If another global financial crisis happens in the near future, which of the following actions/policies are most likely to give some immunity to India? 1. Not depending on short-term foreign borrowing…

Consider the following actions which the Government can take : 1. Devaluing the domestic currency. 2. Reduction in the export subsidy. 3. Adopting suitable policies which attract greater FDI, more fu…