86. The rate of inflation in India is measured in respect of:
(A) Consumer Price Index
(B) Wholesale Price Index
(C) Money Supply
(D) Cost of living Index for industrial worker
Answer:
(A) Consumer Price Index
Explanation:
Historically, India used the Wholesale Price Index (WPI) as its main measure. However, since 2014, the Reserve Bank of India (RBI) officially adopted the Consumer Price Index (CPI) as the primary anchor for measuring inflation and making monetary policy.
87. The Union Government receives maximum revenue through:
(A) Income Tax
(B) Excise Duty
(C) Corporation Tax
(D) Service Tax
Answer:
(C) Corporation Tax
Explanation:
Among the traditional options provided, Corporation Tax (the direct tax levied on the net income of companies) has historically been the single largest source of direct tax revenue for the Union Government of India.
88. In the context of Indian Economy, ‘Open market operations’ refers to :
(A) borrowing by scheduled banks from the RBI
(B) lending by commercial banks to industry and trade
(C) purchase and sale of government securities by the RBI
(D) none of the above
Answer:
(C) purchase and sale of government securities by the RBI
Explanation:
Open Market Operations (OMO) is an essential monetary policy tool wherein a central bank (like the RBI) purchases or sells government bonds and securities in the open market to regulate money supply and interest rates.
89. Public Interest Litigation (PIL) may be linked with:
(A) Judicial review
(B) Judicial activism
(C) Judicial intervention
(D) Judicial scrutiny
Answer:
(B) Judicial activism
Explanation:
The introduction and expansion of Public Interest Litigation (PIL) in India—allowing any public-spirited individual to file a case on behalf of the oppressed—is widely considered the most prominent mechanism and hallmark of “Judicial Activism.”
90. Which famous Reuters photo-journalist was recently killed in Afghanistan?
(A) Kappan Siddiq
(B) Danish Siddiqui
(C) Yameen Nawaz
(D) Zaman Nawaz
Answer:
(B) Danish Siddiqui
Explanation:
Danish Siddiqui, a Pulitzer Prize-winning Indian photojournalist working for Reuters, was tragically killed in July 2021 while covering clashes between Afghan security forces and Taliban fighters in Kandahar.
