Read the given paragraph carefully and answer the questions that follow

For a developing economic nation, its industrial policy requires regular updation to meet the growing demands of the industry as well as to increase the share of manufacturing in overall GDP As India's GDP has been dominated by services rather than agriculture or manufacturing, there are structural modifications always required SO manufacturing activity be increased that substantially to meet the global market requirements. This requires legal amendments, with the new laws aimed to facilitate better manufacturing and exports.

Actually, India faces two challenges, rather opportunities that the bullishness on the Indian economy is to be export-oriented as well as to feed its ever-growing domestic consumption. Also, no economy can only be consumption oriented as its people should also save and invest actively. This brings to an important direction of banking system which plays a critically important role in achieving the above two objectives. The public sector banks require to build on to the capabilities and expertise on the due diligence methods for the credit appraisal for the loan requirements. Worth mentioning here is the data that the non-performing assets valuing Rs. 7.7 lakh crore (as on December 2017) as per the latest figures of the Finance Ministry. Nevertheless, given their large structure and geographic percolation, the public sector banks must be recognized in India's development and that there is "no country in the world where banks have not had a problem."

1. Which of the following is not a feature of the consumption economy?

(a) Increasing population with increasing consumption

(b) It also prompts more exports than imports

(c) More contribution taxes

(d) The unsold goods create problems

2. Which of the following set defines Sustainable Consumption and Production (SCP)?

A. The use of services and related products which respond to basic needs and bring a better quality of life.

B. Minimizing the use of natural resources and toxic materials as well as the emission of waste as pollutants.

C. Pertinent use of service or product so as not to

jeopardize the needs of future generations.

D. Planned cities with a lower cost of production minimizing the retail inflation.

Choose the correct answer from the options given below

(a) A, B and C only

(b) A, B and D only

(c) A, B, C and D

(d) B, C and D only

3. The credit appraisal process by a bank does NOT involve evaluation if the borrower on:

(a) Bank ability or credit worthiness

(b) Economic viability

(c) Loan off takes and paying ability of related companies in the geographical area

(d) Technical feasibility

4. The Indian banking sector requires that it:

(a) be more technology dependent

(b) build more manpower and ICT resources

(c) evaluate loan disbursals

(d) increase the frequency of change of the bank rates

5. What problem is highlighted in the above passage?

(a) Balance of payments issue

(b) High fiscal deficit

(c) Low growth in GDP

(d) Role of banking sector


1 - b

2 - b

3 - d

4 - b

5 - b