In a liquidity adjustment facility, the reverse repo rate is typically how much below the repo rate? MCQ with Answer and Explanation

In a liquidity adjustment facility, the reverse repo rate is typically how much below the repo rate?
A. 0.50 percentage points
B. 2.00 percentage points
C. 1.00 percentage point
D. 0.25 percentage points
Answer: Option A
Solution (By JKSSB Mock Tests)
The reverse repo rate is usually 0.50 percentage points below the repo rate, though the actual gap may vary.

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Practice More Economy Set 1 Questions

Question #1
The 'National Action Plan on Climate Change' was released in:
A. 2008
B. 2010
C. 2015
D. 2005

Correct Answer: Option A


Explanation:
The National Action Plan on Climate Change was released in 2008.

This question belongs to: Economy GK Economy Set 1
Question #2
The concept of 'Planetary Boundaries' identifies:
A. Only economic growth limits
B. Only population limits
C. Nine biophysical thresholds that, if crossed, could destabilise the Earth system
D. Only national environmental regulations

Correct Answer: Option C


Explanation:
The planetary-boundaries framework, developed by Rockström and colleagues, defines a set of nine Earth-system processes and associated quantitative boundaries within which humanity can operate safely.

This question belongs to: Economy GK Economy Set 1
Question #3
In the context of the Indian economy, the 'GST' is an example of:
A. A direct tax
B. An indirect tax with dual structure (Centre and States)
C. A corporate tax only
D. A wealth tax

Correct Answer: Option B


Explanation:
Goods and Services Tax is a comprehensive indirect tax levied on the supply of goods and services, with a dual structure involving both the Centre and the States.

This question belongs to: Economy GK Economy Set 1