In the context of money, 'Near Money' includes: MCQ with Answer and Explanation

In the context of money, 'Near Money' includes:
A. Only gold reserves
B. Time deposits, savings deposits and other highly liquid assets
C. Currency notes and coins only
D. Only demand deposits
Answer: Option B
Solution (By JKSSB Mock Tests)
Near money refers to assets that are highly liquid and can be converted into cash quickly with minimal loss of value, such as time deposits and certain money market instruments.

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Practice More Economy Set 1 Questions

Question #1
Which of the following is the primary objective of monetary policy in India?
A. Price stability while keeping in mind growth
B. Maximising tax revenue
C. Reducing fiscal deficit
D. Increasing government expenditure

Correct Answer: Option A


Explanation:
As per the Monetary Policy Framework Agreement, the primary objective of monetary policy is to maintain price stability while keeping in mind the objective of growth.

This question belongs to: Economy GK Economy Set 1
Question #2
Returns to scale refers to the relationship between inputs and output when:
A. technology is fixed
B. all factors are changed in the same proportion
C. only one factor is changed
D. marginal cost is constant

Correct Answer: Option B


Explanation:
Returns to scale describe the long-run response of output when all inputs change proportionally.

This question belongs to: Economy GK Economy Set 1
Question #3
The 'Goods and Services Tax' on life insurance under Pradhan Mantri Jeevan Jyoti Bima Yojana is:
A. 5%
B. 0%
C. exempt
D. 18%

Correct Answer: Option C


Explanation:
PMJJBY premium is exempt from GST.

This question belongs to: Economy GK Economy Set 1