The concept of 'Gresham's Law' states that: MCQ with Answer and Explanation

The concept of 'Gresham's Law' states that:
A. Paper money always drives out metallic money
B. Good money drives out bad money
C. Bad money drives out good money when both are legal tender at fixed rates
D. Only metallic money circulates
Answer: Option C
Solution (By JKSSB Mock Tests)
Gresham’s Law observes that when two forms of money have the same face value but different intrinsic values, the money with lower intrinsic value (bad money) tends to remain in circulation while the higher-value money (good money) is hoarded or exported.

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The 'Goods and Services Tax' on toll charges is:
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B. 0%
C. exempt
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Correct Answer: Option C


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Toll charges are exempt from GST.

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The 'GST Suvidha Provider' is an entity that:
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Correct Answer: Option B


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Correct Answer: Option D


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