The 'spot market' in foreign exchange deals with: MCQ with Answer and Explanation

Question

Share Report Error

The 'spot market' in foreign exchange deals with:

A. options only

B. futures only

C. immediate delivery of currencies

D. future delivery of currencies

Answer: Option C

Solution (By JKSSB Mock Tests)

Spot foreign exchange transactions involve immediate delivery of currencies.

This question belongs to: Economy GK Economy Set 1

Request complete Subject PDF

Discuss this Question (0)

No comments yet. Be the first to start the discussion!

Practice More Economy Set 1 Questions

Question #1

Opportunity cost is the value of:

A. the total money spent

B. the next best alternative foregone

C. the cheapest available alternative

D. all possible alternatives foregone

View Answer & Solution Discuss

Get Complete Subject PDF for Economy GK

Correct Answer: Option B

Explanation:
Opportunity cost is the value of the next best alternative forgone.

This question belongs to: Economy GK Economy Set 1

Question #2

In the context of public finance, the concept of 'Ricardian Equivalence' suggests that:

A. Public debt has no intergenerational implications

B. Deficit financing always increases private consumption

C. Government borrowing is always expansionary

D. Tax-financed and debt-financed government spending have the same effect on the economy

View Answer & Solution Discuss

Get Complete Subject PDF for Economy GK

Correct Answer: Option D

Explanation:
Ricardian Equivalence, proposed by David Ricardo and revived by Robert Barro, argues that rational agents anticipate future taxes to repay debt, so government borrowing does not stimulate demand.

This question belongs to: Economy GK Economy Set 1

Question #3

The 'Pink Revolution' in India is associated with:

A. wheat

B. onion and pharmaceutical production

C. shrimp production

D. milk

View Answer & Solution Discuss

Get Complete Subject PDF for Economy GK

Correct Answer: Option B

Explanation:
Pink Revolution is associated with onion and pharmaceutical production.

This question belongs to: Economy GK Economy Set 1

Explore All Economy Set 1 MCQs