The term 'Financial Inclusion' primarily aims at: MCQ with Answer and Explanation

The term 'Financial Inclusion' primarily aims at:
A. Restricting credit to priority sectors
B. Providing banking services only to high-income groups
C. Increasing interest rates for small borrowers
D. Ensuring access to financial services for all sections of society at affordable cost
Answer: Option D
Solution (By JKSSB Mock Tests)
Financial inclusion seeks to ensure that individuals and businesses, especially the underserved, have access to useful and affordable financial products and services.

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Practice More Economy Set 1 Questions

Question #1
The 'Goods and Services Tax' on luxury cars is:
A. 12%
B. 5%
C. 18%
D. 28% plus cess

Correct Answer: Option D


Explanation:
Luxury cars attract 28% GST plus cess.

This question belongs to: Economy GK Economy Set 1
Question #2
The 'Monetary Policy Committee' meets at least how many times in a financial year?
A. 6
B. 12
C. 4
D. 2

Correct Answer: Option C


Explanation:
The MPC meets at least four times a year.

This question belongs to: Economy GK Economy Set 1
Question #3
The concept of 'Horizontal Equity' in taxation requires that:
A. Individuals with the same ability to pay should pay the same tax
B. Taxes should be independent of ability to pay
C. Individuals with higher ability to pay should pay proportionally more
D. Only vertical equity matters

Correct Answer: Option A


Explanation:
Horizontal equity is the principle that taxpayers with equal capacity to pay (usually measured by income or wealth) should bear equal tax burdens.

This question belongs to: Economy GK Economy Set 1