Which of the following is a characteristic of the 'Platform Economy'? MCQ with Answer and Explanation

Which of the following is a characteristic of the 'Platform Economy'?
A. Only government-provided services
B. Only agricultural markets
C. Digital platforms that intermediate between groups of users and often exhibit strong network effects
D. Only traditional brick-and-mortar retail
Answer: Option C
Solution (By JKSSB Mock Tests)
The platform economy consists of digital multi-sided platforms that facilitate interactions and transactions between different groups of users (e.g., buyers and sellers, drivers and riders) and typically display network externalities.

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Practice More Economy Set 1 Questions

Question #1
The 'Economic Survey' in India is published by:
A. RBI
B. NITI Aayog
C. NSO
D. Ministry of Finance

Correct Answer: Option D


Explanation:
Economic Survey is published by the Ministry of Finance.

This question belongs to: Economy GK Economy Set 1
Question #2
In the context of banking, the 'Net Stable Funding Ratio' under Basel III is designed to:
A. Determine capital adequacy only
B. Measure only short-term liquidity over 30 days
C. Ensure that banks maintain a stable funding profile over a one-year horizon
D. Set the repo rate

Correct Answer: Option C


Explanation:
The Net Stable Funding Ratio (NSFR) requires banks to maintain a stable funding profile in relation to their on- and off-balance-sheet activities over a one-year time horizon.

This question belongs to: Economy GK Economy Set 1
Question #3
In the IS-LM framework, an increase in government expenditure shifts the:
A. LM curve to the left
B. IS curve to the right
C. LM curve to the right
D. IS curve to the left

Correct Answer: Option B


Explanation:
An increase in government spending raises aggregate demand, shifting the IS curve to the right, leading to higher income and interest rates in the short run.

This question belongs to: Economy GK Economy Set 1