1. What was the outcome of the RBI’s August 2023 Monetary Policy Meeting regarding the repo rate?
Answer: Repo rate remained unchanged at 6.5%.
2. What step did the RBI take to tighten liquidity from the August 12 fortnight?
Answer: Maintained an incremental cash reserve ratio of 10% on deposit growth.
3. What change did the RBI introduce in UPI transactions during the August 2023 meeting?
Answer: Introduced near-field communication for UPI transactions.
4. What does the acronym “ECOWAS” stand for?
Answer: Economic Community of West African States.
5. Which of the following is not a member state of ECOWAS?
Answer: Kenya.
6. What prompted the dissolution of Pakistan’s parliament, paving the way for a national election?
Answer: Prime Minister Shehbaz Sharif’s suggestion.
7. What does the term “deflation” in economics refer to?
Answer: A sustained and general decrease in the overall price levels of goods and services.
8. What is one consequence of deflation on consumer behavior?
Answer: Delayed purchases and reduced demand for goods.
9. What strategy might a central bank adopt to counter deflation?
Answer: Lowering interest rates.
10. Which economic indicator declined in China, signaling the onset of deflation?
Answer: Consumer Price Index (CPI),Producer Price Index (PPI).
