UPSC Essentials : Daily subject-wise quiz : Economy (Week 25)

1. These are the safety standards of motor vehicles with type approval for seating up to fifteen people.

2. The protocol is aligned with global crash test protocols.

3. Evaluation will not cover Child Occupant Protection (COP).

4. The lower the NCAP score the safer the car.

How many of the statements given above are correct?

(a) Only one

(b) Only two

(c) Only three

(d) All four

QUESTION 2

The Digital Payment Index was launched by:

(a) Ministry of Finance

(b) National Payment Corporation of India (NPCI)

(c) Reserve Bank of India

(d) Indian Finance Association

QUESTION 3

With reference to the trade settlement, consider the following statements:

1. A trade settlement is said to be complete once purchased securities of a listed company are delivered to the buyer and the seller gets the money.

2. The cycle of T+1 means trade-related settlements happen before 48 hours of the actual transactions.

3. India became the first country in the world to start the T+1 settlement cycle.

How many of the statements given above are correct?

(a) Only one

(b) Only two

(c) All three

(d) None

QUESTION 4

With reference to the Fair and Remunerative Price (FRP), consider the following statements:

1. The payment of FRP across the country is governed by The Sugarcane Control order, 1966.

2. It mandates payment within 30 days.

3. If the sugar recovery is higher then the FRP will also be higher.

How many of the statements given above are correct?

(a) Only one

(b) Only two

(c) All three

(d) None

QUESTION 5

With reference to the Centralised Web Portal UDGAM, consider the following statements:

1. This portal has been developed by RBI for use by members of the public to facilitate and make it easier for them to search their unclaimed deposits across multiple banks in one place.

2. The user would be able to access the details of their unclaimed deposits in all the banks.

Which of the statement(s) given above is/are not correct?

(a) 1 only

(b) 2 only

(c) Both 1 and 2

(d) Neither 1 nor 2

ANSWERS TO THE MCQs

1. (a)

FYI:

— India has launched its own crash test rating assessment system, joining half a dozen other countries and geographies that have these norms.

— A crash test is a collision of a vehicle in a controlled environment to assess its safety parameters. The new norms under the Bharat New Car Assessment Programme or Bharat NCAP, will come into effect from October 1.

— The norms define safety standards of motor vehicles with type approval for seating up to eight people. Hence, statement 1 is not correct.

— The Bharat NCAP testing protocol is aligned with global crash test protocols, and will have ratings from 1 star to 5. Hence, statement 2 is correct.

— The higher the NCAP score (stars) the safer the car. Hence, statement 4 is not correct.

— The evaluation will cover:

(i) Adult Occupant Protection (AOP)

(ii) Child Occupant Protection (COP) Hence, statement 3 is not correct.

(iii) Fitment of Safety Assist Technologies. (For this, three tests will be conducted: a frontal impact test, a side impact test, and a side pole impact test.)

— The front impact test will be performed against an offset deformable barrier at a speed of 64 km/h (rather than the 56 km/h requested by car manufacturers). The pole impact test will only be performed on vehicles with three or more stars. In addition, for a 3-star rating or above, the vehicle must feature electronic stability control and front seat belt reminders.

Therefore, option (a) is the correct answer.

2. (c)

FYI:

— The RBI’s Digital Payment Index (DPI) comprises five broad parameters that enable measurement of deepening and penetration of digital payments in the country over different time periods:

(i) Payment enablers (with 25 per cent weight)

(ii) Payment infrastructure—demand-side factors (10 per cent)

(iii) Payment infrastructure—supply-side factors (15 per cent)

(iv) Payment performance (45 per cent) and

(v) Consumer centricity (5 per cent).

Therefore, option (c) is the correct answer.

3. (a)

FYI:

— Settlement is a two-way process involving transferring funds and securities on the settlement date.

— A trade settlement is said to be complete once purchased securities of a listed company are delivered to the buyer and the seller gets the money. Hence, statement 1 is correct.

— The current cycle of T+1 means trade-related settlements happen within a day, or 24 hours of the actual transactions. Hence, statement 2 is not correct.

— India became the second country in the world to start the T+1 settlement cycle in top-listed securities after China, bringing in operational efficiency, faster fund remittances, share delivery, and ease for stock market participants. Hence, statement 3 is not correct.

— The technology for implementation of one-hour trade settlement exists but for instantaneous trade settlement, the system needs some additional technology development, which may take more time.

— If an investor sells assets within the current T+1 settlement cycle, the proceeds are deposited to the investor’s account the next day. If an investor sells a share in one-hour settlement, the money is deposited to their account within an hour, and the buyer receives the shares in their demat account within an hour.

Therefore, option (a) is the correct answer.

4. (b)

FYI:

— FRP is the price declared by the government, which mills are legally bound to pay to farmers for the cane procured from them.

— The payment of FRP across the country is governed by The Sugarcane Control order, 1966. Hence, statement 1 is correct.

— It mandates payment within 14 days of the date of delivery of the cane. Hence, statement 2 is not correct.

— Delays in payment can attract an interest up to 15 per cent per annum, and the sugar commissioner can recover unpaid FRP as dues in revenue recovery by attaching properties of the mills.

— Sugar recovery is the ratio between sugar produced versus cane crushed, expressed as a percentage. The higher the recovery, the higher is the FRP, and higher is the sugar produced. Hence, statement 3 is correct.

Therefore, option (b) is the correct answer.

5. (b)

FYI:

— The Governor of the Reserve Bank of India launched a Centralised Web Portal, UDGAM (Unclaimed Deposits – Gateway to Access Information).

— This portal has been developed by RBI for use by members of public to facilitate and make it easier for them to search their unclaimed deposits across multiple banks in one place. Hence, statement 1 is correct.

— The launch of the web portal will aid users to identify their unclaimed deposits/ accounts and enable them to either claim the deposit amount or make their deposit accounts operative at their respective banks. Reserve Bank Information Technology Pvt Ltd (ReBIT), Indian Financial Technology & Allied Services (IFTAS) and participating banks have collaborated on developing the portal.

— The users would be able to access the details of their unclaimed deposits in respect of seven banks presently available on the portal. These banks are State Bank of India, Punjab National Bank, Central Bank of India, Dhanlaxmi Bank Ltd., South Indian Bank Ltd., DBS Bank India Ltd. and Citibank N.A. Hence, statement 2 is not correct.

Therefore, option (b) is the correct answer.

(Source: http://www.rbi.org.in)

Previous Daily Subject-Wise-Quiz

Daily subject-wise quiz — Polity and Governance (Week 25)

Daily Subject-wise quiz — History, Culture, and Social Issues (Week 25)

Daily subject-wise quiz — Environment, Geography, Science and Technology (Week 25)

Daily subject-wise quiz — Economy (Week 24)

Daily subject-wise quiz – International Relations (Week 24)

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