Economics – Medium Level – GK Questions

No collateral is required unlike the repo rate.

Open Market Operations are used to manage system liquidity.

Cash, gold, or approved government securities.

Net Demand and Time Liabilities.

3 members from RBI and 3 external members nominated by Govt.

Rising input costs like wages and raw materials push prices up.

Too much money chasing too few goods.

M3 = M1 + Time deposits with banks.

M1 is the narrowest measure of money supply.

National Statistical Office (NSO).

Real GDP uses base year prices to remove inflation effects.

Only the value added at each stage of production is counted.

Net indirect taxes are subtracted to find factor cost.

Economic cost includes both explicit and implicit costs.

MC intersects AC exactly at its lowest point.

Different combinations of inputs producing the same output.

Analyzes the effect of adding variable inputs to fixed ones.

A single buyer controls the entire market demand.

Cartels are formal collusive agreements among firms.

Requires market control and market segmentation.