Economics – GK Questions

It is directly levied on the net profits of corporations.

Higher income groups pay a higher percentage of tax.

Levied on the supply of goods and services.

The incidence and impact fall on the exact same person.

Deals with government taxation and expenditure.

Benchmark Prime Lending Rate.

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.

Reverse repo rate is always kept lower than the repo rate.

Short-term lending to banks against approved securities.

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

Nationalized on January 1, 1949.

Established on April 1, 1935, based on the Hilton Young Commission.

Prices are still rising, but at a slower pace than before.

The exact opposite phenomenon of inflation.

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

Too much money chasing too few goods.

People tend to hoard good money and circulate bad money.