Opens in a new tab
Join Anantam IAS Channel on Telegram
Open Telegram

TOPIC

Services and Digital Economy

4 UPSC Prelims MCQs tagged "Services and Digital Economy". Free practice with answer keys, explanations, and timed mock tests on Anantam IAS.

Agriculture and Allied Activities 56 Money, Banking and Monetary Policy 43 Environmental Pollution 43 Biotechnology 37 Parliament 33 Climate Change 32 Finance and Financial Markets 29 Emerging Technologies 28 Trade and External Sector 26 Life Sciences 26 Core Concepts and Foundational Science 20 Public Finance in India 19 International Environmental Framework 18 Continents 18 Religions in India 18 Fundamental Rights 18 Concept and Salient Features of the Constitution 17 Indian Biodiversity - Fauna 17 Renewable Energy 16 Major Physical Divisions of India 16 Multilateral Groupings 16 International Institutions 15 Art and Architecture 15 Drainage System 15 Institutional Measures for Environment Conservation 14 Regional Groupings 14 Rivers and Drainage 14 Infrastructure and Investment Models in India 14 Atmosphere 13 Space Technology 13

  1. The term ‘Digital Single Market Strategy’ seen in the news refers to –

    The term 'Digital Single Market Strategy' seen in the news refers to -

    1. AASEAN
    2. BBRICS
    3. CEU
    4. DG20
    Answer and explanation

    Correct answer: C

    The Digital Single Market Strategy refers to an initiative by the European Union (EU) that aims to create a unified digital market across all member states.

    Overall, the Digital Single Market Strategy aims to stimulate growth in the European digital economy by fostering innovation, competition, and consumer confidence in the online marketplace.

    Open this question on its own page

    Indian Economy UPSC 2017 Hard

  2. Consider the following statements: 1. National Payments Corporation of India (NPCI) helps in promoting…

    Consider the following statements: 1. National Payments Corporation of India (NPCI) helps in promoting financial inclusion in the country. 2. NPCI has launched RuPay, a card payment scheme. Which of the statements given above is/are correct?

    1. A1 only
    2. B2 only
    3. CBoth 1 and 2
    4. DNeither 1 nor 2
    Answer and explanation

    Correct answer: C

    Statement 1 is Correct: The National Payments Corporation of India (NPCI) was established to facilitate retail payments and promote financial inclusion in India. They achieve this by 1. Developing and deploying innovative payment infrastructure like RuPay cards, UPI, etc. 2. Enabling participation of a wider range of players in the payments system, including non-bank entities. 3. Setting standards and guidelines to ensure secure and efficient electronic payments.

    Statement 2 is Correct: RuPay is a domestic debit and credit card payment network launched by NPCI in India. It provides an alternative to international card networks like Visa and Mastercard. This domestic network can potentially lower transaction costs for merchants and banks compared to international schemes.

    Therefore, both statement 1 and statement 2 are correct. Hence, option C is the correct answer.

    Open this question on its own page

    Indian Economy UPSC 2017 Easy

  3. Which one of the following best describes the term “Merchant Discount Rate” sometimes seen…

    Which one of the following best describes the term "Merchant Discount Rate" sometimes seen in the news?

    1. AThe incentive is given by a bank to a merchant for accepting payments through debit cards pertaining to that bank.
    2. BThe amount paid back by banks to their customers when they use debit cards for financial transactions for purchasing goods or services.
    3. CThe charge to a merchant by a bank for accepting payments from his customers through the bank's debit cards.
    4. DThe incentive given by the Government, to merchants for promoting digital payments by their customers through Point of Sale PoS machines and debit cards.
    Answer and explanation

    Correct answer: C

    The Merchant Discount Rate (MDR) is a fee levied on merchants by payment processors for accepting debit and credit card transactions. It's typically a percentage of the transaction value. So, when a customer uses a debit card at a store, the store pays a fee to the bank that processes the transaction. Hence, option C is the correct answer.

    ![Merchant Rate Discount Process](https://d39jluplm5thpx.cloudfront.net//MDR_process_09dba55b08.PNG)

    Open this question on its own page

    Indian Economy UPSC 2018 Medium

  4. With reference to the international trade of India at present, which of the following…

    With reference to the international trade of India at present, which of the following statements is/are correct? 1. India's merchandise exports are less than its merchandise imports. 2. India's imports of iron and steel, chemicals, fertilisers and machinery have decreased in recent years. 3. India's exports of services are more than its imports of services. 4. India suffers from an overall trade/current account deficit. Select the correct answer using the code given below:

    1. A1 and 2 only
    2. B2 and 4 only
    3. C3 only
    4. D1, 3 and 4 only
    Answer and explanation

    Correct answer: D

    Statement 1 is correct. Merchandise trade deficit is the largest component of India's current account deficit. As per RBIs data, India's Merchandise exports during April-August 2019- 2020 were USD 133.14 billion, as compared to USD 210.39 billion of imports during the same period.

    Statement 2 is incorrect. Commodity-wise composition of imports between 2011-12 and 2018-19 shows that imports of iron and steel, organic chemicals, industrial machinery have registered positive growth rates as % of share in imports.

    Statement 3 is correct. India's net services (service exports - service imports) have been in surplus. India's Service exports during April-August 2019- 2020 were USD 67.24 billion, as compared to USD 39.25 billion of imports during the same period.

    Statement 4 is correct. Current Account Deficit (CAD) or trade deficit is the shortfall between exports and imports. As per Economic Survey 2019-20, India's CAD was 2.1% in 2018-19, and 1.5% of GDP in H1 of 2019-20.

    Therefore, the correct answer is (D) 1, 3 and 4 only.

    _NOTE: UPSC has not considered this question for marking._

    Open this question on its own page

    Indian Economy UPSC 2020 Medium