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MCQs 2026

1251.
Which of the following is a key component of the RBI's measures to anchor inflation expectations?
A Increasing government borrowing
B Judicious interest rate management and liquidity control
C Reducing foreign investment
D Devaluing the currency
1252.
What is the primary focus shifting towards, according to the article, after achieving inflation stability?
A Increasing interest rates
B Supporting growth objectives
C Reducing government spending
D Controlling digital payments
1253.
The article emphasizes the need for continued vigilance regarding:
A Deflation
B Inflationary pressures
C Economic recession
D High unemployment
1254.
What is the current inflation trajectory considered favorable for?
A Sustained economic contraction
B Increased inflation
C Sustained economic expansion and improved purchasing power
D Reduced investment
1255.
The government's fiscal prudence has helped in:
A Increasing demand-side inflationary pressures
B Preventing demand-side inflationary pressures
C Reducing liquidity in the market
D Increasing interest rates
1256.
What is a positive impact of controlled inflation on the economy?
A Decreased purchasing power
B Increased uncertainty for businesses
C Improved purchasing power of citizens
D Reduced economic growth
1257.
A stable inflation regime is beneficial for:
A Reducing consumer confidence
B Discouraging business investment
C Boosting consumer confidence and encouraging spending
D Increasing the cost of borrowing
1258.
Which of the following is NOT mentioned as a factor contributing to the moderation of inflation?
A Stable global commodity prices
B Well-managed food supply chain
C Rising global energy prices
D Government's fiscal prudence
1259.
Which institution's monetary policy measures have been instrumental in anchoring inflation expectations?
A Securities and Exchange Board of India (SEBI)
B Ministry of Finance
C Reserve Bank of India (RBI)
D National Payments Corporation of India (NPCI)
1260.
What has been the trend of India's inflation rate in FY 2025-26?
A Consistently above 6%
B Stabilized below 5%
C Rapidly increasing
D Volatile and unpredictable