Macro: Balance of Payments: Class 12 Previous Year Questions

Macro: Balance of Payments questions asked in CBSE board exams

Repeated questions first. Open the free app to see each question as it appeared in the paper, with its marking scheme.

1. Read the following statements carefully : 1 Statement 1 : Depreciation of currency is an economic action undertaken by the government of a nation under the fixed exchange rate system. Statement 2 : Under the floating exchange Rate system, authorities actively …
   Board 20261 markMCQ
2.  4. Read the following statements carefully : 1 Statement 1 : Under the flexible exchange rate system, a deficit / surplus in the Balance of Payments is automatically corrected. Statement 2 : Under the flexible exchange rate system, there is always a possibil…
   Board 20261 markMCQ
3. Read the following statements : Assertion (A) and Reason (R). Choose the correct option from those given below : 1 Assertion (A) : Unilateral Transfers are recorded in the Current Account of the Balance of Payments (BoP) of a nation. Reason (R) : Capital accou…
   Board 20261 markAssertion-Reason
4. Michel, an entrepreneur of Country Zeta, borrowed $ 5 million from an overseas bank to expand his textile business. During the same financial year, the Government of Country Zeta secured a loan of $ 30 Billion from an International Financial Institution to man…
   Board 20264 marksshort answer
5. (a) Explain the likely impacts of the ‘Make in India’ policy initiated by Government of India on the Balance of Payments (BoP) of India (assuming all other factors constant). 2 (b) State the meaning of Balance of Payment (BoP) surplus and deficit.
   Board 20264 marksshort answer
6.  5. In an economy, exclusion of ___________ may lead to under estimation of the value of Gross Domestic Product (GDP). 1 (Choose the correct option to fill in the blank) (i) Barter Transactions (ii) Services provided by family members (iii) Illegal activities…
   Board 20261 markMCQ
7. Read the following statements carefully : 3. Statement-l : Managed floating exchange rate system is an amalgamation of fixed and flexible exchange rate system. Statement-2 : Managed floating exchange rate system is also known as ·hybrid system. In the light of…
   Board 20251 markMCQ
8. In the context of Current Account transactions of Balance of Payment, identify the incorrect statement from the following : (Choose the correct option) Options : (A) Export of goods and services are recorded as credit items. (B) Import of goods and services ar…
   Board 20251 markMCQ
9. Read the following text carefully : Balance of Payments (BoP) systematically summarise, the economic transactions of an economy with the rest of the world, over a given period of time. The BoP can be broadly divided into two accounts namely : current account c…
   Board 20256 markscase-based
10. ·The Government had launched Incredible India Campaign to promote tourism in various parts of the country." Elaborate the impact of this campaign on foreign exchange reserves and Balance of Payment of India.
    Board 20253 marksshort answer
11. {XZm§H$ 9 OyZ 2023 (NSE) Ho$ Am± S>m| Ho$ AZwgma, EH$ _mh H$s Ad{Y `m{Z, 9 _B© 2023 - 9 OyZ 2023, _| {dXoer g§ñWmJV {ZdoeH$m| (FII) Ûmam < 309 Cn`w©º$ boZ-XoZ ^maV Ho$ ^wJVmZ g§VwbZ Ho$ ______ ImVo Ho$ ______ nj _| XO© {H$`m OmEJm & ([aº$ ñWmZm| H$mo ^aZo Ho$ …
    Board 20241 markMCQ
12. nhMm{ZE {H$ {ZåZ{b{IV _| go H$m¡Z ^maV Ho$ ^wJVmZ g§VwbZ Ho$ ny±Or ImVo Ho$ S>o{~Q> nj _| Xem©`m OmEJm & 1 (A) B§½b¢S> go EH$ ^maVr` Ûmam ào{fV YZam{e (B) {dXoem| _| n[agån{Îm _| ^maVr`m| Ûmam {Zdoe (C) {H$gr A_o[aH$s H§$nZr Ûmam {H$gr ^maVr` H§$nZr Ho$ A§em| …
    Board 20241 markMCQ
13. Page 6 9. {H$gr H$mën{ZH$ AW©ì`dñWm Ho$ {bE _mZ br{OE {H$ : C = 100 + 0·75Y (Ohm± C = Cn^moJ d Y = Am`) I0 = 400 (I0 = ñdm`Îm {Zdoe) {Zdoe JwUH$ (K) H$m _mZ __________ hmoJm & ([aº$ ñWmZ H$mo ^aZo Ho$ {bE ghr {dH$ën H$m M`Z H$s{OE) 1 (A) 5 (B) 4 (C) 6 (D) 3 Pa…
    Board 20241 markMCQ
14. Page 3 2. Identify which of the following is not one of the merits of fixed exchange rate system. 1 (A) Ensures stability in exchange rate (B) Possibility of under or over valuation of foreign currency (C) Prevents speculations in foreign exchange market (D) C…
    Board 20241 markMCQ
15. Page 4 5. {ZåZ{b{IV H$WZm| H$m Ü`mZnyd©H$ AÜ``Z H$s{OE : 1 1 {H$gr amîQ´> H$m Am{W©H$ joÌ d amOZr{VH$ gr_m EH$ hr hmoVo h¢ & 2 ^maV _| A_o[aH$s XÿVmdmg, ^maV Ho$ Am{W©H$ joÌ H$m {hñgm h¡ & {XE JE H$WZm| Ho$ AmbmoH$ _|, {ZåZ{b{IV _| go ghr {dH$ën H$m M`Z H$s{OE…
    Board 20241 markMCQ
16. Read the following statements - Assertion (A) and Reason (R). Choose one of the correct alternatives given below : Assertion (A) : The Balance of Payments is in surplus, if autonomous receipts are greater than autonomous payments. Reason (R) : Autonomous trans…
    Board 20231 markAssertion-Reason
17. n exchange rate and Justify your answer with valid arguments.
    Board 20233 marksshort answer
18. (a) ·Under the flexible exchange rate system, the Central Bank does not intervene in the foreign exchange market." Justify the statement, giving valid arguments. OR (b) Explain the impact of home currency depreciation on the exports of a nation.
    Board 20233 marksshort answer
19. There are two statements given below, marked as Statement (1) and Statement (2). Read the statements and choose the correct option. Statement (1): The Balance of Payments is a key economic indicator of a country’s economic well-being. Statement (2): It is a su…
    CBSE practice 2022-231 markvery short
20. Look at the following data of a given country. No. Items Value (in Million US Dollars) 1. Exports (of goods) 150 2. Imports (of goods) 200 3. Net Invisibles 20 Which of the following is INCORRECT? A. Balance of trade is unfavourable for the country. B. Balance…
    CBSE practice 2021-221 markMCQ

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