List of top Social Science Questions on Money and Credit

Read the following sources of loan carefully and choose the correct option related to formal sources of credit:
(i) Commercial Bank
(ii) Landlords
(iii) Government
(iv) Money Lende

Two statements are given below. They are Assertion (A) and Reason (R). Read both the statements carefully and choose the correct option. Assertion (A): Rupees is accepted as medium of exchange in India.
Reason (R): The World Bank legalises the use of rupee as a medium of payment in India.
Rama is a farmer. She needs loan for agriculture work. Which of the following sources of loan will be beneficial for Rama? Choose the most appropriate option. I. Bank
II. Agricultural Trader
III. Self-Help Group
IV. Government
Rama is a farmer. She needs loan for agriculture work. Which of the following sources of loan will be beneficial for Rama? Choose the most appropriate option:
I. Bank
II. Agricultural Trader
III. Self-Help Group
IV. Government
Two statements are given below. They are Assertion (A) and Reason (R). Read both the statements carefully and choose the correct option:
Assertion (A): Rupees is accepted as medium of exchange in India.
Reason (R): The World Bank legalises the use of rupee as a medium of payment in India.
Imagine you are a part of a 'Self Help Group' (SHG). Explain the working system of the Self Help Group (SHG) to the new member.
Imagine you are a Village Development Officer of a village. Explain the usefulness of formal sources of credit for the farmers.
Look at the given picture carefully and infer the income of the bank.
Diagram of Income
Choose the correct option from the following.
Why do lenders often require collateral before lending a loan? Choose the most suitable option from the following:
Which one of the following indices is given priority by the World Bank with respect to development?
Suppose, the monthly income of the family members is as follows respectively:
• Mother - Rs. 50,000/- • Father - Rs. 40,000/-
• Son - Rs. 20,000/-        • Daughter - Rs. 20,000/-
The average income of the family would be:
What role do 'checks and balances' play in a democratic country?
Choose the most suitable option from the following.
Select the formal sources of credit from the given sources and choose the correct option.
Sources:
1. Bank, 
2. Moneylender, 
3. Cooperatives, 
4. Businessman
Two statements are given below. They are Assertion (A) and Reason (R). Read both the statements and choose the correct option.
Assertion (A): Rural poor families are still dependent on informal sources of credit.
Reason (R): For obtaining loans from banks, collateral and special documents are required.
In one of the small villages, a farmer borrows money from the village moneylender at a high monthly interest rate but is not able to repay it back. Next, he borrows it from a bank at a lower interest rate. Gradually he earns and pays back the loan to the moneylender and the bank. Which of the following best describes the role of the bank in this credit situation?
Two statements are given below. They are Assertion (A) and Reason (R). Read both the statements and choose the correct option.
Assertion (A): Banks are not ready to lend money to certain borrowers.
Reason (R): Some people do not have collateral.
Two statements are given below. They are Assertion (A) and Reason (R). Read both the statements and choose the correct option.
Assertion (A): No individual in India can legally refuse a payment made in rupees.
Reason (R): In India, the rupee is authorized by the State Governments.
Read the following situation regarding credit and identify the positive impact of credit.
Salim obtains credit to meet the working capital needs of production. The credit helps him to meet the ongoing expenses and complete production on time.