{"id":28193,"date":"2024-02-19T10:38:04","date_gmt":"2024-02-19T10:38:04","guid":{"rendered":"https:\/\/edukemy.com\/blog\/?p=28193"},"modified":"2024-02-19T10:38:06","modified_gmt":"2024-02-19T10:38:06","slug":"upsc-prelims-2022-question-10","status":"publish","type":"post","link":"https:\/\/edukemy.com\/blog\/upsc-prelims-2022-question-10\/","title":{"rendered":"UPSC Prelims 2022 &#8211; Question 10"},"content":{"rendered":"\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<label for=\"ez-toc-cssicon-toggle-item-6a56c3eae5a14\" class=\"ez-toc-cssicon-toggle-label\"><p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<span class=\"ez-toc-cssicon\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a56c3eae5a14\"  \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/edukemy.com\/blog\/upsc-prelims-2022-question-10\/#Q10_With_reference_to_the_Indian_economy_consider_the_following_statements\" >Q10. With reference to the Indian economy, consider the following statements:<\/a><\/li><\/ul><\/nav><\/div>\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Q10_With_reference_to_the_Indian_economy_consider_the_following_statements\"><\/span>Q10. With reference to the Indian economy, consider the following statements:<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<ol class=\"wp-block-list\"><li>A share of the household financial savings goes towards government borrowings.<\/li><li>Dated securities issued at market-related rates in auctions form a large component of internal debt.<\/li><\/ol>\n\n\n\n<p>Which of the above statements is\/are correct?<br>a) 1 only<br>b) 2 only<br>c) Both 1 and 2<br>d) Neither 1 nor 2<\/p>\n\n\n\n<p>Answer &#8211; C<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li><strong>Statement 1 is correct: <\/strong>Gross financial savings of households include monies saved in banks, provident funds, pension schemes, shares, insurance and in the form of currency, among other categories. These savings form the pool of domestic finance for investments which are crucial to job creation, and are currently critical as they will be crucial in deciding the pace of econo mic revival. Deposits with banks are the single largest form of households\u2019 financial assets, followed by insurance funds, mutual funds and currency. Therefore, any adverse movement in the household savings will have a significant bearing on banks, insurance companies and mutual\/provident funds, who, in turn, are key investors in government securities.<\/li><li><strong>Statement 2 is correct: <\/strong>Internal debt constitutes over 93 per cent of the overall public debt. Internal loans that make up for the bulk of public debt are further divided into two broad categories \u2013 marketable and non-marketable debt<\/li><\/ul>\n\n\n\n<figure class=\"wp-block-image size-full is-resized\"><a href=\"https:\/\/edukemy.com\/upsc\/upsc-essay?utm_source=Blog&amp;utm_medium=Banner&amp;utm_campaign=Essay\" target=\"_blank\" rel=\"noreferrer noopener\"><img fetchpriority=\"high\" decoding=\"async\" src=\"https:\/\/edukemy.com\/blog\/wp-content\/uploads\/2024\/06\/UPSC-Essay-Course-1280\u00d7300-1-3.svg\" alt=\"\" class=\"wp-image-42688\" width=\"781\" height=\"182\"\/><\/a><\/figure>\n\n\n\n<p>For UPSC Prelims Resources,&nbsp;<a href=\"https:\/\/edukemy.com\/upsc-cse-prelims-resource-centre\" target=\"_blank\" rel=\"noreferrer noopener\">Click here<\/a><\/p>\n\n\n\n<p>For Daily Updates and Study Material:<\/p>\n\n\n\n<p>Join our Telegram Channel \u2013&nbsp;<a href=\"https:\/\/t.me\/WithEdukemy4IAS\" target=\"_blank\" rel=\"noreferrer noopener\">Edukemy for IAS<\/a><\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>1. 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With reference to the Indian economy, consider the following statements:<\/p>\n<p>A share of the household financial savings goes towards government borrowings.<\/p>\n","protected":false},"author":17,"featured_media":28194,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_eb_attr":"","om_disable_all_campaigns":false,"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"_uf_show_specific_survey":0,"_uf_disable_surveys":false,"_lmt_disableupdate":"","_lmt_disable":"","footnotes":"","_members_access_role":[],"_members_access_error":""},"categories":[1644],"tags":[232,515,231],"class_list":["post-28193","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-upsc-prelims","tag-upsc","tag-upsc-cse","tag-upsc-prelims"],"aioseo_notices":[],"aioseo_head":"\n\t\t<!-- All in One SEO 4.9.9 - aioseo.com -->\n\t<meta name=\"description\" content=\"Q10. 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With reference to the Indian economy, consider the following statements: A share of the household financial savings goes towards government borrowings.","og:url":"https:\/\/edukemy.com\/blog\/upsc-prelims-2022-question-10\/","og:image":"https:\/\/edukemy.com\/blog\/wp-content\/uploads\/2024\/12\/edukemy-logo-horizontal.jpg","og:image:secure_url":"https:\/\/edukemy.com\/blog\/wp-content\/uploads\/2024\/12\/edukemy-logo-horizontal.jpg","og:image:width":512,"og:image:height":157,"article:published_time":"2024-02-19T10:38:04+00:00","article:modified_time":"2024-02-19T10:38:06+00:00","article:publisher":"https:\/\/www.facebook.com\/edukemy\/","twitter:card":"summary_large_image","twitter:site":"@EdukemyOfficial","twitter:title":"UPSC Prelims 2022 - Question 10","twitter:description":"Q10. 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