Subject: Economics
Book: Comprehensive Indian Economy
Foreign Direct Investment (FDI) involves ownership/control of domestic enterprises by foreign investors, fostering technology transfers and job creation. Foreign Portfolio Investment (FPI) pertains to passive holdings in stocks/bonds. Both shape India’s capital account and currency stability. Policy liberalization across sectors (retail, defense, insurance) aims to attract FDI, yet concerns over portfolio outflows remain. Monitoring “hot money” flows is essential to avoid volatility. For exam readiness, clarify FDI vs. FPI differences, sectors with automatic vs. government routes, and how capital inflows can buffer or destabilize the balance of payments depending on global sentiments.
What does the “Phillips Curve” show?
View QuestionWhich economic concept is described as “the next best alternative foregone”?
View QuestionWhich of the following is a direct tax?
View QuestionWhat is the main feature of a free-market economy?
View QuestionWhat does the term “capital account” refer to in the balance of payments?
View QuestionWhat is the “law of diminishing marginal utility”?
View QuestionWhat is the main aim of the “Startup India” initiative?
View QuestionWhat does the term “national income” refer to?
View QuestionWhich organization is responsible for estimating India’s Gross Domestic Product (GDP)?
View QuestionWhich of the following factors is NOT included in the calculation of Human Development Index (HDI)?
View Question