MCQs - 2026-05

Maintaining status quo while focusing on inflation control suggests that the RBI believes previous measures are working or need more time to show their full effect, or that current inflation levels, while a concern, do not warrant immediate further action.

The topic explicitly states 'Focus on Inflation Control' as the primary objective behind the RBI's decision to maintain status quo.

Maintaining status quo means keeping things as they are, specifically referring to key policy rates like the repo rate, reverse repo rate, etc., without any change.

Strong domestic demand often leads to increased consumption and investment, which can push up imports if domestic production cannot meet the demand, potentially widening the current account deficit. It can also lead to inflation if supply doesn't keep pace.

Domestic demand is primarily driven by private consumption, investment (Gross Fixed Capital Formation), and government expenditure. Net exports are part of aggregate demand but represent external demand.

The topic explicitly states 'Robust Domestic Demand' as the key factor for India's strong GDP growth.

The Smart Cities Mission is one of the two core components of the Atal Mission for Rejuvenation and Urban Transformation (AMRUT) scheme, launched by the Ministry of Housing and Urban Affairs.

The Smart Cities Mission aims to develop cities that are sustainable, inclusive, and provide a high quality of life to their citizens through the application of 'smart' solutions.

Smart Cities 2.0 aims to leverage technology and data to improve urban governance, enhance citizen participation, and make cities more responsive to their residents' needs.

EIA helps in identifying potential environmental impacts of a project before it begins, allowing for mitigation measures and preventing significant harm to the environment.