Archive · 4 Sep 2025
Economy Quiz: Bond Yields, PLI Scheme, and MPC Explained
This quiz covers a few important topics about how the economy works.
It explains that bond yields (the interest rate on government bonds) can go up or down based on things like interest rate changes and government borrowing.
It also talks about how the government wants companies to make things in India (PLI scheme) and how it makes sure things are safe to use (QCOs).
Also explained is the role of the Monetary Policy Committee (MPC) which sets interest rates to control inflation and finally explains the debt-to-GDP ratio and the governments target for the future.
Bond yields can rise due to factors like concerns over government borrowing and the RBI's stance on inflation.
Quality Control Orders (QCOs) require manufacturers to obtain BIS certification.
The Monetary Policy Committee (MPC) sets the policy repo rate to meet inflation objectives.
The Production Linked Incentive (PLI) Scheme aims to boost manufacturing and reduce import dependency.
India aims to reduce its debt-to-GDP ratio to around 50% by 2031.
- Who
- The article discusses bond yields, QCOs, MPC, and PLI Schemes.
- What
- The article provides questions and answers on key economic concepts.
- When
- The article refers to recent economic data.
- Where
- India is the focus of the economic discussions.
- Why
- To help individuals revise important topics from the static part of the syllabus.
- RBI Repo Rate (Previous)
- 5.50%
- India's Debt-to-GDP Ratio
- 80%
- Target Debt-to-GDP Ratio (by March 31, 2031)
- 50±1%
- MPC Meetings Per Year (Required)
- At least 4
- CPI Inflation Target (MPC)
- 4% (+/- 2%)
- PLI Scheme Launch Year
- 2020