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Topic

Liquidity

Asked 2 times in CSE over 2 years (2011–2013), peaking in 2011.
2
PYQs
1
Exams
2
Years active
2011–2013
Span
2011
Peak
2/2
Answers
📅 Full chronological timeline →

Key insights

  • Most tested in CSE — 2 of 2 PYQs
  • Most asked in 2011
  • Recurs across 2 years (2011–2013)

Across exams

CSE · 2

How the concept evolved

111
113
Largely a pre-2016 idea — watch for a comeback.

Related concepts

Ideas UPSC tests alongside this one — keep exploring.

Sample questions

You've seen the pattern — here are a few of the actual PYQs.
CSE2013

Consider the following liquid assets

  1. Demand deposits with the banks
  2. Time deposits with the banks
  3. Savings deposits with the banks
  4. Currency

The correct sequence of these assets in the decreasing order of liquidity is

  1. A 1-4-3-2
  2. B 4-3-2-1
  3. C 2-3-1-4
  4. D 4-1-3-2 ✓
✓ Correct answer: (D)
Economy › Money/Banking/Finance
CSE2011
The lowering of Bank Rate by the Reserve Bank of India leads to:
  1. A More liquidity in the market ✓
  2. B Less liquidity in the market
  3. C No change in the liquidity in the market
  4. D Mobilization of more deposits by commercial banks
✓ Correct answer: (A)
Economy › Money/Banking/Finance

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