terms Archives - Assam PCS Exam Notes

DMPQ: Define the following terms; a) Tier -1 capital b) Tier -2 capital c) CAR d) Public debt( Economy)

Tier-1 capital: Tier 1 capital, used to describe the capital adequacy of a bank, is core capital that includes equity capital and disclosed reserves. Tier 1 capital is essentially the most perfect form of a bank’s capital — the money the bank has stored to keep it functioning through all the risky transactions it … Read more

DMPQ: Explain the following terms: ( Econmomy) a) Bank rate b) Merchant discount rate c) Open Market operations d) Repo rate e) MSF

Bank rate: Bank rate is the rate at which RBI lends long term to commercial banks. Bank rate is a tool which RBI uses for managing money supply. Merchant discount rate: It is a charge to a merchant by a bank for accepting payment from their customers in credit and debit cards every time … Read more

DMPQ: Explain the following terms ( Economy) a) Tax havens b) BEPS c) GAAR d) Transfer pricing

a) Tax havens: A tax haven is a country or territory where certain taxes are levied at low rate or not at all. The basic features of tax havens are nil or nominal rates, lack of effective exchange of information, no requirement of substantive local presence. b) BEPS: Base erosion and profit sharing … Read more

DMPQ: Explain the following terms: a) Net Metering b) Green coal technology

Net metering: Net metering is a billing mechanism that credits solar energy system owners for the electricity they add to the grid. For example, if a residential customer has a PV system on the home’s rooftop, it may generate more electricity than the home uses during daylight hours. If the home is net-metered, the electricity … Read more

DMPQ:Explain the following terms: a) Ijara b) Kankut c) Khiraj

a) Ijara: the Ijarahsystem or revenue farming was introduced to boost up the state’s revenue in Bengal in the reign of Jahandar Shah (1712–13), who was supported by nobel Zulfiqar Khan.Under this system, when peasant did not have resources available for cultivation or due to some calamity cultivation could not be done, the lands were farmed … Read more

DMPQ: Define the following terms: a) Diwan-i-wizarat b) Diwan-I-Arz c) Diwan-i-Insha d) Diwan-i-Risalat

Diwani-i-WIzarat:It was the finance department headed by the wazir (Prime-minister). Naib wazir acted as deputy to wazir. The wazir was assisted by the mushrif-i-mamalik, (accountant) who maintained a record of the accounts and the mustauf-i-mamalik (auditor) who audited this account. Under Firuz Tughluq, wazirs became hereditary. Diwan-i-Ariz: Headed by the Ariz-i-mamalik, it was the … Read more

DMPQ- . Explain following terms: a) Din-i-illahi b) Dahsala

Din-i-illahi: Din-i-IIahi proclaimed by Akbar was an order or people with a motto of peace with all (sulehkull), rather than as an eclectic religion. Akbar’s Hindu nobles preferred to remain aloof, with only Birbal consenting to become a member. Raja Todar Mal, Raja Bhagwan Das and Raja Man Singh all declined to associate with … Read more

Economic Terms

Depository Receipt

A depositary receipt (DR) is a type of negotiable (transferable) financial security that is traded on a local stock exchange but represents a security, usually in the form of equity, that is issued by a foreign publicly listed company. The DR, which is a physical certificate, allows investors to hold shares in equity of other countries. One of the most common types of DRs is the American depositary receipt (ADR), which has been offering companies, investors and traders global investment opportunities since the 1920s.