UPSC General Studies Solved Paper - General Studies-2011

  • question_answer
    Consider the following actions which the Government can take.
    1. Devaluing the domestic currency.
    2. Reduction in the export subsidy.
    3. Adopting suitable policies which attract greater FDI and more funds from FIIs.
    Which of the above action/actions can help in reducing the current account deficit?

    A)  1 and 2           

    B)  2 and 3

    C)  Only 3             

    D)  1 and 3

    Correct Answer: D

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