Since 1957, the Reserve Bank of India is required to maintain gold and foreign exchange reserves of Rs. 200 crore, of which at least Rs. 115 crore should be in gold and Rs. 85 crore in the form of Government Securities. The system as it exists today is known as the minimum reserve system.

Correct Option: D

Since 1957, the Reserve Bank of India is required to maintain gold and foreign exchange reserves of Rs. 200 crore, of which at least Rs. 115 crore should be in gold and Rs. 85 crore in the form of Government Securities. The system as it exists today is known as the minimum reserve system.

India is called a mixed economy because there is both private owned enterprises and state owned enterprises and the government does not intervene on the decisions of enterprises owned by individuals except to govern law and to correct market failures. The product market in this case is determined by the market demand and market supply rather than the decisions of the policy makers.

Correct Option: B

India is called a mixed economy because there is both private owned enterprises and state owned enterprises and the government does not intervene on the decisions of enterprises owned by individuals except to govern law and to correct market failures. The product market in this case is determined by the market demand and market supply rather than the decisions of the policy makers.