Race IBPS Clerk 2015- Practice English Questions (Reading Comprehension) Set-5:
Dear Readers, Important Practice English Questions for Upcoming IBPS Clerk V Exam was given here with solutions. Aspirants those who are preparing for the examination can use this.
Directions (Q.1-10): Read the passage carefully and answer the questions given below it. Certain words/phrases are given in bold to help you locate them while answering some of the questions.
Investors in emerging markets know how quickly things can turn sour. In the mid-1990s fast-growing Thailand and Indonesia become known as the “Asian Tigers”. By 1997 they were suffering currency crises and had to bebailed out by the IMF. Nearly 20 years on, two members of the “BRICs” (Brazil, Russia, India and China), lionized for propping up global growth in 2010, are close to recession. The mixture Brazil and Russia face-falling currencies, high inflation and slow growth-could make2015 a very bad year.
Trouble has beenbrewing for a while. Over a year ago James Lord of Morgan Stanley, a bank, labeled Brazil, India, Indonesia, South Africa and Turkey the “fragile five” of the emerging markets. His concern was that the combination of high inflation and big current-account deficits meant exports were too dear; their currencies topped his list of those likely totumble.Four of the five have since lost ground against the dollar, but a sixth emerging-market currency, the Russian rouble, has fallen much further. On November 5ththe central bank scaled back its expensive and futile efforts topropthe currency up, leaving it floating almost freely.
These countries have common problems, particularly high inflation. Each of the fragile five has a “twin deficit”; budget shortfalls that mean debts are piling up and current-account gaps that make them reliant on foreign capital inflows. Yet their prospects have diverged. India and Indonesia look secure. The rupee is up against the dollar since August of last year and the public-sector deficit is falling. The Indonesian rupiah has been less solid, losing 10% since end-August, but inflation has moderated and growth is strong.
The remaining four are faring less well. The South African rand and Turkish lira look likely to fall further since both still combine big current-account gaps with high inflation. Yet for government economists in Pretoria and Ankara there are chinks of light. Energy prices have dropped-great news for Turkey since oil and natural gas account for 60% of its energy supply, of which over 90% is imported. In South Africa, strikes which have stunted exports of minerals haveabated;the economy could grow by 2.5% next year.
Brazil and Russia, by contrast, are in a really bad shape. The largest emerging economies after China, together they have the heft of Germany. In both countries the currency is sliding. The real hit new lows in November after data revealed the budget deficit reached a record in September. The rouble is dropping faster, down 27% in a year and 10% in the past month. Both face stagflation: bubbly prices coupled with growth rates likely to be below 1% this year.
Some of their pain comes from abroad. Brazil’s main trading partners are slowing (China), stagnant (the euro area) or tanking (Argentina). Not only are export volumes down; but also the prices of things Brazil sells-iron ore, petroleum, sugar and soyabeans-are dropping as global demand falters. Russia is feeling the slowdown too, as energy prices fall. It is one of the world’s biggest producers of oil and natural gas. Its big five energy firms employ close to I m workers. Exports worth $350 billion flowed through pipelines to Europe and Asia in 2013. As prices drop, Turkey’s gain is Russia’s loss.
1).Which of the following is/are the result of high inflation and huge current account deficit? Answer in the context of the passage.
(A) Exports become a very costly affair.
(B) Currencies are very likely to tumble.
(C) Infrastructure cost reduces.
a) Only (A)
b) Only (B)
d) Only(A) and (B)
e) All(A), (B) and (C)
2).Find the correct statement(s) on the basis of the given passage.
a) The countries once known as Asian Tigers were forced to take financial support from the International Monetary Fund.
b) Brazil and Russia are the two BRICS countries who are facing falling currencies, high inflation and slow growth.
c) Russian rouble is the highest loser among the emerging market currencies.
d) The Indian currency is up against the dollar since August of last year.
e) All of these
3).What make(s) any country reliant on foreign capital inflows?
(A) Current Account Deficit (CAD)
(B) Increasing debt
(C) Increasing inflation
a) Only (A)
b) Only (B)
c) Only (C)
d) Only (A) and Only (B)
e) Only (B) and Only (C)
4).Which of the following statements in respect of the economies of India and Indonesia is correct?
(A) The financial condition of India and Indonesia is secure as of now.
(B) The public sector deficit of both the countries is falling.
(C) Both the countries have registered no economic growth in last one year.
a) All (A), (B) and (C)
b) Only (A) and (B)
c) Only (B) and (C)
d) Only (A) and (C)
e) None of these
5).Which of the following statements is not true with regard to the economic scenario of both Russia and Brazil?
a) In both the countries the value of currency is going down.
b) The economy of both the countries is in a bad shape.
c) Both the countries are facing stagflation.
d) Both of them are the largest emerging economies after China.
e) None of these
6).What is the meaning of the phrase ‘bailed out’ as used in the passage?
d) pulled out
e) left in the lurch
Directions (Q.7-8): choose the word/group of words which is MOST SIMILAR in meaning to the word/ group of words printed in bold as used in the passage.
d) Go down
Directions (Q.9-10): Choose the word/group of words which is MOST OPPOSITE in meaning of the words printed in bold as used in the passage.
d) hang loose
e) lay back
1). d) 2). e) 3). a) 4). b) 5). e) 6).d ) 7). a) 8). d) 9).e ) 10). c)
More Practice Set Questions for IBPS Clerk 2015:
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