Economics · Macroeconomics
A newspaper article reported that India's economy was in a 'Goldilocks situation.' In macroeconomic discussions, the term is used to describe an economy that is neither overheating nor slowing excessively, but operating under balanced conditions. Which one of the following situations best reflects such a 'Goldilocks' economic environment?
- 1Moderate growth, low direct tax rates and a high credit–deposit ratio in the banking system.
- 2Low direct tax rates, high inflow of foreign direct investment and a high credit–deposit ratio in commercial banks.
- 3Moderate economic growth accompanied by low inflation and supportive monetary conditions.✓
- 4High inflow of foreign investment, low direct tax rates and subdued inflation.
Correct answer
Moderate economic growth accompanied by low inflation and supportive monetary conditions.
Download Single Question PDF
Save this question and verified answer as a clean study sheet with live clickable link.
Share with Friends & Study Groups
Challenge your peer aspirants on WhatsApp or Telegram to solve this question!
Preparing for Economics?
Practice full-length Economics mock tests with real exam timers, instant score analysis, and all-India ranking.
Want more practice questions on Macroeconomics?
Solve complete topic-wise tests with detailed solutions on GkGet.
Related Practice Questions
Recommended practice questions in Economics · Macroeconomics