Economics · Economy

Consider the following economic statements regarding investment flows: I. A sharp decline in net Foreign Direct Investment (FDI) inflows can generate depreciation pressure on the domestic currency. II. Foreign Portfolio Investment (FPI) is categorized as a part of net Foreign Direct Investment (FDI). III. Historically, FDI inflows exhibit lower volatility compared to hot money flows like FPI. Which of the statements given above are correct?

Verified Solution4 OptionsUpdated: October 2026👁️1 View

Correct answer

I and III only

Save this question and verified answer as a clean study sheet with live clickable link.

👥

Challenge your peer aspirants on WhatsApp or Telegram to solve this question!

Online Test Series

Practice full-length mock tests with real exam timers, instant score analysis, and all-India ranking.

Chapter Practice

Want more practice questions on Economy?

Solve complete topic-wise tests with detailed solutions on GkGet.

Recommended practice questions in Economics · Economy

Mahatma Gandhi's last fast unto death in 1948 was primarily against which of the following?

What was the primary meaning of 'Swaraj' as popularized by Mahatma Gandhi during India's independence movement?

What was one major impact of India’s independence on its economy?

Related Practice Questions