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Summer 2013
Bachelor of Business Administration- BBA Semester 1
BBA103 –Business Environment -4 Credits
(Book ID:B1499)
Assignment Set -1 (60 marks)
Q1. Discuss how Monetary policy regulates the money supply in an economy through various
instruments.
Answer : Monetary policy, measures employed by governments to influence economic activity,
specifically by manipulating the supplies of money and credit and by altering rates of interest.
The usual goals of monetary policy are to achieve or maintain full employment, to achieve or
maintain a high rate of economic growth, and to stabilize prices and wages. Until the early 20th
century, monetary policy was thought by most experts to be of little use in influencing the economy.
Inflationary trends after World War II, however,
Q2.Differentiate between capitalist and socialist economies
Answer : Capitalism and socialism are somewhat opposing schools of thought in economics. The
central arguments in the socialism/capitalism debate are about economic equality and the role of
government: socialists believe economic inequality is bad for society and the government is
responsible for reducing it via programs that benefit the poor. e.g. free public education, free or
subsidized healthcare, social security for the elderly, higher taxes on the rich. On the other hand,
capitalists believe that government does not use economic resources as efficiently as private
enterprise and therefore society is better off with the free market determining economic winners
and losers.
Q3.Discuss how regulatory role of Indian government is different from participatory role.
Answer : A Participatory Note (PN or P-Note) in the Indian context, in essence, is a derivative
instrument issued in foreign jurisdictions, by a SEBI registered Foreign Institutional Investor (FII) or
its sub-accounts or one of its associates, against underlying Indian securities. The underlying Indian
security instrument may be equity, debt, derivatives or may even be an index. Further, a basket of
securities from different jurisdictions can also be constructed in which a portion of the underlying
securities is Indian securities or indices.
Q4.Discuss Privatisation in India with some examples.
Answer : (1) Releasing the large amount of public resources locked up in non-strategic PSEs, for
redeployment in areas that are much higher on the social priority, such as, basic health, family
welfare, primary education and social and essential infrastructure;
(2) Stemming further outflow of these scarce public resources sustaining the unviable non strategic
PSEs;
Q5.Discuss the basic differences between the GATT and the WTO.
Answer : General Agreement on Tariff and Trade(GATT) was established on a provisional basis after
the Second World War in the wake of other new multilateral institutions dedicated to international
economic cooperation – notably the "Britton Woods" institutions now known as the World Bank and
the International Monetary Fund.
The original 23 GATT countries were among over 50 which agreed a draft Charter for an
International Trade Organization (ITO) – a new specialized agency of the United Nations. The Charter
was intended to provide not only world
Q6.The Indian economy is the fourth largest economy of the world on the basis of Purchasing
Power Parity (PPP). Analyse India as an emerging economy with respect to different sectors.
Answer : There is broad consensus that the global center of economic growth is moving to Asia, and
as a large emerging nation with a growing middle class, India has captured the attention of
developed economies looking for new investment and trade opportunities. By some estimates,
India’s economy will grow from its current $1.8 trillion GDP to be the world’s third largest in 2030,
with a GDP of close to $30 trillion. A recent
Dear students get fully solved assignments
Send your semester & Specialization name to our mail id
-> help.mbaassignments@gmail.com
or
call us at -> 08263069601

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Bba103 –business environment

  • 1. Dear students get fully solved assignments Send your semester & Specialization name to our mail id -> help.mbaassignments@gmail.com or call us at -> 08263069601 Summer 2013 Bachelor of Business Administration- BBA Semester 1 BBA103 –Business Environment -4 Credits (Book ID:B1499) Assignment Set -1 (60 marks) Q1. Discuss how Monetary policy regulates the money supply in an economy through various instruments. Answer : Monetary policy, measures employed by governments to influence economic activity, specifically by manipulating the supplies of money and credit and by altering rates of interest. The usual goals of monetary policy are to achieve or maintain full employment, to achieve or maintain a high rate of economic growth, and to stabilize prices and wages. Until the early 20th century, monetary policy was thought by most experts to be of little use in influencing the economy. Inflationary trends after World War II, however, Q2.Differentiate between capitalist and socialist economies Answer : Capitalism and socialism are somewhat opposing schools of thought in economics. The central arguments in the socialism/capitalism debate are about economic equality and the role of government: socialists believe economic inequality is bad for society and the government is responsible for reducing it via programs that benefit the poor. e.g. free public education, free or subsidized healthcare, social security for the elderly, higher taxes on the rich. On the other hand, capitalists believe that government does not use economic resources as efficiently as private enterprise and therefore society is better off with the free market determining economic winners and losers. Q3.Discuss how regulatory role of Indian government is different from participatory role. Answer : A Participatory Note (PN or P-Note) in the Indian context, in essence, is a derivative instrument issued in foreign jurisdictions, by a SEBI registered Foreign Institutional Investor (FII) or its sub-accounts or one of its associates, against underlying Indian securities. The underlying Indian security instrument may be equity, debt, derivatives or may even be an index. Further, a basket of securities from different jurisdictions can also be constructed in which a portion of the underlying securities is Indian securities or indices. Q4.Discuss Privatisation in India with some examples. Answer : (1) Releasing the large amount of public resources locked up in non-strategic PSEs, for redeployment in areas that are much higher on the social priority, such as, basic health, family welfare, primary education and social and essential infrastructure;
  • 2. (2) Stemming further outflow of these scarce public resources sustaining the unviable non strategic PSEs; Q5.Discuss the basic differences between the GATT and the WTO. Answer : General Agreement on Tariff and Trade(GATT) was established on a provisional basis after the Second World War in the wake of other new multilateral institutions dedicated to international economic cooperation – notably the "Britton Woods" institutions now known as the World Bank and the International Monetary Fund. The original 23 GATT countries were among over 50 which agreed a draft Charter for an International Trade Organization (ITO) – a new specialized agency of the United Nations. The Charter was intended to provide not only world Q6.The Indian economy is the fourth largest economy of the world on the basis of Purchasing Power Parity (PPP). Analyse India as an emerging economy with respect to different sectors. Answer : There is broad consensus that the global center of economic growth is moving to Asia, and as a large emerging nation with a growing middle class, India has captured the attention of developed economies looking for new investment and trade opportunities. By some estimates, India’s economy will grow from its current $1.8 trillion GDP to be the world’s third largest in 2030, with a GDP of close to $30 trillion. A recent Dear students get fully solved assignments Send your semester & Specialization name to our mail id -> help.mbaassignments@gmail.com or call us at -> 08263069601