Why is the offering of "teaser loans" by commercial banks a cause of economic concern? 1. The teaser loans are considered to be an aspect of sub-prime lending and banks may be exposed to the risk of defaulters in future. 2. In India, the teaser loans are mostly given to inexperienced entrepreneurs to set up manufacturing or export units. Which of the statements given above is/are correct?
A1 only
B2 only
CBoth 1 and 2
DNeither 1 nor 2
Answer & Solution
Correct answer: A. 1 only
UPSC CSE Prelims 2011 (GS-I, Set A), Q.80. Official answer key: A.
Related questions
Estimates of National Income in India are prepared by:Which one of the following is the primary source of energy in India?The 'tragedy of the commons' refers to:The three pillars of sustainability are typically:Sustainable development is best defined as:Kerala has a LOWER per capita income than Punjab but BETTER development outcomes in healthInfant Mortality Rate (IMR) measures:The Human Development Index (HDI) combines indicators from which three areas?