Assertion (A): The rupee was devalued in 1991.
Reason (R): Devaluation makes a country's exports cheaper for foreign buyers.

Both A and R are true, and R is the correct explanation of A.Correct answerYour answerBoth A and R are true, but R is not the correct explanation of A.Correct answerYour answerA is true, but R is false.Correct answerYour answerA is false, but R is true.Correct answerYour answer

Show the answer and explanation

CorrectNot quiteAnswer A

Correct answer: A

Devaluation was meant to earn more foreign exchange by making exports cheaper abroad.
R explains A.

Concept: Foreign exchange reforms
Typical timeTypical: 70 s
Your timeYours: —

The rule this testsLiberalisation

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Ten questions from Economic Reforms since 1991 (LPG), at your own pace.

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Ten questions from Economic Reforms since 1991 (LPG), at your own pace.

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Assertion (A): The rupee was devalued in 1991.Reason (R): Devaluation makes a country's exports cheaper for foreign buyers.

Explanation

Assertion (A): The rupee was devalued in 1991.
Reason (R): Devaluation makes a country's exports cheaper for foreign buyers.