Q: Statements:
I. The Government has imported large quantities of sugar as per trade agreement with
other countries.
II. The prices of sugar in the domestic market have fallen sharply in the recent months
A. Statement I is the cause and statement II is its effect
B. Statement II is the cause and statement I is its effect
C. Both the statements I and II are independent causes
D. Both the statements I and II are effects of independent causes
Solution: The increase in supply always triggers a reduction in the prices.
Q: Statements:
I. There is sharp decline in the production of oil seeds this year.
II. The Government has decided to increase the import quantum of edible oil.
A. Statement I is the cause and statement II is its effect
B. Statement II is the cause and statement I is its effect
C. Both the statements I and II are independent causes
D. Both the statements I and II are effects of independent causes
Solution: A sharp decline in oilseed production is bound to reduce oil supply and import of oil is the only
means to restore the essential supply.
Q: Statements:
I. Large number of people living in the low-lying areas has been evacuated during the
last few days to safer places.
II. The Government has rushed in relief supplies to the people living in the affected areas.
A. Statement I is the cause and statement II is its effect
B. Statement II is the cause and statement I is its effect
C. Both the statements I and II are effects of independent causes
D. Both the statements I and II are effects of some common cause
Solution: Evacuating low-lying areas and rushing in relief to the affected areas clearly indicates that
floods have occurred in the area.
Q: Statements:
I. The local co-operative credit society has decided to stop giving loans to farmers with
immediate effect.
II. A large number of credit society members have withdrawn major part of their deposits
from the credit society.
A. Statement I is the cause and statement II is its effect
B. Statement II is the cause and statement I is its effect
C. Both the statements I and II are independent causes
D. Both the statements I and II are effects of independent causes
Solution: Clearly, withdrawal of funds by society members is bound to reduce the lending power of the
society
Q: Statements:
I. The employees of the biggest bank in the country have given an indefinite strike call
starting from third of the next month.
II. The employees of the Central Government have withdrawn their week long
demonstrations
A. Statement I is the cause and statement II is its effect
B. Statement II is the cause and statement I is its effect
C. Both the statements I and II are independent causes
D. Both the statements I and II are effects of independent causes
Solution: The employees of a bank going on strike and the government employees calling off their
protest seem to be two independent events that might have been triggered by individual
causes.
Q: Statements:
I. Majority of the citizens in the locality belongs to higher income group.
II. The sales in the local super market are comparatively much higher than in other
localities.
A. Statement I is the cause and statement II is its effect
B. Statement II is the cause and statement I is its effect
C. Both the statements I and II are independent causes
D. Both the statements I and II are effects of independent causes
Solution: The comparatively higher sales in a particular locality are indicative of the high paying capacity
of the residents of that locality
Q: Statements:
I. The life today is too fast, demanding and full of variety in all aspects which at times
leads to stressful situations.
II. Number of suicide cases among teenagers is on increase
A. Statement I is the cause and statement II is its effect
B. Statement II is the cause and statement I is its effect
C. Both the statements I and II are independent causes
D. Both the statements I and II are effects of independent causes
Solution: Stress in everyday life is a major cause of frustration among the youth and is bound to lead
them to take harsh steps as suicide.