Chapter 3

NCERT
Class 10
Economics
Solutions
6. Tick the correct answer. (i) Over the years, Rama’s debt (a) will rise.

Question:

Tick the correct answer.

(i) Over the years, Rama’s debt

(a) will rise.

(b) will remain constant.

(c) will decline.

(ii) Arun is one of the few people in Sonpur to take a bank loan because

(a) Other people in the village prefer to borrow from the moneylenders.

(b) banks demand collateral which everyone cannot provide.

(c) The interest rate on bank loans is the same as the interest rate charged by the traders.

Answer:

(i) Over the years, Rama’s debt (a) will rise.

(ii) Arun is one of the few people in Sonpur to take a bank loan because (b) banks demand collateral which everyone cannot provide.

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