ry TLE INSTITUTE OF BANI BANGLADESH (IBB) Banking Diploma Examination, December, 2015 JAIBB Principles of Economics and Bangladesh Economy (PBE) Time—3 hours Full marks—100 Pass marks—SO IN.B.—The figures in the right margin indicate full marks, Answer any five questions.] (@) Define economics and discuss the importance of the study of Economics by bankers. (b) uss the relationship between Economics and (i) Accounting: (ii) Finance; and (ii) Marketing. (a) Describe the determinants of Demand and Supply. (6) Explain some exceptions to the laws of demand and supply. (a) Distinguish between price clasticity of demand and income elasticity of demand. () Explain with the help of diagrams what is meant by price elasticity being (i) greater than { (i) less than I, fi) equalto |, (iv) equal to 0 and fy) equal to infinity. Give examples of each. Show in a diagram the price-output combination of a monopolist and a competitive producer and illustrate the superiority of competition over monopoly from the point of view of gain to the consumer. (a) Account for the slowdown in Bangladesh’s export growth in 2014-15 compared to past few years. (b) Suggest measures for increasing Bangladesh’s export earnings. Discuss the “anti-money laundering measures” so far undertaken by the Bangladesh Bank. Critically discuss the role of microcredit in alleviating unemployment and poverty in Bangladesh. (a) Present arguments welcoming foreign direct investment (FDI) in Bangladesh. (®) Suggest measures for attracting more FDI in the country. (a) “Inflation is like a tax on cash balances.’-—Explain (b) What happens to exchange rate when domestic inflation rate is high? Explain. Write short notes on any four of the following, — (a) CAMELS rating; (6) Green banking: (©) Financial inclusion; (d) Money multiplier; (e) Repo and reverse repo rate; Asian Clearing Union. Marks 10 10 10 10 a 15 20 20 20 10 10 10 S$4=20