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Question

With reference to Asian Development Bank, consider the following statements :
I. United States has the largest proportion of shares in the voting system.
II. China and India have the same percentage of shares for the voting system.
Which of the statement(s) given above is/are correct ?

The correct answer is
Neither I nor II

Analysis of Statements on Asian Development Bank (ADB) Voting System:

Statement I Evaluation: US Share Proportion

The statement claims the United States has the largest proportion of shares in the ADB voting system. While the US is a major shareholder, it holds its share percentage tied with Japan. Both countries possess the largest individual shareholding proportions. Therefore, the assertion that the US *alone* holds the largest proportion is factually inaccurate as it is not the sole largest shareholder.

Statement II Evaluation: China and India Share Proportion

This statement posits that China and India have the same percentage of shares in the ADB voting system. Available data indicates that China's share percentage is slightly higher than India's. Consequently, they do not hold equal percentages of shares.

Conclusion on Statements

  • Statement I is incorrect because the US share is tied with Japan, not uniquely the largest.
  • Statement II is incorrect because China and India have different share percentages.

Since both statements are incorrect, the correct option is that neither statement is correct.

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Important Questions from International Trade

  1. The Net Barter terms of trade refer to:

  2. A sudden shift from import tariffs to free trade may induce short‐term unemployment in:

  3. The theory which explains the effect of devaluation on balance of trade is known as:

  4. Which one of the following is not the disadvantage of international licensing?

  5. Which one of the following factor does not influence the flow of FDI under Demand factors?

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