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    Question

    In each of the questions below four words are

    highlighted in the sentences. One of these four words printed in bold may be either wrongly spelt or inappropriate in the context of the sentence. Find out the word which is wrongly spelt or inappropriate, if any. If all the words printed in bold are correctly spelt and also appropriate in the context of the sentence, mark option ‘All are correct’ as your answer. Unchecked speculation can distort allocative efficiency, undermine macroeconomic stability , and create systemic vulneribility across financial markets.
    A allocative efficiency Correct Answer Incorrect Answer
    B macroeconomic stability Correct Answer Incorrect Answer
    C systemic vulneribility Correct Answer Incorrect Answer
    D financial markets Correct Answer Incorrect Answer
    E All are correct Correct Answer Incorrect Answer

    Solution

    The incorrect word is “vulneribility”. Correct spelling: vulnerability Error type: missing a after l Other expressions are correctly spelt and widely used in economic discourse: Allocative efficiency → optimal resource use Macroeconomic stability → overall economic balance Financial markets → trading systems

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