Economics set 1 MCQs
Practice interactive objective questions for this topic. Select an option to instantly verify your answer and read detailed explanations.
Q.1
Which of the following sectors in India faces seasonal unemployment?
A
Agriculture
B
Manufacturing
C
Medical
D
Information technology
Q.2
Which of the following statements correctly defines the green revolution?
A
It is a new strategy in agriculture to produce food grains, especially wheat and rice.
B
It is a new strategy to increase the share of the forest.
C
It is a new strategy to use green colour for all purposes.
D
It is a new strategy to use only herbal products.
Q.3
According to the Census of India 2001, which of the following is the main reason that Indian men migrate?
A
Education
B
Marriage
C
Work and employment
D
Business
Q.4
Which of the following options is the most appropriate cause for unemployment in India?
A
Over population
B
Environment conditions
C
High educational systems
D
Lack of labour force
Q.5
The 'Make in India' initiative primarily focuses on which sector?
A
Agriculture
B
Manufacturing
C
Services
D
Mining
Q.6
In which of the following situations does the government run a deficit budget?
A
When the government expenditure and revenue both are zero.
B
When the government expenditure exceeds revenue.
C
When the government expenditure equals revenue.
D
When the government revenue exceeds expenditure.
Q.7
Which state in India was the most transformed by the Green Revolution?
A
Kerala
B
Maharashtra
C
West Bengal
D
Punjab
Q.8
What is the primary objective of the Micro, Small, and Medium Enterprises Development (MSMED) Act of 2006 in India?
A
To regulate foreign companies
B
To focus on large-scale industries only
C
To increase import tariffs to protect MSMEs
D
To promote and facilitate the development of MSMEs
Q.9
In which form of exchange are goods used as medium of exchange?
A
Online exchange
B
Credit exchange
C
Currency exchange
D
Barter exchange
Q.10
What was a significant negative environmental impact of the Green Revolution?
A
Deforestation
B
Soil degradation
C
Increase in air pollution
D
Ozone layer depletion
Q.11
Which of the following is an example of public sector industry in India?
A
Bharat Heavy Electricals Limited
B
Bajaj Auto
C
Dabur
D
Tata Iron Steel Company
Q.12
Which of the following statements about the second five-year plan is INCORRECT?
A
The plan stressed the rapid industrialisation of heavy and basic industries.
B
Electricity, Railway, Steel etc. industries were established during the plan.
C
The plan was based on the Keynesian Model.
D
The socialist pattern of the society was reflected in the plan.
Q.13
What action was taken by the government to celebrate the achievement of the Green Revolution in agriculture?
A
Released a regular salary for the farmers
B
Distributed free food to all the people
C
Released a special stamp, 'Wheat Revolution'
D
Distributed green vegetables to the people
Q.14
The Mahalanobis model was the basis for which Five-Year Plan?
A
Fourth Five-Year Plan
B
Second Five-Year Plan
C
Sixth Five-Year Plan
D
First Five-Year Plan
Q.15
What were the main obstacles during the industrial development of India at the time of independence?
A
Market for industrial produce
B
Capital investment in industries
C
Employment required for industries
D
Land for industrial establishment
Q.16
Which of the following institutions has contributed mainly in improving the economic status of the poor women in rural areas?
A
Indira Awas Yojana
B
Integrated Development Project
C
Self-help Group
D
Rural Health Scheme
Q.17
Harrod Domar model was the main idea behind the Five Year Plan.
A
Third
B
First
C
Second
D
Fourth
Q.18
Which is the National Mission for Financial Inclusion to ensure access to financial services, namely, a basic savings and deposits accounts, remittance, credit, insurance, pension in an affordable manner?
A
Digital India
B
Make in India
C
Pradhan Mantri Mudra Yojana
D
Pradhan Mantri Jan Dhan Yojana
Q.19
According to the Census of India 2011, which Union Territory has the highest density of population?
A
Andaman and Nicobar Islands
B
Lakshadweep
C
Puducherry
D
Delhi
Q.20
Which of the following statements is correct?
A
The five-year plan focuses mostly on private intervention in the economy.
B
The five-year plan always focused on the growth of the tertiary sector.
C
The five-year plan permits long-term intervention by the government in the economy.
D
A five-year plan always stresses market oriented activities.
Q.21
Which of the following is an example of a non tax revenue source for the government?
A
Fees and fines
B
Personal income tax
C
Corporate income tax
D
Value-added tax
Q.22
Which of the following documents provides a framework, rules and regulations for setting up public and private industries in India?
A
Industrial policy
B
Annual report of the trade union
C
Company's financial statement
D
Union Budget
Q.23
The central bank of India or Reserve Bank of India was created before Independence, in the year 1934. The recommendation to create a central bank was made by a commission called:
A
Simon Commission
B
Hunter Commission
C
Cabinet Mission
D
Hilton Young Commission
Q.24
Which Five-Year Plan primarily focused on the 'Garibi Hatao' initiative?
A
Sixth Five-Year Plan
B
Fourth Five-Year Plan
C
Fifth Five-Year Plan
D
Third Five-Year Plan
Q.25
Match the concepts in column A with their respective descriptions in column B. Column A
A
a-2, b-1, c-3, d-4
B
a-3, b-1, c-2, d-4
C
a-3, b-4, c-1, d-2
D
a-4, b-3, c-2, d-1
Q.26
The term 'Microfinancing' was first used in the 1970s during the development of Grameen Bank of Bangladesh, which was founded by .
A
Muhammad Yunus
B
Adam Smith
C
Jeremy Bentham
D
Alfred Marshall
Q.27
What is the economic justification for subsidies in the agriculture sector?
A
It is mostly used to provide benefits for rich farmers.
B
It is a part of government expenditure in the service sector.
C
It is an incentive to provide the benefits of advanced technology and decrease the cost of production.
D
It is used to provide benefits for capital goods producers in agriculture.
Q.28
What is net investment?
A
Sum of all the investments in a country
B
Gross investment + depreciation
C
Gross capital investment - indirect taxes
D
Gross investment - depreciation
Q.29
What is subtracted from GDP to arrive at NDP?
A
Subsidies
B
Depreciation
C
Net indirect taxes
D
Net factor income from abroad
Q.30
What is the relationship between interest rate and demand for money?
A
No relationship exists
B
Inverse
C
Direct
D
Proportionate