Indian Economy MCQs

Indian Economy Multiple Choice Questions (MCQs) for SSC, State and all One Day Examinations of India. Objective Questions on Indian Economy for competitive examinations.

1. The Core inflation is different from the general inflation because of the following?
[A] Core Inflation is caused by the supply Shock in certain essential commodities
[B] Core Inflation is the sudden increase in certain items of food grains
[C] Core Inflation is the inflation rate of a particular basket of commodities
[D] Core Inflation is just a misnomer

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2. What was the period of India’s First Five Year Plan?
[A] 1951-56
[B] 1961-66
[C] 1969-1974
[D] 1979-1984

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3. Which defines fiduciary issue of currency notes?
[A] The portion of notes issued beyond metallic reserves, backed by trust or securities
[B] The issue of notes with metallic backing
[C] The issue of notes without any metallic backing
[D] The issue of notes with partial metallic backing

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4. Which is the largest source of irrigation in India after rainfall?
[A] Canals
[B] Rivers
[C] Tanks
[D] Tubewells

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5. With which of the following countries, India has signed First Tax Information Exchange Agreement?
[A] Belize
[B] Bermuda
[C] Guyana
[D] Honduras

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6. Which among the following coal producer of India is outside the Coal India Ltd?
[A] Southern Eastern Coalfields (Bilaspur)
[B] Bharat Coking Coal (Dhanbad)
[C] Mahanandi Coalfields (Sambalpur)
[D] Singerani Collieries Company (Telangana)

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7. The Direct Taxes Code (DTC) is associated with which tax?
[A] Income Tax
[B] Sales Tax
[C] Excise Duty
[D] Service Tax

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8. When investors buy securities directly from the company issuing them, then it is termed as __:
[A] Follow on Public Offer
[B] Initial public offering
[C] Primary Market
[D] Secondary Market

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9. Which of the following indicates a Liquidity trap?
[A] expansionary monetary policy does not encourage economic growth
[B] open market operations results in decrease in interest rates
[C] government prefers fiscal policies over monetary policies to regulate the money supply
[D] government undergoes liquidation of the government holdings on larger-scale to reduce fiscal deficit

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10. The SPS Agreement under the WTO is most concerned with which among the following?
[A] Trade of plant genetic materials
[B] Phytosanitary Measures
[C] Technical Barriers to Trade
[D] Trade in Fertilizers

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