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.
11. Which of the following bodies issues white-colour and blue-colour forms to investors?
[A] SEBI
[B] IrDA
[C] RBI
[D] NSE
Show Answer
Correct Answer: A [ SEBI ]
Notes:
White colour forms are for Resident Indian, and blue colour forms are for NRIs, Foreign Venture Capital, Investor, and Foreign Institutional Investors. These forms are issued by SEBI for investment in capital market.
12. Which committee is responsible for identifying out the criteria for the urban poor or urban BPL families?
[A] Hashim Committee
[B] Naresh Chandra Committee
[C] Sachar Committee
[D] Bhure Lal Committee
Show Answer
Correct Answer: A [ Hashim Committee ]
Notes:
Hashim Committee gave the criteria for identifying the urban poor or urban BPL families. The committee based its identification criteria on the parameters that were mapped by the Socio-Economic Caste Census (SECC).
13. Which of the following curves represents the demand of all consumers in the market taken together at different levels of the price of the good?
[A] Monotonic
[B] Indifferent
[C] Market demand
[D] Diminishing
Show Answer
Correct Answer: C [Market demand]
Notes:
The market demand curve is the summation of all the individual demand curves in a given market. It shows the quantity demanded of the good by all individuals at varying price points.
14. Which of the following clearly define mixed economy? (UPSC Prelims 1981).
[A] Co-existence of private and public sectors
[B] Co-existence of small and large scale industries
[C] Industries completely owned by the Government
[D] Control of means of production by the Government
Show Answer
Correct Answer: A [Co-existence of private and public sectors]
Notes:
A mixed economy combines public and private ownership and economic activity. Markets and private enterprise coexist with government enterprises, regulation and public provision of services.
15. Which of the following industries was affected most due to partition? (UPSC Prelims 1987)
[A] Cotton and jute
[B] Small scale industries
[C] Steel industries
[D] Tea and cotton
Show Answer
Correct Answer: A [Cotton and jute]
Notes:
Partition disrupted cotton and jute textiles by separating important raw-material areas from processing centres. Much of the jute-growing area went to East Pakistan, while many jute mills remained near Calcutta; cotton-growing areas were also divided.
16. Which crop has the highest production in India?
[A] Rice
[B] Wheat
[C] Tobacco
[D] Gram
Show Answer
Correct Answer: A [Rice]
Notes:
India’s rice production is projected at 152 million tonnes for the 2025-26 crop season. Wheat output is estimated at 117.9 million tonnes in the same period. India accounts for 30.3% of global rice exports. Rice production in India consistently surpasses other major crops, making it the leading agricultural commodity in the country by volume.
17. Which of the following is considered as transfer payment?
[A] College fees
[B] Bank loan
[C] Bonus of employees
[D] Unemployed allowance by the government
Show Answer
Correct Answer: D [Unemployed allowance by the government]
Notes:
Transfer payment– is the payment by the government in grants, allowances, pensions etc to people such as pensioners, widows, sick or unemployed people or others with little or no income. It does not include subsidies given by the government .
Ex: PM KISAN amount transfer
18. Who among the following created the Human development index?
- Amartya Sen
- Mehboob Ul Haq
- Paul Krugman
- Walter Gillies
Choose the correct option from the code given below:
[A] 1 and 2 only
[B] 2 and 3 only
[C] 1 and 4 only
[D] 3 and 4 only
Show Answer
Correct Answer: A [1 and 2 only]
Notes:
Amartya sen and Mehboob Ul Haq created the Human Development Index which captures the development of human beings of a country as development is not only about economic indicators.
19. Who is the first India born woman economist to become chief economist at International Monetary Fund?
[A] Arundhati Bhattacharya
[B] Gita Gopinath
[C] Chanda Kochhar
[D] None of the above
Show Answer
Correct Answer: B [Gita Gopinath]
Notes:
Indian Born Gita Gopinath became the first woman ever and second India-born to hold the prestigious post of Chief Economist to IMF in 2019. The first India-born to hold the top position at IMF was former RBI governor Raghuram Rajan.
20. The classification of Sectors in an economy into the public and privates sector is on the basis of which of the following?
[A] On the basis of activity
[B] On the basis of work condition
[C] On the basis of Ownership
[D] None of the above
Show Answer
Correct Answer: C [On the basis of Ownership]
Notes:
On the basis of ownership, the economy is divided into public and private sectors. The public sector is owned by the government whereas the private sector is owned by Private individuals.
