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. What should be the minimum net worth of a company to get registered as Infrastructure Finance Company?
[A] Rs 250 crore
[B] Rs 350 crore
[C] Rs 300 crore
[D] Rs 100 crore
Show Answer
Correct Answer: C [Rs 300 crore]
Notes:
As per RBI, any non-banking financial company can be registered as an Infrastructure Finance Company, subject to the company must have a minimum net worth of Rs 300 Crore.
12. What does low price elasticity of demand for a commodity show?
[A] Necessity of good
[B] It is luxury good
[C] It doesn’t have importance
[D] It is inferior good
Show Answer
Correct Answer: A [Necessity of good]
Notes:
Price Elasticity is the measure of the degree of responsiveness of demand for a commodity to change in its price. That means the low price elasticity is demand doesn’t change with the price. These are the necessary goods.
13. In which year, Maruti Udyog limited was started?
[A] 1982
[B] 1987
[C] 1985
[D] 1983
Show Answer
Correct Answer: D [1983]
Notes:
In 1983, the first Maruti car rolled off the assembly line in Gurgaon. Maruti Suzuki India Limited, formerly known as Maruti Udyog Limited when it started. It was sold to the Japnese firm Suzuki.
14. Which sector contributed the maximum to GDP at the time of Independence?
[A] Agriculture
[B] Services
[C] Manufacturing
[D] None of the above
Show Answer
Correct Answer: A [Agriculture]
Notes:
Agriculture contributed the maximum to GDP at the time of independence. But after the liberalization India moved towards the services and currently, the service sector contributed about 55% to GDP.
15. In which year, the Pradhan Mantri Gram Sadak Yojana was launched to improve rural connectivity?
[A] 2001
[B] 1999
[C] 2000
[D] 1998
Show Answer
Correct Answer: C [2000]
Notes:
The Pradhan Mantri Gram Sadak Yojana is a nationwide plan in India to provide good all-weather road connectivity to unconnected villages. It was launched in 2000 under the Ministry of Rural Development.
16. What was the second Five Year plan known as?
[A] Nehru-Mahalonibis
[B] Harrod-Domar
[C] Mountbatton-Nehru
[D] Nehru-Swami
Show Answer
Correct Answer: A [Nehru-Mahalonibis]
Notes:
The Second Plan was particularly in the development of the public sector and “rapid Industrialisation”. The plan followed the Mahalanobis model, an economic development model developed by the Indian statistician Prasanta Chandra Mahalanobis in 1953. The plan attempted to determine the optimal allocation of investment between productive sectors in order to maximize long-run economic growth.
17. What does a rolling plan refer to?
[A] Targets are changed every year
[B] Plan allocation changes every year
[C] Changes both allocation and target every year
[D] Dont change target but change allocation
Show Answer
Correct Answer: C [Changes both allocation and target every year]
Notes:
Rolling plan can be defined as the plan where there is no fixation of dates in respect of commencement and end of the plan. The meaning of the Rolling Plan was that now, every year the performance of the plan will be assessed and a new plan will be made next year based upon this assessment.
18. What percentage of Indian urea production must be neem-coated by manufacturers?
[A] 35%
[B] 50%
[C] 100%
[D] 75%
Show Answer
Correct Answer: C [100%]
Notes:
In September 2015, the Government of India mandated 100 percent neem coating for domestically produced urea. This requirement was implemented to prevent diversion of subsidized urea, enhance nitrogen use efficiency, and improve crop yields. Neem coating of urea acts as a nitrification inhibitor, reducing nitrogen loss through leaching and volatilization while discouraging misuse of urea for industrial purposes.
19. Which among the following is / are Kharif Crop(s)?
- Maize
- Rice
- Groundnut
- Cotton
Select the correct option from the codes given below:
[A] 1, 2 and 3
[B] 1 and 3
[C] 2 and 4
[D] 1, 2, 3 and 4
Show Answer
Correct Answer: D [1, 2, 3 and 4]
Notes:
The kharif crops include rice, maize, sorghum, pearl millet/bajra, finger millet/ragi (cereals), arhar (pulses), soyabean, groundnut (oilseeds), and cotton.
20. What is the share of Indian major carps in inland freshwater aquaculture production?
[A] 50-60%
[B] 57%
[C] 70-87%
[D] >75% of total fish production
Show Answer
Correct Answer: C [70-87%]
Notes:
Indian major carps like catla, rohu, and mrigal contributed 70-87% of inland freshwater aquaculture production in India as per government and industry data for the period 2019-20. Inland fisheries account for around 62-65% of total fish production in the country and Indian major carps are the predominant species cultured in these waters.
