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 is not a Semi Luxury Tourist Train in India?
[A] Heritage Circuit
[B] Tiger Express
[C] Desert Circuit
[D] The Golden Chariot
Show Answer
Correct Answer: D [The Golden Chariot]
Notes:
Tiger Express is a semi-luxury train in India. It has been started in collaboration between the Railways and Indian Railway Catering and Tourism Corporation (IRCTC). It will take the tourist from travellers to the world-famous Bandhavgarh and Kanha National Parks in Madhya Pradesh. Desert Circuit and Heritage Circuit are two other semi-luxury tourist trains. The Golden Chariot is a luxury tourist train that connects the important tourist spots in the Indian states of Karnataka, Goa, Kerala, and Tamil Nadu & Pondicherry. It is named after the Stone Chariot in the Vitthala Temple at Hampi.
12. Financial inclusion means which of the following?
[A] retail banking
[B] bringing all poor people under banking net
[C] financial statements
[D] wholesale banking
Show Answer
Correct Answer: B [bringing all poor people under banking net]
Notes:
Financial inclusion aims to bring in digital financial solutions for the economically underprivileged people of the nation. It also intends to bring in mobile banking or financial services in order to reach the poorest people living in extremely remote areas of the country.
13. Standard of living of a nation can be judged by which of the following?
[A] Increase in GNP at factor cost
[B] Increase in GNP at cost including taxes and duties
[C] Increase in NNP at factor cost
[D] None of the above
Show Answer
Correct Answer: A [Increase in GNP at factor cost]
Notes:
GDP per capita only measures the income paid to those residing in the country’s borders. GNP per capita can raise a country’s standard of living. That’s because many citizens live in other countries to get better jobs. They also remit part of their wages back to their families at home.
14. Which was the largest part of non-plan expenditure in 1991-92?
[A] Subsidies on fertilizer
[B] Compensation to banks for loan waiving
[C] Interest payment
[D] Compensation for PSU losses
Show Answer
Correct Answer: C [Interest payment]
Notes:
In 1991-92, interest payments were the largest non-plan expenditure, estimated at Rs. 27,450 crores, surpassing other items like subsidies and compensations. This reflected the high fiscal burden due to accumulated government debt and was a key reason for economic reforms initiated that year.
15. Which of the following is a major shift in the 8th Five-Year Plan from its preceding ones?
[A] the significant reduction in public sector outlays
[B] the concentration of pubic investment in infra-structural sectors
[C] major investment in agriculture with a view to promote exports
[D] major investment in sectors in which industrial sickness has been a chronic problem
Show Answer
Correct Answer: A [the significant reduction in public sector outlays]
Notes:
One of the major highlight was modernization of the industries. The plan was launched with twin objectives of alleviation of poverty and unemployment. This plan period saw launching of many flagship programmes and reduction of public sector outlays. In the 8th five year plan, growth rate achieved was 6.8% against the target of 5.6%.
16. In which year did Amartya Sen receive the Bharat Ratna?
[A] 1998
[B] 2000
[C] 1999
[D] 1997
Show Answer
Correct Answer: C [1999]
Notes:
Amartya Sen, an Indian economist and Nobel laureate, was conferred the Bharat Ratna in 1999 for his contributions to welfare economics and social choice theory.
17. 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.
18. 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.
19. When was the 2nd Rolling plan introduced?
[A] 1976-77
[B] 1978-79
[C] 1980-81
[D] 193-84
Show Answer
Correct Answer: B [1978-79]
Notes:
After Morarji Desai came to power he started with an annual plan for 1978-79 and as a continuation of the terminated fifth-five year plan.
20. Which among the following has permission for commercial cultivation?
[A] Bt Brinjal
[B] Bt Cotton
[C] Bt Mustard
[D] Bt carrot
Show Answer
Correct Answer: B [Bt Cotton]
Notes:
Bt cotton is the only crop that is given permission for commercial cultivation. Bt Brinjal and Bt mustard are waiting for permission from the ministry of environment, forest, and climate change.
