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. Who suggested the rolling plan for backward countries?
[A] Gunnar Myrdal
[B] Amartya Sen
[C] R.Samuelson
[D] M.R.Lewis
Show Answer
Correct Answer: A [Gunnar Myrdal]
Notes:
The Rolling Plan for backward countries was suggested by Gunnar Myrdal. The rolling plan consists of three different steps, First, a plan for the current year which includes the annual budget. Second, a plan fixed for a fixed number of years, say three-four or five years. As per the requirement of the economy, it is revised every year. Third a perspective plan for 10, 15, or 20 years.
12. When does the state government declare agricultural drought in an area?
[A] Rainfall less than normal by 10%
[B] Rainfall less than normal by 5%
[C] More than 20% state facing drought
[D] None of the above
Show Answer
Correct Answer: C [More than 20% state facing drought]
Notes:
Declaration of droughts is done by the States. Meteorological drought and agricultural drought are 2 kinds.
Meteorological drought is when rainfall is 10% or more, less than normal. Agricultural drought is when 20% or more area of a state is facing drought.
13. Which is the largest rubber producing state in India?
[A] Tripura
[B] Kerala
[C] Karnataka
[D] Tamil Nadu
Show Answer
Correct Answer: B [Kerala]
Notes:
Kerala produces around 78% of India’s natural rubber. In 2022-23, Kerala produced about 490,960 tons of rubber. The state has favorable tropical climatic conditions with high rainfall and humidity, suitable for rubber cultivation. Plantations are mainly concentrated in Kottayam, Pathanamthitta, and Idukki districts. The Rubber Board of India is headquartered in Kottayam, Kerala.
14. Which of the following factors determine the cropping pattern?
- Rainfall
- Climate
- Temperature
- Soil type
Select the correct option from the codes given below:
[A] 1, 2 and 4 only
[B] 1, 2 and 3 only
[C] 2, 3 and 4 only
[D] 1, 2, 3 and 4
Show Answer
Correct Answer: D [1, 2, 3 and 4]
Notes:
Cropping pattern is mainly determined by rainfall, climate, temperature, and soil type, as these directly influence the suitability and yield of crops in a region. All four factors interact to decide which crops can be grown where, making each one essential for determining cropping patterns in agriculture.
15. Which state is the largest producer of eggs in India?
[A] Tamil Nadu
[B] Andhra Pradesh
[C] Telangana
[D] West Bengal
Show Answer
Correct Answer: B [Andhra Pradesh]
Notes:
Andhra Pradesh contributed 18.37% of India’s total egg production in 2024-25, according to the Basic Animal Husbandry Statistics 2025. Andhra Pradesh produced the highest number of eggs among all Indian states. Annual total egg production in India reached 149.11 billion during 2024-25. The next largest producers were Tamil Nadu at 15.63% and Telangana at 12.98%.
16. Which type of poultry farming is primarily for egg production?
[A] Broiler
[B] Layer
[C] Both
[D] None
Show Answer
Correct Answer: B [Layer]
Notes:
Layer poultry farming involves rearing hens specifically for egg production. Layers start laying eggs at about 18-19 weeks of age and continue for approximately 72 weeks. Layer breeds such as White Leghorn and Rhode Island Red are commonly used for eggs. Broiler poultry farming involves birds reared mainly for meat, not for egg-laying purposes.
17. What is India rank in the production of Tobacco in the world?
[A] 1
[B] 3
[C] 2
[D] 4
Show Answer
Correct Answer: C [2]
Notes:
India is the second-largest tobacco producer and exporter in the world. China is the world’s largest producer and consumer of Tobacco.
18. What is the share of agriculture, forestry, and fishing in India’s 2024 GDP?
[A] 15%
[B] 18%
[C] 22%
[D] 25%
Show Answer
Correct Answer: B [18%]
Notes:
Agriculture, livestock, forestry, and fishing contributed approximately 18% to India’s nominal Gross Value Added in 2024. The First Advance Estimates for FY 2025-26 indicate a similar proportion. The share has declined from 52% in 1951 to 16-18% in 2024. The sector employs about 45.5% of India’s workforce.
19. Under which ministry is the Monopolies and Restrictive Trade Practices Commission?
[A] Ministry of Finance
[B] Ministry of Commerce
[C] Minsitry of Home Affairs
[D] Minstry of Corporate Affairs
Show Answer
Correct Answer: D [Minstry of Corporate Affairs]
Notes:
Monopolies and Restrictive Trade Practices Commission (MRTPC) was set up under the Monopolies and Restrictive Trade Practices Act, 1969. The MRTPC is an organ of the Department of Company Affairs, Ministry of Corporate Affairs, Government of India. MRTPC is a quasi-judicial body.
20. Which organization releases the Wholesale price Index(WPI)?
[A] Central statistical office
[B] NSSO
[C] Economic advisor
[D] None of the above
Show Answer
Correct Answer: C [Economic advisor]
Notes:
Wholesale Price Index (WPI) is computed by the Office of the Economic Adviser in Ministry of commerce & Industry, Government of India.
