Indian Economy MCQs

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Entertainment tax is levied by state government only. Now it has been subsumed under Goods and Service Tax by 101st Amendment to the Indian Constitution.

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The main motive of the government behind setting up fair price shops is to provide essential commodities to people living below the poverty line. The government buys commodities from farmers at their desirable prices and sells them through fair price shops at half price. This allows people who are unable to buy things from the market due to high prices to purchase necessary products.
Fair price shops are also known as ration shops. Any family with a ration card can purchase a stipulated amount of food grains, sugar, kerosene, etc..
Dual pricing, also known as dynamic pricing or surge pricing, is a pricing strategy in which a business charges different prices for the same product or service based on factors such as demand, inventory levels, or weather conditions. The purpose of dual pricing is to drive other competitors out of the business in order to dominate a product niche or even an entire industry.

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Effective Revenue Deficit is the difference between revenue deficit and grants for creation of capital assets.

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The Mutual Fund is constituted as a trust in accordance with the provisions of the Indian Trusts Act, 1882 by the Sponsor. The trust deed is registered under the Indian Registration Act, 1908.

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The Engine division of Hindustan Aeronautics Limited (HAL), a defence enterprise of the Government of India, is located at Sunabeda, 15 km from Koraput town. This factory manufactures aircraft engines for MiG and Sukhoi fighter aircraft. Koraput is a district of Odisha, India, and known for rich and diverse types of mineral deposits. It is located along the Eastern Ghats.

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The mica industry in India has long been of the world’s largest in terms of mica production and mica exports. India’s mica mining plays an important role in the country’s overall mining activity, contributing significantly to the economic growth of India.

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The Small Industries Development Organization (SIDO) is the national SME Development Agency of India. It is a major constituent of the Ministry of Small Scale Industries of the Government of India. It was Set up in 1954, SIDO provides services to small industry throughout the country by implementing a broad program of activities and services like Entrepreneurship Development, Tool Room Services, Testing Centres, Extension Services, R&D Services, etc.

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In the calculation of national income, the value of old goods sold is not included. National income accounting typically focuses on the value of goods and services produced within a specific period, usually a year. It includes the production of new goods and the provision of services. However, the resale of old goods does not contribute to the current production of goods and services and therefore is not counted. Additionally, non-market services such as the services of a housewife, which are not paid for in the market, are also not included in the national income calculations. This exclusion is due to the difficulty in accurately measuring the economic value of such non-market services.

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A mixed economy is variously defined as an economic system blending elements of market economies with elements of planned economies, free markets with state interventionism, or private enterprise with public enterprise.

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A foreign direct investment (FDI) is an investment in the form of a controlling ownership in a business in one country by an entity based in another country.