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. World Tourism Day is celebrated on which of the following days?
[A] September 12
[B] September 25
[C] September 29
[D] September 27
Show Answer
Correct Answer: D [September 27]
Notes:
Since 1980, the United Nations World Tourism Organization has celebrated World Tourism Day as international observances on September 27. This date was chosen as on that day in 1970, the Statutes of the UNWTO were adopted.
12. Which of the following statements is not correct for economically underdeveloped countries? (UPSC Prelims 1987)
[A] Involvement of a very little proportion of labour in primary occupations
[B] Lower percentage of literacy
[C] Mass unemployment
[D] High birth rate
Show Answer
Correct Answer: A [Involvement of a very little proportion of labour in primary occupations]
Notes:
Primary jobs involve getting raw materials from the natural environment e.g. Mining, farming and fishing. There are a lot of people who are engaged in primary occupations in an economically underdeveloped country.
13. Why did famine intensity rise in India under British rule? (UPSC Prelims 1991)
[A] The failure of monsoons became frequent
[B] The drain of wealth from India was uncontrolled
[C] Poor distribution of food grains
[D] Discriminatory protection to food processing industries
Show Answer
Correct Answer: B [The drain of wealth from India was uncontrolled]
Notes:
The uncontrolled drain of wealth by the British depleted resources, worsening famines. From 1763–1856, over 40 major rebellions followed such crises. The Sanyasi Rebellion post-1770 Bengal famine exemplifies the link between exploitation and food crises during British rule.
14. What is the name given to the unemployment which occurs when workers move from one job to another job? (UPSC Prelims 1992)
[A] Seasonal unemployment
[B] Frictional unemployment
[C] Technological unemployment
[D] Cyclical unemployment
Show Answer
Correct Answer: B [Frictional unemployment]
Notes:
Frictional unemployment is a type of unemployment. It is sometimes called search unemployment and can be based on the circumstances of the individual. It is time spent between jobs when a worker is searching for a job or transitioning from one job to another.
15. Who is the author of “Poverty and Famines”?
[A] Abhijit Banerjee
[B] J.R.Harris
[C] Amartya Sen
[D] K.N.Raj
Show Answer
Correct Answer: C [Amartya Sen]
Notes:
Amartya Sen’s “Poverty and Famines”, an essay by Sen on Entitlement and Deprivation (1981) is both theoretical and applied for work. In the essay, several famines have been studied in the working of a general theoretical framework from an original angle. He examined various meanings of poverty and drew attention to the incidence of absolute and relative deprivation.
16. Which among the following is a guiding force for the capitalist economy?
[A] Social service
[B] Private property
[C] Competition
[D] Profit motive
Show Answer
Correct Answer: D [Profit motive]
Notes:
Capitalism is often thought of as an economic system in which private actors own and control property in accord with their interests, and demand and supply freely set prices in markets in a way that can serve the best interests of society. The essential feature of capitalism is the motive to make a profit.
17. Who established Central India Spinning, Weaving, and Manufacturing Company in Bombay?
[A] Ratan Tata
[B] Jamsetji Tata
[C] D.Birla
[D] Baldev Das Birla
Show Answer
Correct Answer: B [Jamsetji Tata]
Notes:
Jamsetji Tata began his industrial career in 1877 with the Central India Spinning, Weaving, and Manufacturing Company in Bombay.
18. Which among the following is correct for a Registered seed?
[A] Genetic identitiy is not maintained
[B] Purity of genes is considered
[C] A Violet color certificate is issued
[D] It is breeded only by public sector
Show Answer
Correct Answer: B [Purity of genes is considered]
Notes:
A registered seed shall be the progeny of foundation seed that is so handled as to maintain its genetic identity and purity according to standard specified for the particular crop being certified. A purple color certificate is issued.
19. Which state produces the largest quantity of pulses in India?
[A] Rajasthan
[B] Madhya Pradesh
[C] Maharashtra
[D] Uttar Pradesh
Show Answer
Correct Answer: B [Madhya Pradesh]
Notes:
In 2022-23, Madhya Pradesh produced approximately 58.51 lakh tonnes of pulses. The state cultivates major pulses like gram, tur, and urad. Madhya Pradesh consistently ranks first in India’s pulses production according to Ministry of Agriculture data. Agriculture employs nearly 70% of the state’s population. The state’s soil and climate favor pulse cultivation.
20. 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%.
