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.
21. What is location of proposed Indian Institute of Heritage and Conservation?
[A] Lucknow
[B] Noida
[C] Gwalior
[D] New Delhi
Show Answer
Correct Answer: B [Noida]
Notes:
In 2021, the government of India decided to set up the ‘Indian Institute of Heritage’ at Noida, Gautam Buddha Nagar. This will impact higher education and research in the field related to rich Indian heritage and its conservation leading to Masters and Ph.D courses in History of Arts, Conservation, Museology, Archival Studies, Archaeology, Preventive Conservation, Epigraphy and Numismatics, Manuscriptology etc. as well as conservation training facilities to in-service employees and the students of the Indian Institute of Heritage.
22. Which of the following correctly defines the Economic profit?
[A] Total revenue – Total cost
[B] Total cost – Total sold
[C] Total cost- Total revenue
[D] None of the above
Show Answer
Correct Answer: A [Total revenue – Total cost]
Notes:
Profit for any firm is the surplus of revenue over the total cost of production. It is the extra money generated over the cost of production.
Profit = Total Revenue – Total cost
23. What does free market in an economy imply?
[A] Minimum government intervention in trade and maximum regulations
[B] Maximum government intervention in trade and maximum regulations
[C] Minimum government intervention in trade and minimum regulations
[D] Maximum government intervention in trade and maximum regulations
Show Answer
Correct Answer: C [Minimum government intervention in trade and minimum regulations]
Notes:
In a free market economy, the law of supply and demand, rather than a central government, regulates production and labor. Companies sell goods and services at the highest price consumers are willing to pay while workers earn the highest wages companies are willing to pay for their services
24. Which of the following statements is true regarding a mixed economy?
[A] Private property is not encouraged
[B] Monopoly doesn’t exist in market
[C] The government play a role in the production and distribution of resources
[D] Consumers choice is limited
Show Answer
Correct Answer: C [The government play a role in the production and distribution of resources]
Notes:
In a mixed economic system, there is a cross between a market economy and the Socialist economy. In the most common types of mixed economies, the market is more or less free of government ownership except for a few key areas like transportation or sensitive industries like defense and railroad.
25. Carbamide is the alternative name of which fertilizer?
[A] Urea
[B] Potash
[C] Ammonium Nitrate
[D] Ammonium Phosphate
Show Answer
Correct Answer: A [Urea]
Notes:
Carbamide is the alternative name of Urea. Itc chemical formula is CO(NH₂)₂.
26. Which is the largest producer of Coconut in the country?
[A] Karnataka
[B] Andhra Pradesh
[C] Kerala
[D] None of the above
Show Answer
Correct Answer: C [Kerala]
Notes:
Kerala is the leading producer of coconut in the country. The coconut has multiple uses. All parts of coconut can be used for various purposes from medicinal to cooking.
27. In which state India’s first mega food park was established?
[A] Andhra Pradesh
[B] Telangana
[C] Maharastra
[D] Gujarat
Show Answer
Correct Answer: A [Andhra Pradesh]
Notes:
The first mega food park in the country is Srini mega food park at Chittoor in Andhra Pradesh. It was established in 2012.
28. Which among the following are the features of New Industrial policy of 1991?
- Public sector de-reservation
- Industrial licensing
- Liberalized Foreign Investment Policy
- Capital account convertibility
Choose the correct option from the codes given below:
[A] 1,2 and 3 only
[B] 1,2,3 and 4
[C] 2,3 and 4 only
[D] None of the above
Show Answer
Correct Answer: A [1,2 and 3 only]
Notes:
The features of the New Industrial Policy, 1991 are:
1. Public sector de-reservation
2. privatization of the public sector through disinvestment.
3. Amendments to Monopolies and Restrictive Trade Practices (MRTP) Act, 1969.
4. Liberalized Foreign Investments .
5. Foreign Technology Agreements (FTA).
6. Dilution of protection to SSI and emphasis on competitiveness enhancement.
The capital account convertibility was not allowed totally. The economy was opened to a certain extent but the government control still existed.
29. Which Industry in India is worst affected because of Partition in 1947?
[A] Jute and Sugar
[B] Big Industries
[C] MSME
[D] Jute and Cotton
Show Answer
Correct Answer: D [Jute and Cotton]
Notes:
During the partition of India in 1947 the jute mills remained in India whereas Jute producing areas went to East Pakistan. The cotton Mills which remained in India were without cotton as the areas went to Pakistan. Both big Industries and MSME’s in these sectors were effected
30. What is India’s rank in the gold consumption in the world?
[A] 3
[B] 2
[C] 1
[D] None of the above
Show Answer
Correct Answer: B [2]
Notes:
The top 3 gold consumers in the world are:
1. China
2. India
3. USA
