Indian Economy MCQs

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A greenfield project starts with undeveloped land or systems. There are no pre-existing structures or frameworks limiting design or construction. The term greenfield is used in construction, manufacturing, and software for projects without legacy constraints. Greenfield airports, factories, or platforms are examples. Brownfield projects, in contrast, must adapt to existing infrastructure. Both public and private sectors initiate greenfield projects worldwide.

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Mahila Samriddhi Yojana was launched by the Government of India in 1993. The scheme enables rural women aged 18 and above to open savings accounts in post offices. Accounts under this scheme earn interest and promote regular savings. The scheme focuses on low-income rural women. Only one account per eligible woman is allowed.

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The divisible pool includes Personal Income Tax, Corporation Tax, and GST, as per Finance Commission recommendations. Cess and surcharges are excluded from the divisible pool since the 80th Amendment to Article 270. Cess revenue is not shared with states. Cess is levied for specific purposes and remains with the Centre.

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The National Social Assistance Programme was launched on 15 August 1995 as a Centrally Sponsored Scheme. Its objective is to provide social security and income support to elderly persons, widows, and persons with disabilities living below the poverty line. NSAP includes five sub-schemes, such as Indira Gandhi National Old Age Pension Scheme and Indira Gandhi National Widow Pension Scheme. In 2025–26, 3.09 crore beneficiaries were supported.

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The International Development Association (IDA) is part of the World Bank that helps the world’s poorest countries. It is an agency providing ‘soft loans’ to developing countries. It aims to reduce poverty by providing loans and grants for programs that promote economic growth, reduce inequalities, and improve people’s living conditions.

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The RBI manages foreign exchange rates by buying or selling foreign currency to influence demand and supply. This process is known as market intervention. The RBI acts under the Foreign Exchange Management Act (FEMA), 1999. The Financial Markets Department of RBI conducts these operations. The exchange rate in India follows a managed float regime and is not fixed by decree.

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The Second Five Year Plan (1956–1961) gave priority to the development of heavy industries in the public sector. It was based on the Mahalanobis model, which emphasized rapid industrialization to build the capital goods base and support long-term growth.

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The Prime Minister of India serves as the ex-officio chairperson of the NITI (National Institution for Transforming India) Aayog. It is a policy think-tank that provides both directional and policy inputs while designing strategic and long-term policies and programmes for the Government of India. It replaced Planning Commission on 1 January, 2015.

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Blended cements in India use fly ash (Portland Pozzolana Cement) and blast furnace slag (Portland Slag Cement) to enhance properties and sustainability. Limestone is the primary raw material for clinker production, which is then blended with other materials. All three—fly ash, blast furnace slag, and limestone—are thus involved in blended cement manufacturing processes in India.

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The quinary sector encompasses high-level decision-making roles, including government leaders, corporate executives, and top officials. It is considered the fifth sector in the structure of the economy. The term separates these leadership roles from the knowledge-based roles found in the quaternary sector. The concept of the quinary sector was developed to highlight the significance of these top-level managerial and policy-making functions in economic activities.