Indian Economy Questions and Answers Part-2

1. 70% of working population of India is engaged in:
a) public sector
b) primary sector
c) secondary sector
d) tertiary sector

Answer: b

2. Economic survey is published by:
a) Ministry of Finance
b) Planning Commission
c) Govt. of India
d) Indian Statistical Institute

Answer: a

3. Who is called the 'Father of Economics' ?
a) Max Muller
b) Karl Marx
c) Adam Smith
d) None of these

Answer: c

4. The concept of Five Year Plans in India was introduced by
a) Lord Mountbatten
b) Jawaharlal Nehru
c) Indira Gandhi
d) Lal Bahadur Shastri

Answer: b

5. India has:
a) Socialistic economy
b) Gandhian economy
c) Mixed economy
d) Free economy

Answer: c

6. India opted for 'Mixed Economy' in :
a) Framing of the Constitution
b) Second Five Year Plan
c) Industrial Policy of 1948
d) None of the above

Answer: c

7. Mixed economy means an economy where
a) both agriculture and industry are equally promoted by the state
b) there is co-existence of public sector along with private sector
c) there is importance of small scale industries along with heavy industries
d) economy is controlled by military as well as civilian rulers

Answer: b

8. India's economic planning CANNOT be said to be :
a) indicative
b) imperative
c) limited
d) democratic

Answer: b

9. Which of the following could be said to have prevented the 'trickle down' effects in Indian economy?
1. Increased dependence of agriculture on purchased inputs and privately managed irrigation
2. More employment of labour by larger landholding farmers
3. Lowered participation of women in agricultural workforce due to new technology
4. The failure of the Green Revolution
a) 1 and 2
b) 2 and 3
c) 1 and 3
d) 2 and 4

Answer: c

10. Which of the following are not correct assessments of the decades of India's Five-Year Plans?
1. There has been very low capital formation
2. Growth has favoured the better off
3. Production has increased substantially though often falling short of targets
4. The public sector has contributed nothing to economic growth
a) 1 and 4
b) 2 and 3
c) 1, 2 and 3
d) 3 and 4

Answer: a