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 CONTENT

A. ECONOMIC DEVELOPMENT NATURE OF INDIAN ECNOMY 3

1. NATURE OF INDIAN ECONOMY 3

2. NATIONAL INCOME AND GROSS DOMESTIC PRODUCT 3

3. SUSTAINABLE ECONOMIC DEVELOPMENT 7

4. AGRICULTURE AND ALLIED SECTOR 8

5. INDUSRIAL SECTOR 16

6. TERTIARY SECTOR 26

7. FISCAL POLICY & REVENUE 26

8. PLANNING 36

9. MONEY AND BANKING 41

B. SOCIAL DEVELOPMENT 54

1. HUMAN DEVELOPMENT 54

2. EMPLOYMENT AND WELFARE SCHEMES 56

3. POVERTY AND UNEMPLOYMENT 67

C. EXTERNAL SECTOR 71

1. INTERNATIONAL TRADE 71

2. FOREIGN EXCHANGE, FDI AND EXTERNAL DEBT 77

3. INTERNATIONAL ORGANIZATIONS 82

D. MISCELLANEOUS 88

E. DEMOCRACY 95

1. INDIA: POPULATION 95
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2. INDIA: URBANISATION 106

3. WORLD: POPULATION AND URBANISATION 111

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 ECONOMY GHATNA CHAKRA
A. ECONOMIC DEVELOPMENT NATURE
OF INDIAN ECONOMY
NATURE OF INDIAN ECONOMY
1. India aims to achieve the 5 trillion-dollar
economy by:- 2024
2. Mixed economy in India means:- Co-
existence of public and private sector
3. Indian Economy is:- Mixed economy
4. It will be true to classify India as:- A
labour-surplus economy
5. An underdeveloped economy is generally
characterized by:- Low per capita income
and Low rate of capital formation
6. Which of the following correctly explains
that India is an underdeveloped economy:-
a) Inequitable distribution of income
b) High dependency ratio
c) Slower rate of increase in national
income
d) Change in banking and financial sector
Ans. None of the above
7. Which of the following features indicates
that India economy is in a developing
category:- (Correct)
• Occupation is mainly agriculture
• Disguised unemployment
• Poor quality of human capital
8. The Indian Economy can be described as:-
A developing economy
9. Indian Economy is characterised (Correct)
• Pre-dominance of Agriculture
• Low per Capita Income
• Massive Unemployment
10. Non-economic element in growth of the
country:- Social Behaviour
11. Which of the following is not part of the
Second Generation of Economic Reforms'
identified by the Government:- Legal
System Reforms
12. Indian model of development ensures
interest of:- State and Person both.
NATIONAL INCOME AND GROSS
DOMESTIC PRODUCT
1. The term National Income represents:-
Gross National Product at market prices
minus depreciation and indirect taxes
plus subsidies
2. National Income is:- Net National Product
at factor cost
3. The Net National Product at Market Price:-
Gross National Product at Market Price –
Depreciation
4. The National income of a country for a
given period is equal to the:- money value
of final goods and services produced
5. In an open economy, the national income
(Y) of the economy is:
(C,I, GX, M stand for Consumption,
Investment, Govt. Expenditure, total exports
and total imports respectively):- YC+I+
G+(X – M)
6. Which of the following is not a method to
calculate the Gross Domestic Product
(GDP):- Diminishing cost method
The 3 methods which are used for
calculating the Gross Domestic Product
(GDP) are as follows-
• Product method
• Income method
• Expenditure method
7. 'Base year' in National Income accounting
means: (a) The year whose income is being
used to calculate the:- The year whose
prices are being used to calculate the real
GDP
8. One of the problems in calculating National
Income in India is:- non-organized sector
9. Read the following statements and choose
the correct option:-
a) Statement I: Net Domestic Product =
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Gross Domestic Product + Depreciation.
b) Statement II: Per Capita Income= Net
Domestic Product/ Total Population of
the Nation.
c) Statement III: Net Domestic Product is
the better metrics than Gross Domestic
Product for comparing the economies of
the world.
Ans. None of the above
10. If over a given period of time both prices
and monetary income have been doubled,
the real income will be:- Unchanged
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107. The concept of 'Navratna' is associated with:-
Selected Public Sector Enterprises
108. Which of the following does not enjoy
"Maharatna status (as on February 2013):- Oil
India Limited
➢ List of Maharatna CPSEs (As on
February, 2022):-
• Bharat Heavy Electricals Limited
(BHEL)
• GAIL (India) Limited
• Coal India Limited (CIL)
• Indian Oil Corporation Ltd. (IOCL)
• NTPC Limited
• Steel Authority of India Limited
(SAIL)
• Oil and Natural Gas Corporation
Limited (ONGC)
• Bharat Petroleum Corporation
Limited (BPCL)
• Hindustan Petroleum Corporation
Limited (HPCL)
• Power Grid Corporation of India
Limited (PGCIL)
• Power Finance Corporation Ltd
(PFCL)
109. Which of the following Central Public Sector
Enterprises CPSE) does not fall under the
category of ‘Maharatna' listed (January, 2020)
by the Department of Public Enterprises,
Government of India:- Oil India Limited
110. In the financial year 2010-11, the Government
of India announced a "Maharatna' scheme for
giving more autonomy and power to expand to
some of its 'Navratnas'. Which among the
following was not given Maharatna status:- Oil
India
111. As on October 2019, how many Maharatna
Companies are in India:- 10
112. List of Navratna CPSEs (as on February,
2022):-
• Bharat Electronics Limited
• Container Corporation of India Limited
• Engineers India Limited
• Hindustan Aeronautics Limited
• Mahanagar Telephone Nigam Limited
• National Aluminium Company Limited
• National Building Construction
Corporation Limited
• NMDC Limited
• Neyveli Lignite Corporation Limited
• Oil India Limited
• Rashtriya Ispat Nigam Limited
• Rural Electrification Corporation
Limited
• Shipping Corporation of India Limited.
113. Which one of the following Aluminium
Companies has been given 'Navaratna Status' by
the Government of India:- NALCO
114. What was the maximum amount which has been
provided as financial autonomy by the Ministry
of Heavy Industries and Public Enterprises of
Union Government to the 'Mini Ratna',
Category-I:- Rs. 500 crore
115. The correctly matched lists are as follows:-
Government Policy (Rajasthan) - Year
• Information Technology Policy - 2000
• Mineral Policy - 2011
• Hotel Policy - 2006
• Industrial & Investment Promotion Policy
2010
116. The Apex institution in the field of Industrial
finance in India is:- Industrial Development
Bank of India
117. Helpline 'Udyami' is meant for:- Micro, small
and medium enterprises
118. Headquarter or Madhya Pradesh Finance
Corporation is:- Indore
119. Long term credit to small and medium
enterprises is provided in Uttar Pradesh through:
-
• UP Small Industries Corporation
• UP Industrial Development Corporation
• UP Finance Corporation
Ans. All of the above
120. The U.P. Financial Corporation does not
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finance:- Tourism related industries
121. 'Udyog Bandhu' is a/an:- organization to assist
industrial units in solving time- bound
establishment and investment related
problems
122. Which region of the Uttar Pradesh has
developed most from the industrial point of
view:- Western
123. BIFR is related to:- Reconstruction and
financing of sick units
124. Mega Food Parks scheme has been initiated by
the Government of India with the objective:- To
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 • Brickwork Ratings is an Indian credit
rating agency.
323. Which is a credit rating agency in India:-
• CRISIL
• CARE
• ICRA
Ans. All of the above
324. Under which of the following circumstances
may 'capital gains' arise:- (Correct)
• When there is a natural increase in the
value of the property owned.
• When you purchase a painting and there
is a growth in its value due to increase in
its popularity.
325. The Phillips Curve represents relationship
between: - Inflation and Unemployment
326. 'Smart Money' is a term used for: - Credit
Card
327. What is called ‘Plastic Money’: - Credit card
328. Which one of the following is not a prepaid
payment instrument: - Credit Card of a
Nationalized Bank
329. For the existence of a market which is
indispensable: - Prices
330. Market is an economic tendency, which leads
to which of the following trends: -
Consumerism
331. The buyer's market is known where: - Supply
is more than the supply
332. Which type of market is suitable for vegetable
crops: - Very short term
333. The supply-side economics lays greater
emphasis on the point of view of: - Producer
334. When the total product remains constant, the
marginal product will be: - Zero
335. A consumer is said to be in equilibrium, if: -
He is able to fulfil his need with a given
level of income.
336. Other things remaining unchanged, market
demand for a good might increase if: -
(Correct)
• Price of its substitute increases
• Its price falls
337. With fixed demand and increase in supply, the
price of the commodity is likely to: - Decrease
338. A rise in general level of prices may be caused
by: - (Correct)
• An increase in the money supply.
• A decrease in the aggregate level of
output.
• An increase in the effective demand.
339. Supply of money remaining the same when
there is an increase in demand for money,
there will be: - An increase in the rate of
interest
340. Assertion (A): All businessmen make profit
due to price-hike.
Reason (R): The customer has to curtail his
needs due to price-hike.
Ans. Both A and R are true, but R is not
the correct explanation of A.
341. Improvement of profit volume ratio can be
done by the following: -
• Increasing selling price
• Altering sales mixture
• Reducing Variable cost
Ans. All of the above
342. For pricing of public goods, the concept of
‘Shadow Prices’ was given by: - J. Tinbergen
343. If a commodity is provided free to the public
by the Government, then: - The opportunity
cost is transferred from the consumers of
the product to the tax-paying public.
B. SOCIAL DEVELOPMENT
HUMAN DEVELOPMENT
1. Who originally propounded the theory of
three stages of social development: -
Auguste Comte
2. Statements
3. Assertion (A): There is a positive relation
between Human Development Index (HD)
and Sustainable Development Goals (SDG)
ranking of Indian States.
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Reason (R): The underlying dimension of
SDG targets are closely related to education
and health aspect.
Ans. Both (A) and (R) are true and (R) is
correct explanation of (A)
4. Which of the following is the correct order
in which the mentioned measures of
development were introduced: - Per-capita
Income, PQLI, HDI
5. Which one of the following pairs is the most
suitable estimate of the physical quality of
life: - Infant mortality rate –Literacy
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 85. In India disguised unemployment is main
characteristic of:- Primary Sector
86. In India disguised unemployment is found
in:- Agricultural sector
87. Disguised unemployment in India is mainly
related to:- (Correct)
• Agricultural sector
• Rural Area
88. The number of persons who remained
unemployed for a major part of the year is
called:- Usual status unemployment
89. Which of the following method is not used
by N.S.S.O. for the measurement of
unemployment in India:- Current Monthly
Status
90. In India which one of the following collects
and publishes the unemployment Index:-
N.S.S.O.
91. The growth rate of which one of the
following sectors has very low employment
elasticity:- Mixed Farming
92. Which one of the following is not
responsible for unemployment:- Growth of
per capita income
93. Assertion (A): The labour force
participation rate falling sharply in the
recent years for females in India.
Reason (R): The decline in labour force
participation rate is due to the improved
family income and increase in education.
Ans. Both (A) and (R) are true and (R) is
the correct explanation of (A)
94. What was the Current Daily Status (CDS)
unemployment rate in India as per National
Sample Survey 2011-12:- 5.6 percent
95. According to NSS 61st round data,
unemployment at current daily status in
rural as well as urban areas is nearly: - 8%
C. EXTERNAL SECTOR
INTERNATIONAL TRADE
1. The Government of India announced a new
scheme ‘NIRVIK’ in the Budget for 2020-
21. Which of the following sectors of
economy will take the benefit from this
scheme:- Export sector
2. Read the following statements about Supply
Chain Resilience Initiative (SCR):- In the
context of International trade, supply
chain resilience is an approach that helps
a country to ensure uninterrupted supply
of import in an unexpected situation.
3. Which Ministry of Government of India is
related for India's Foreign Trade Policy:-
Ministry of Commerce and Industry
4. The long-term vision of the Department of
Commerce is to make India a major player
in the world trade by:- 2020
5. International trade of India at present,
(Correct)
• India's merchandise exports are less than
its merchandise imports.
• India's exports of services are more than
its imports of services.
• India suffers from an overall
trade/current account deficit.
6. India's total merchandise trade as a
percentage of GDP has increased from
29.5% in 2004-05 to what percentage in
2012-13:- 40.6%
7. The combined share of exports and imports
of goods was 14.2 percent of GDP in 1990-
91. In 2011-12 this share became:- Almost
three times that of 1990-91
8. The exports of goods and services from
India as a percentage of India's GDP in
2010-11 was:- 22 percent
9. In 1950, India's share in global exports was
1.85 per cent, but today it is:- 0.60 per cent
10. What was the share of India in total world's
export in the year 2013:- 1.7 percent
11. What was India’s share in World Exports by
Commodity division and groups in 2018:-
1.7%
12. Which one of the following regions has
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emerged as the largest International Trade
Partner (Export and Import) of India in
2008-09:- Asia and ASEAN
13. Which one of the following regions of the
world supplies the maximum of our
imported commodities (in terms of rupee
value):- Asia and Oceania
14. Which one of the following regions had
largest share of India's imports in 2009-10:-
Asia and ASEAN
15. More than 50 percent of India's import
comes from:- Asian countries
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 comprise scores of ethnic groups. They
include highly industrialized economics and
up-and-coming economies. They span half
the sur- face of the earth and are home to
two-fifths of the world's population." The
group of countries referred to here belongs
to:- APEC
152. Which of the following is not associated
with NAFTA:- Great Britain
153. The latest regional economic bloc to be
formed is:- NAFTA
154. In which year was the SAPTA (South Asian
Preferential Trade Agreement) constituted:-
1993
155. Which of the following is the correct
chronological order of the above
agreements:- (Correct)
• SAPTA (South Asian Preferential Trade
Arrangement)
• ISLFTA(India-Sri Lanka Free Trade
Agreement)
• SAFTA (South Asian Free Trade Area)
• CECA (Comprehensive Economic
Cooperation
156. Correctly matched:-
Organizations - Headquarters
• Asian Development Bank - Manila,
Philippines
• Asia-Pacific Economic Cooperation -
Singapore
• Association of South-East Asian Nations
- Jakarta, Indonesia
157. G-15 is:- An organization of developing
countries of the World
158. Which one of the following countries is not
a member of the G-8 Group:- Spain
159. A present group of nations known as G-8
started first as G-7. Which one among the
following was not one of them:- Russia
160. Which country is not the member of G-8:-
India
161. The 37th Summit of G-8 was held in France
on 26-27 May 201l at:- Deauville
162. G-8 Maskoka Initiative is concerned with:-
Maternity and Child Health
163. ‘Indian Ocean Rim Association for Regional
Cooperation (10R-ARC)’, (Correct)
• It was established very recently in
response to incidents of piracy and
accidents of oil spills.
• It is an alliance meant for maritime
security only.
Ans. Neither a nor b
164. A group formed by India, China, Brazil and
other developing countries for future
negotiations at World Trade Organization is
known as:- G-77
165. Which of the following is not a member of
ASEAN:- India
166. 'ASEAN' stands for:- Association of South-
East Asian Nations
167. Which of the following countries is not a
member of ASEAN:- South Korea
168. Of which one group of Nations is Brunei a
member:- ASEAN
169. Which of the above are among the ‘free-
trade partners’ of ASEAN:- (Correct)
• Australia
• China
• India
• Japan
170. The term ‘Regional Comprehensive
Economic Partnership’ often appears in the
news in the context of the affairs of a group
of countries known as:- ASEAN
171. India is a member of which among the
following:- (Correct)
• East Asia Summit
172. 'Water Credit', (Correct)
• It puts microfinance tools to work in the
water and sanitation sector.
• It aims to enable the poor people to meet
their water needs without depending on
subsidies.
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D. MISCELLANEOUS
1. Who heads the panel on National Education
Policy constituted in June 2017 by the
Human Resource Development Ministry:-
K. Kasturirangan
2. New National Education Policy approved by
Union Cabinet of India on 29th July, 2020:-
It was drafted by a Committee headed by
Dr. K. Kasturirangan.
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153. In which State, India's largest Naphtha
Cracker Plant was inaugurated by Union
Petroleum Minister in February 2011:-
Haryana
154. How much is one barrel of oil
approximately:- 159 litres
155. Weight of L.P.G. in Kilogram filled in Non-
domestic gas cylinder is:- 19.0
156. The correct full form of PVR cinema is:-
Priya Village Road Show
157. 'AGMARK' is related with:- Quality
158. AGMARK is a:- A seal of quality
guarantee
159. 'Geographical Indication Tag' for black
pottery is associated with which of the
following place in Uttar Pradesh:-
Nizamabad
160. 'Eco mark' is given to the Indian products
that are:- Environment friendly
161. Considering the geographical-environmental
conditions and the culture of Rajasthan,
which sector should naturally be given top-
policy priority for long term, sustainable,
inclusive development:- Tourism
162. At present, what is the main source of
wealth in Bihar:- Agriculture
163. The country in which a major controversy
has erupted regarding outsourcing:- U.S.A.
164. Now, Packaging has assumed importance,
because:-
• It provides protection to the products
• It makes the products attractive
• It increases credibility of the products
Ans. It provides all the above
165. After the merger of Air India and Indian
Airlines, the New entity is now known as:-
Air India
166. The ‘Transaction Fee’ which has been
banned by a recent Supreme Court order
from being realised from customers relates
to:- Air journey
167. Universal Service Obligation Fund is
concerned with:- Adjustment of liabilities
of telecom companies
168. (Correct)
• Vietnam has been one of the fastest
growing economies in the world in the
recent years.
• Vietnam’s economic growth is linked to
its integration with global supply chains
and focus on exports.
• For a long time, Vietnam’s low labour
costs and stable exchange rates have
attracted global Manufacturers.
169. 'Belt and Road Initiative' is sometimes
mentioned in the news in the context of the
affairs of:- China
170. Yamuna Expressway runs between:-
Greater Noida to Agra
E. DEMOCRACY
INDIA: POPULATION
1. Natural growth of population is the outcome of
which of the following:- (Correct)
• Crude Birth Rate
• Crude Death Rate
2. Which arrangement of following would show
sequence off demographic transition as typically
associated with economic development:-
(Correct)
• High birth rate with high death rate.
• High birth rate with low death rate.
• Low birth rate with low death rate.
3. A gradual change in the manner of population
growth occurring over a long period of time is
known as:- Demographic transition
4. Select one of the following set of processes
leading to stable population structure:-
Constant birth and death rate
5. At present India's population growth is passing
through the phase of which one of the
following:- High growth rate with definite
signs of slowing down
6. What is the main reason in India for increasing
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population:- Reduction in death rate
7. According to Malthus, which one of the
following is the most effective measure of
population control:- Birth control
8. According to Malthusian Theory of Population,
population increases in:- Geometrical
Progression
9. KaWhich one of the following is not a part of
the demographic feature of a population:-
Standard of living
10. The highest density of population in India is
associated with:- Industrialized areas
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113. Arrange the following States of India in
descending order of their slum population:-
(Correct)
• Maharashtra
• Andhra Pradesh
WORLD: POPULATION AND
• West Bengal
URBANISATION
• Uttar Pradesh
114. In India, maximum number of cities
reporting slums are found in: - Tamil Nadu
115. India Urban Observatory is situated at which
one of the following places: - New Delhi
116. Correct: - The National Institute of urban
Affairs is an apex body of the Ministry of
housing and Urban Affairs in Government
of India and provides innovative solutions
to address the challenge of urban India.
117. Which one of the following does not consist
of urban infrastructure: - Housing
118. Which of the following is not a new scheme
announced for the development of Urban
Infrastructure: - Digital India Scheme
119. The Finance Minister of India while
presenting the Budget Proposals for 2005-06
before the Parliament, announced the
decision for formation of:- Urban Renewal
Mission
120. The National Urban Renewal Mission has
been named after: - Jawaharlal Nehru
121. Which one of the following is not an
objective of JNNURM:- Urban
Electrification
122. Which one of the following is not true for
Jawahar Lal Nehru National Urban Renewal
Mission:- A 10 year programme
123. JNNURM is concerned with improving
which of the following:- Urban
Infrastructure
124. The revenue from which water and sewage
will be financed in the Smart Cities Mission,
that is:- Property tax
125. Which one of the following is not the
objective of the smart city development:-
Stabilizing quality of life
126. Correctly matched:-
• Local Finance Enquiry Committee -
1949-51
• Taxation Enquiry Commission - 1953-
54
• Rural-Urban Relationship Committee -
1963-66
• National Commission on Urbanization -
1985- 88
1. Which one of the following countries of the
world has the largest Indian population as
on December 2018:- United Arab
Emirates
2. Which of the following subjects deals with
the studies in population and vital statistics
of Human communities:- Demography
3. The idea of ‘Folk-Urban Continuum’ was
developed on the ethnicity basis of studies
conducted in:- Mexico
4. In the view of Redfield and Singer, the
process of primary urbanization is
characterized by the development of a:-
Great tradition
5. Which among the following organizations
released the World Population Report,
2021:- United Nations Population Fund
6. The World Population Day commemorates
the day on which the estimated world
population become five billion That day
was:- 11 July 1987
7. World Population Day is celebrated on:-
July 11
8. What has been the theme of the 2017 World
Population DAY:- Family planning
Empowering People, Developing Nations
9. Which one of the following is the theme of
the World Population Day, 2015:-
Vulnerable populations in emergencies
10. About 50% of the world population is
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concentrated between the latitudes of:- 20°N
and 40° N
11. The 'New Population Bomb' refers to:-
Rapidly growing urban population in the
Third World
12. What percentage of the total population of
the world resides in India as estimated in the
year 2011:- 17.5
13. According to the World Bank, the world's
population is:- 6.5 billion
111