Indian Economy Questions

Q:

What was the strength of Indus economy?

A) Trading B) Agriculture
C) Electricity D) Mining
 
Answer & Explanation Answer: B) Agriculture

Explanation:
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Q:

Economics is the study of how society manages its

A) Limited resources & limited wants B) Unlimited wants & unlimited resources
C) Limited wants & unlimited resources D) Limited resources & unlimited wants
 
Answer & Explanation Answer: C) Limited wants & unlimited resources

Explanation:

Economics is the study of how society manages its scarce resources i.e, Limited wants & unlimited resources.

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Q:

Sundarbans of Estern India is an example of

A) Forest Ecosystem B) Mangrove Ecosystem
C) Grassland Ecosystem D) Marine Ecosystem
 
Answer & Explanation Answer: B) Mangrove Ecosystem

Explanation:
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Q:

Which of the following programme is launched to develop basic infrastucture in the country

A) Bharat Nirman Programme B) Technical Mission
C) Special Economic Zones D) None of these
 
Answer & Explanation Answer: A) Bharat Nirman Programme

Explanation:
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Q:

The most common economic system in the world is a

A) Mixed B) Command
C) Planned D) Market
 
Answer & Explanation Answer: A) Mixed

Explanation:

Mixed economy is the most common economic system in the world.

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Q:

A perfectly inelastic demand curve

A) Vertical with some steep B) Perfectly horizontal
C) Horizontal with some steep D) Perfectly vertical
 
Answer & Explanation Answer: D) Perfectly vertical

Explanation:

A perfectly inelastic demand curve is perfectly vertical either up or down in any way.

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Q:

All Insurance is based on a principle called

A) investment premiums B) division of risk
C) cash value coverage. D) premium earnings
 
Answer & Explanation Answer: B) division of risk

Explanation:

Any type of insurance, be it home, auto, life, health, etc. are based on a principle of division of risk.

 

Division of Risk :: This is based on how much risk the insurer estimates the insured's coverage to be. The riskier the opportunity (bad health, area the home is in) the higher the premium costs.

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Q:

Business fluctuations refer to

A) the ups and downs in overall business B) expansion is rapid
C) contraction is severe D) None of the above
 
Answer & Explanation Answer: A) the ups and downs in overall business

Explanation:

Business fluctuations refer to the ups and downs in overall business activity measured by changes in national​ income, employment and the price level.

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