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 Indian Economy Questions

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Q:

Economics assumes that

A) people have unlimited desires but limited resources B) people have limited desires but unlimited resources
C) allocation of resources if not centrally planned will cause inefficiency D) people are emotional and make irrational decisions
 
Answer & Explanation Answer: A) people have unlimited desires but limited resources

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Q:

Goods for which demand move in the opposite direction of the income of the consumer are called?

A) Inferior goods B) Normal goods
C) Complementary goods D) Substitute goods
 
Answer & Explanation Answer: A) Inferior goods

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Q:

Which of the following is called GDP Deflator?

A) Ratio of nominal to real GDP B) Ratio of nominal to real GNP
C) Ratio of nominal to real CPI D) Ratio of real to nominal GNP
 
Answer & Explanation Answer: A) Ratio of nominal to real GDP

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Q:

In a centrally planned economy, the ____________ plans all the important activities in the economy.

A) Industrialists B) Citizens
C) Government D) Judiciary
 
Answer & Explanation Answer: C) Government

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Q:

In a period when an economy is facing price rise, and along with that there is slowing down of economy activities, this is case of _________.

A) Deflation B) Stagflation
C) Recession D) Depression
 
Answer & Explanation Answer: B) Stagflation

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Q:

In India, which of the following is regulated by the Forward Markets Commission?

A) Currency Futures Trading B) Commodities Futures Trading
C) Equity Futures Trading D) Both Commodities Futures and Financial Futures Trading
 
Answer & Explanation Answer: B) Commodities Futures Trading

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Q:

Which of the following is NOT included in general methodology while assessing the national income?

A) Pension B) Investment Expenditure
C) Value added D) Consumption Expenditure
 
Answer & Explanation Answer: A) Pension

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Q:

As per the data released by the Income­Tax Department in December 2017, how much percent of total population paid income tax in the assessment year 2015­16?

A) 1.7 B) 5.7
C) 9.7 D) 11.7
 
Answer & Explanation Answer: A) 1.7

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