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 Indian Economy Questions

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Q:

Which one of the following is also regarded as Disguised unemployment?

A) Underemployment B) Frictional unemployment
C) Seasonal unemployment D) Cyclical unemployment
 
Answer & Explanation Answer: A) Underemployment

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Q:

Economic planning in India is in____

A) Union List B) State list
C) Concurrent List D) None
 
Answer & Explanation Answer: C) Concurrent List

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Q:

If the break­even quantity for a factory whose variable cost of manufacturing a cell is Rs. 15 and selling price is Rs. 24 is 2,400 units, find the fixed cost of the factory?

A) Rs. 21600 B) Rs. 36000
C) Rs. 57600 D) Rs. 14400
 
Answer & Explanation Answer: A) Rs. 21600

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Q:

India's population growth is characterized by

A)  An increase in rate of death B)  An increase in the ratio of females
C) An increase in the birth rate and declining death rate D)  Increasing number of old people
 
Answer & Explanation Answer: C) An increase in the birth rate and declining death rate

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Q:

Sectoral distribution of GDP index measures_________

A) Agriculture development of a country B) Economic development of a country
C) Social development of a country D) Socio­Economic development of a country
 
Answer & Explanation Answer: B) Economic development of a country

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Q:

A company faces a -2.5 price elasticity of demand for its product. It is presently selling 10,000 units/month. If it wants to increase quantity sold by 6%, it must lower its price by

A) 3.50% B) 15%
C) 2.50% D) 2.40%
 
Answer & Explanation Answer: D) 2.40%

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Q:

Which tax causes a burden on the poorer section of the society?

A) Direct Tax B) Indirect Tax
C) Both Direct and Indirect Tax D) None of these
 
Answer & Explanation Answer: B) Indirect Tax

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Q:

Lowering of value of currency relative to a foreign reference currency is called _________.

A) Devaluation B) Revaluation
C) Down valuation D) Negative valuation
 
Answer & Explanation Answer: A) Devaluation

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