Indian Economy Questions

Q:

The 14th Finance Commission has recommended increase in States share in net proceeds from tax collection from 32% to

A) 35% B) 40%
C) 42% D) 45%
 
Answer & Explanation Answer: C) 42%

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Q:

A beedi making workshop can hire 5 women by paying them Rs. 300 per day. The 6th woman demands Rs. 350 per day. If this woman is hired then all other women must be paid Rs. 350. The marginal resource (labour) cost of the 6th woman is

A) Rs. 600 B) Rs. 50
C) Rs. 300 D) Rs. 100
 
Answer & Explanation Answer: A) Rs. 600

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Q:

If quantity of good X demanded increases from 2300 to 2700 when price of good Y increases from Rs. 45 to Rs. 55, find Arc Cross elasticity of demand?

A) 4 B) 1.25
C) 0.25 D) 0.8
 
Answer & Explanation Answer: D) 0.8

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Q:

The State Financial Corporations have given assistance mainly to develop___________.

A) agriculture farms B) cottage industries
C) medium and small-scale industries D) large scale industries
 
Answer & Explanation Answer: C) medium and small-scale industries

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Q:

_______ is issued when the court finds that a particular office holder is not doing legal duty and thereby is infringing on the right of an individual.

A) Habeas Corpus B) Mandamus
C) Prohibition D) Quo Warranto
 
Answer & Explanation Answer: B) Mandamus

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Q:

Name the first Indian to get Nobel prize in economics.

A) Amartya Sen B) C V Raman
C) Mihir Sen D) Arun Shourie
 
Answer & Explanation Answer: A) Amartya Sen

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Q:

Which would most likely increase aggregate supply?

A) A decrease in net exports B) A decrease in business subsidies
C) An increase in productivity D) An increase in the prices of imported products
 
Answer & Explanation Answer: D) An increase in the prices of imported products

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Q:

Stagflation is defined as

A) low inflation, low growth, low unemployment B) high inflation, low growth, high unemployment
C) high inflation, high growth, high unemployment D) low inflation, high growth, low unemployment
 
Answer & Explanation Answer: B) high inflation, low growth, high unemployment

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