Indian economy: growth and planning - One Line Questions
1.
Which of the following is an example of a capital good? —
A machine used in a factory to produce goods
2.
What does 'demographic dividend' refer to in economics? —
An increase in the working-age population relative to the dependent population
3.
The liberalization of the Indian economy in 1991 was primarily driven by: —
A severe balance of payments crisis
4.
Which of the following is NOT a component of India's GDP? —
Imports
5.
Which sector contributes the largest share to India's GDP currently? —
Services
6.
The 'Mahalanobis Model' of economic development, which heavily influenced India's planning, prioritized: —
Heavy industries and capital goods
7.
The 'mixed economy' model, as adopted by India, features: —
A market economy with significant government intervention and regulation
8.
The 'command economy' model is characterized by: —
Central planning and state control over economic activities
9.
The concept of 'trickle-down' economics is most closely associated with which phase of Indian economic development? —
Liberalization, Privatization, and Globalization (LPG) reforms
10.
The concept of 'trickle-down effect' suggests that: —
Economic benefits for the wealthy will eventually benefit everyone
11.
The concept of 'Green GDP' aims to measure: —
Economic growth adjusted for environmental degradation
12.
What is meant by 'Inclusive Growth'? —
Economic growth that benefits all sections of society, especially the poor and marginalized
13.
What is 'Stagflation'? —
Economic stagnation with rising inflation and unemployment
14.
The 'Service Sector' in India includes activities like: —
Banking, IT, and tourism
15.
Which Five Year Plan in India emphasized 'Garibi Hatao' (Remove Poverty)? —
Fifth Five Year Plan
16.
The 'rolling plan' concept was introduced during which period in India? —
During the Emergency (1975-77)
17.
What is the primary role of the Reserve Bank of India (RBI) in economic planning? —
Monetary policy and banking regulation
18.
Which of the following is a measure of poverty? —
Poverty Ratio
19.
What is Gross Value Added (GVA)? —
GDP minus net indirect taxes
20.
The 'Bombay Plan' of 1944 was a blueprint for India's post-independence economic development, advocated by: —
Industrialists
21.
Which economic indicator is used to measure the rate of inflation? —
Consumer Price Index (CPI) or Wholesale Price Index (WPI)
22.
The term 'stagflation' refers to a situation of: —
Economic recession with high inflation
23.
What does 'economic growth' primarily refer to? —
Increase in the production of goods and services
24.
The term 'neo-liberalism' in economic policy refers to: —
Emphasis on market mechanisms, privatization, and reduced government regulation
25.
The 'Washington Consensus' is associated with: —
Policies of liberalization, privatization, and deregulation
26.
The concept of 'structural adjustment' in economics typically involves: —
Implementing policies to reduce fiscal deficits and open up the economy
27.
What was the main focus of the First Five Year Plan (1951-1956)? —
Agricultural development and infrastructure
28.
Which economic indicator best reflects the overall growth of an economy? —
Gross Domestic Product (GDP)
29.
What is the significance of the 'Poverty Line'? —
It indicates the minimum income required to meet basic needs
30.
Which economic theory advocates for minimal government intervention in the economy? —
Classical liberalism/Neoclassical economics
31.
The concept of 'Sustainable Development' emphasizes: —
Meeting the needs of the present without compromising the ability of future generations to meet their own needs
32.
Which Five Year Plan saw the introduction of the National Rural Employment Guarantee Act (NREGA)? —
Eleventh Five Year Plan
33.
Which Five Year Plan aimed for 'Faster and More Inclusive and Sustainable Growth'? —
Eleventh Five Year Plan
34.
The National Development Council (NDC) was replaced by which body after the dissolution of the Planning Commission? —
NITI Aayog
35.
The 'Green Revolution' in India primarily boosted the production of: —
Rice and wheat
36.
What was a major criticism of the early Five Year Plans in India? —
Excessive government control and red tape
37.
The concept of 'human capital' refers to: —
The skills, knowledge, and health of the workforce
38.
What was the main objective of the 'Second Five Year Plan'? —
Industrialization, particularly in heavy industries
39.
Which institution was primarily responsible for formulating Five Year Plans in India? —
Planning Commission
40.
The period of 'Plan Holiday' in India refers to: —
The interruption of the Five Year Plans due to the Indo-Pak War and drought
41.
What does GDP at Purchasing Power Parity (PPP) measure? —
The total value of goods and services using a common set of international prices
42.
What does 'Gross National Product' (GNP) measure? —
The total income earned by a country's citizens, regardless of where it is earned
43.
Which Five Year Plan is associated with the slogan 'Growth with Social Justice'? —
Sixth Five Year Plan
44.
Which Five Year Plan was characterized by the 'Garibi Hatao' slogan? —
Fifth Five Year Plan
45.
NITI Aayog (National Institution for Transforming India) replaced the Planning Commission. What is its primary role? —
To act as a think tank and provide policy recommendations
46.
What is the primary function of the International Monetary Fund (IMF)? —
To provide short-term financial assistance to countries facing balance of payments problems
47.
What is the main objective of the Fiscal Responsibility and Budget Management (FRBM) Act? —
To control and reduce the fiscal deficit
48.
What is the primary objective of economic planning in India? —
To achieve inclusive and sustainable growth
49.
What is the main purpose of the World Trade Organization (WTO) in relation to national economies? —
To regulate and facilitate international trade
50.
What is the primary goal of the 'Make in India' initiative? —
To boost domestic manufacturing and attract foreign investment