Indian Economy Questions Practice Question and Answer

Q:

Labour Intensive Technique would get chosen in a–

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  • 1
    Labour Surplus Economy
    Correct
    Wrong
  • 2
    Capital Surplus Economy
    Correct
    Wrong
  • 3
    Developed Economy
    Correct
    Wrong
  • 4
    Developing Economy
    Correct
    Wrong
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Answer : 1. "Labour Surplus Economy"
Explanation :

Expl:- Labour Intensive Technique will be chosen in Labour Surplus Economy because in such economy labour cost is low.

Q:

‘Functional Finance’ is associated with–

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  • 1
    Abba ‘P’ Lerner
    Correct
    Wrong
  • 2
    Adolph Wogner
    Correct
    Wrong
  • 3
    Adam Smith
    Correct
    Wrong
  • 4
    Adams
    Correct
    Wrong
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Answer : 1. "Abba ‘P’ Lerner "

Q:

“Micro” and “Macro” words was firstly used by–

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  • 1
    Ragnar Frisch
    Correct
    Wrong
  • 2
    I. Fischer
    Correct
    Wrong
  • 3
    James Tobin
    Correct
    Wrong
  • 4
    Garle
    Correct
    Wrong
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Answer : 1. "Ragnar Frisch "
Explanation :

Explain: -In 1933, Ragnar Frisch firstly used the words “Micro” and “Macro”

Q:

What is the name of the amount from which the business is started?

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  • 1
    Cash
    Correct
    Wrong
  • 2
    Capital
    Correct
    Wrong
  • 3
    Property
    Correct
    Wrong
  • 4
    None of these
    Correct
    Wrong
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Answer : 2. "Capital"

Q:

Banks and other financial institutions in India are required to maintain a certain amount of liquid assets like cash, precious metals and other short term securities as a reserve all the time. In Banking World this is known as–

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  • 1
    PLR
    Correct
    Wrong
  • 2
    Fixed Asset
    Correct
    Wrong
  • 3
    SLR
    Correct
    Wrong
  • 4
    CRR
    Correct
    Wrong
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Answer : 4. "CRR "

Q:

Which one of the following taxes is not a direct tax?

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  • 1
    Sales tax
    Correct
    Wrong
  • 2
    Estate duty
    Correct
    Wrong
  • 3
    Gift tax
    Correct
    Wrong
  • 4
    Wealth tax
    Correct
    Wrong
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Answer : 1. "Sales tax "

Q:

The financial year in the Indian economy runs from ______.

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  • 1
    1 January to 31 May
    Correct
    Wrong
  • 2
    1 April to 30 June
    Correct
    Wrong
  • 3
    1 June to 31 March
    Correct
    Wrong
  • 4
    1 April to 31 March
    Correct
    Wrong
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Answer : 4. "1 April to 31 March"

Q:

Rent is a cost paid for–

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  • 1
    Land
    Correct
    Wrong
  • 2
    Restaurant
    Correct
    Wrong
  • 3
    Building
    Correct
    Wrong
  • 4
    Factory
    Correct
    Wrong
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Answer : 1. "Land "
Explanation :

Explain: -Rent is a cost paid for land as wages and interest are paid  for labour and capital respectively.

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