Economy : Mock Papers
Mock Question Paper 1
Q1. The Structural Adjustment Loan to Support Indian Economy's leap into a more competitive and efficient emvironment has been secured from
A. World Bank
B. Bank of America
C. The Asian Development Bank
D. International Monetary Fund
Q2. In India, the Public Sector is most dominant in
A. Transport
B. Steel production
C. Commercial banking
D. Organised term-lending financial institutions
Q3. Goa's economy is mainly based on
A. Tourism
B. Export of ores
C. Agriculture
D. None of these
Q4. India's wage policy is based on
A. cost of living
B. Standard of living
C. Productivity
D. None ofthese
Q5. Modern economy is one of
A. Open economy
B. Cash economy
C. Credit economy
D. Planned economy
Q6. Who wrote the book 'Planned Economy for India'?
A. M. Visvesvarya
B. Sardar Vallabhbhai Patel
C. Jawaharlal Nehru
D. Mahatma Gandhi
Q7. Which of the following governmental steps has proved relatively effective in controlling the double digit rate of inflation in the Indian economy during recent years?
A. Containing budgetory deficits and unproductive expenditure
B. Streamlined public distribution system
C. Enhanced rate of production of all consumer goods
D. Pursuing an export-oriented strategy
Q8. The modern economy is not characterised by
A. Capital intensive mode of production
B. Development of money economy
C. Production for market
D. Self-sufficient village system
Q9. In India which of the following measures of money denotes the 'Broad Money'?
A. M4
B. M2
C. M3
D. M4
Q10. India adopted the Five Year Plans from
A. France
B. Former USSR
C. America
D. England
Q11. One of the problems in calcualting the national income in India correctly is
A. Under-employment
B. Inflation
C. Non-monetised consumption
D. Low savings
Q12. The main source of India's national income is
A. Industry
B. Agriculture
C. Forestry
D. None of these
Q13. As per the 1999-2000 Budget estimates which tax was estimated to yield the maximum revenue?
A. corporate Tax
B. customs Duty
C. Excise Duty
D. Income Tax
Q14. Among Indian Economists who had done pioneering work on National Income?
A. P.N. Dhar
B. Jagdish Bhagwati
C. V.K.R.V. Rao
D. prof. Shenoi
Q15. The National Income is more at current prices than at constant prices because
A. Increase in price is equal to increase in production
B. Increase in price is more than production
C. Increase in production is more than increase in price
D. Of decrease in production only
Q16. Which state has maximum number of people living below the poverty line?
A. Bihar
B. Madhya Pradesh
C. Maharashtra
D. Uttar Pradesh
Q17. The largest share of India's national income originates in the
A. Primary sector
B. Secondary Sector
C. Tertiary Sector
D. None of these
Q18. Which of the following is not required while computing Gross National Product (GNP)?
A. Net Foreign investment
B. Private investment
C. Per capita income of citizens
D. Purchase of goods by government
Q19. Which of the following is not a method of estimating national income?
A. Income method
B. Value-added method
C. Expenditure method
D. Export-import method
Q20. In our country, which of the following affects poverty line the most?
A. Level of prices
B. Per Capita Income
C. Quantum of gold reserve
D. Production quantum
Q21. The largest revenue in India is obtained from
A. Sales Tax
B. Direct Tax
C. Excise Duties
D. None of these
Q22. The sale proceeds of Government Bonds come under the budget head of
A. Revenue receipts
B. Capital receipts
C. Capital outlay
D. Current expenditure
Q23. Fresh evaluation of every item of expenditure from the very beginning of each financial year is called
A. Fresh Budgeting
B. Deficit Budgeting
C. Performance Budgeting
D. Zero-based Budgeting
Q24. An ad valorem duty is a tax on the basis of
A. The price of a commodity
B. The value added
C. The advertisement expenditure
D. The unit of the commodity
Q25. The budget is presented to the Parliament on
A. The last day of February
B. 15th March
C. Tha last day of March
D. 1st April
Q26. The income tax in India is
A. Indirect and progressive
B. Direct and proportional
C. Direct and progressive
D. Indirect and proportional
Q27. Fiscal policy is connected with
A. Issue of currency
B. Exports and imports
C. Public revenue and expenditure
D. None of these
Q28. Which of the following taxes is/are levied by the Union and collected and appropriated by the states?
A. Stamp Duties
B. Taxes on Newspapers
C. Estate Duty
D. Passenger and goods tax
Q29. Deficit financing is spending
A. By getting foreign aid
B. Less than what is needed
C. In excess of revenue
D. By borrowing from abroad
Q30. A tax that takes away a higher proportion of one's income as the income rises is termed as
A. Indirect Tax
B. Progressive Tax
C. Regressive Tax
D. Proportional Tax