Indian Economy

1.		What is the role of the Finance Commission in Fiscal Federalism?

To allocate resources between the central and state governments

To regulate the banking sector

To promote foreign investment

To regulate the stock market

2.		Which of the following is not a factor affecting economic growth?

Capital

Labor

Land

Inflation

3.		Which of the following is a primary function of the Reserve Bank of India (RBI)?

Issuing currency notes and coins

Regulating the stock market

Managing the foreign exchange reserves of India

Collecting income tax

4.		Which sector contributes the most to India's GDP?

Agriculture

Manufacturing

Services

Mining

5.		Which of the following is not a function of the Reserve Bank of India (RBI)?

Issuing currency notes and coins

Regulating the money supply in the economy

Conducting monetary policy

Regulating the prices of essential commodities

6.		What is the definition of poverty line in India?

The minimum wage required to meet basic needs

The income required to afford a balanced diet

The income required to afford basic necessities like food, clothing, and shelter

The income required to afford luxury goods

7.		Which of the following is NOT a Five Year Plan after the liberalization of the Indian economy?

Eleventh Five Year Plan

Twelfth Five Year Plan

Thirteenth Five Year Plan

Fourteenth Five Year Plan

8.		Which of the following is not a feature of a mixed economy?

Coexistence of public and private sectors

Central planning by the government

Free market forces

Emphasis on social welfare

9.		What is the Human Development Index (HDI) used for?

To measure economic growth

To measure poverty levels

To measure overall human well-being

To measure environmental sustainability

10.		What is the main objective of the National Food Security Act in India?

To provide free food to all citizens

To ensure food security to the poor

To reduce the import of food grains

To increase the export of food grains