introduction to indian economy section 1 MCQ Questions & Answers Detailed Explanation

Answer: (c)

As per the 65th Round NSS Survey, Maharashtra was the leading state in terms of the number of slums with 17019 slums in the state. Andhra Pradesh came second, while West Bengal came third.

In terms of a number of cities having a Slum Population of 50,000 and above, Andhra Pradesh with 36 cities came first, followed by Maharashtra.

Answer: (a)

OMOs are the market operations conducted by the Reserve Bank of India by way of sale/ purchase of Government securities to/ from the market with an objective to adjust the rupee liquidity conditions in the market on a durable basis. When the RBI feels there is excess liquidity in the market, it resorts to the sale of securities thereby sucking out the rupee liquidity.

Similarly, when the liquidity conditions are tight, the RBI will buy securities from the market, thereby releasing liquidity into the market.

Answer: (a)

India’s large service industry accounts for 57.2% of the country’s GDP while the industrial and agricultural sectors contribute 28.6% and 14.6% respectively.

Agriculture is the predominant occupation in Rural India, accounting for about 52% of employment. The service sector makes up a further 34% and the industrial sector around 14%.