introduction to indian economy section 13 MCQ Questions & Answers Detailed Explanation

Answer: (b)

Hindustan Zinc Limited (HZL) is an integrated mining and resources producer of zinc, lead, silver and cadmium. It is a subsidiary of Vedanta Resources PLC. HZL is the world’s second-largest zinc producer. Hindustan Zinc Limited was incorporated from the erstwhile Metal Corporation of India on 10 January 1966 as a Public Sector Undertaking. In 2001 as part of the BJP Government’s anti-corruption drive, the company was put up for sale.

In April 2002, Sterlite Opportunities and Ventures Limited (SOVL) made an open offer for the acquisition of shares of the company; consequent to the disinvestment of Government of India’s (GOI) stake of 26% including management control to SOVL and acquired an additional 20% of shares from the public, pursuant to the SEBI Regulations 1997.

In August 2003, SOVL acquired additional shares to the extent of 18.92% of the paid-up capital from GOI in the exercise of the “call option” clause in the share holder’s agreement between GOI and SOVL.

Answer: (a)

Answer: (a)

Fiscal drag is an economics term referring to a situation where a government’s net fiscal position (equal to its spending less any taxation) does not meet the net savings goals of the private economy.

Fiscal drag is a concept where inflation and earnings growth may push more taxpayers into a higher tax bracket.

Answer: (c)

NTPC Limited (previously known as National Thermal Power Corporation Limited) is an Indian PSU Public Sector Undertaking, engaged in the business of generation of electricity and allied activities.

NTPC’s core business is the generation and sale of electricity to state-owned power distribution companies and State Electricity Boards in India.

Answer: (c)

Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA), is Indian labour law and social security measure that aims to guarantee the ‘right to work’.

It aims to enhance livelihood security in rural areas by providing at least 100 days of wage employment in a financial year to every household whose adult members volunteer to do unskilled manual work.

Answer: (c)

Over the period 2000-05, India generated 11.3 million net new jobs per year, on average. The figure was 7 million in China, 2.7 million in Brazil and 0.7 million jobs in the Russian Federation, compared with an average of 3.7 million net new jobs generated in the OECD area as a whole each year over the same period.