national income & human development index section 1 MCQ Questions & Answers Detailed Explanation

Question : 1

Indicate the vital change in the measurement of National Income of India.

a) Calculation has been changed from factor cost to market prices

b) Base year has been changed from 2004-05 to 2011-12

c) Both the base year and calculation method have been changed

d) Calculation has been changed from current prices to constant prices

Question : 2

The growth rate of per capita income at current prices is higher than that of per capita income at constant prices, because the later takes into account the rate of

a) increase in price level

b) growth of population

c) increase in the wage rate

d) growth of money supply

Question : 3

In the post-Independence period, economic reforms were first introduced in India under :

a) Indira Gandhi Government (1980)

b) Janata Party Government (1977)

c) Rajiv Gandhi Government (1985)

d) P.V. Narsimha Rao Government (1990)

Question : 4

In which year was the 20 point economic programme was announced for the very first time?

a) 2006

b) 1975

c) 1986

d) 1982

Question : 5

Which of the following would cause consumption to rise?

a) a greater proportion of the population is between age 20 and 30

b) the GDP Deflator rises

c) transitory income increases

d) income is taken from poor people and given to rich people

Question : 6

Harrod-Domar model of growth is based on the concepts of and their equality.

1. Population and productivity growth.
2. Investment and average growth rate of income.
3. Actual, warranted and natural growth rate.
4. Productivity growth and investment growth. Codes:

   a) 3 only

   b) 1 and 4

   c) 1 and 3

   d) 1, 2 and 3

   Answer »

   Answer: (a)