planning economic development & five year plans section 3 MCQ Questions & Answers Detailed Explanation

MOST IMPORTANT indian economy mcq - 10 EXERCISES

Top 30,000+ Indian Economy Memory Based Exercises

The following question based on Planning, Economic Development & Five year Plans topic of indian economy mcq

Questions : Which of the following is the objective of Quantitative easing, an unconventional monetary policy?
  1. to increase the money supply
  2. to decrease the interest rate

(a) Only II is true

(b) Both I & II are true

(c) Only I is true

(d) Neither I nor II are true

The correct answers to the above question in:

Answer: (c)

Quantitative easing is distinguished from standard central banking monetary policies, which usually targets the interbank interest rate. When interest rates have been lowered to nearly zero (because of either deflation or extremely low money demand), when a large number of non-performing or defaulted loans prevent further lending (money supply growth) by member banks, and when the main systemic risk is a recession or depression because banks cannot lend any more money, then central banks need to implement a new set of tactics. These are known as quantitative easing.

The central bank may enact quantitative easing by purchasing a predetermined quantity of bonds or other assets from financial institutions without reference to the interest rate.

The goal of this policy is to increase the money supply rather than to decrease the interest rate, which cannot be decreased further. This is often considered a last resort to stimulate the economy.

Practice Planning, Economic Development & Five year Plans (planning economic development & five year plans section 3) Online Quiz

Discuss Form

Valid first name is required.
Please enter a valid email address.
Your genuine comment will be useful for all users! Each and every comment will be uploaded to the question after approval.

Read more planning economic development five year plans Based Indian Economy Questions and Answers

Question : 1

‘Inclusive growth’ is a phrase used in India’s

  1. 9th Plan
  2. 10th Plan
  3. 11th Plan
  4. 12th Plan
Select the correct answer using the codes given below.

a) 2 and 4

b) 3 and 4

c) 1, 2 and 3

d) Only 4

Answer: (b)

Inclusive growth is a phrase used in India for 11th (2007-2012) and 12th (2012-2017) Five year plans.

Question : 2

Which among the following is not correct with regard to Sampoorna Garmeena Rozgar Yojana?

  1. The cash component of the programme is borne exclusively by the Central Government.
  2. Foodgrains are provided free of costs to the States/ Union Territories.
Select the answer unsing the code given below:

a) 1 only

b) Both 1 and 2

c) 2 only

d) Neither 1 Nor 2

Answer: (c)

Question : 3

Which of the following programmes is launched to develop basic infrastructure in the country?

a) Special Economic Zones

b) Technical Mission

c) Bharat Nirman Programme

d) National Rural Employment Guarantee Act

Answer: (c)

Bharat Nirman programme is launched to develop basic infrastructure in the country.

Question : 4

After the launch of New Economic Policy:

a) rural poverty increased initially but declined in 1993-94

b) both urban and rural poverty increased

c) rural poverty increased but urban poverty declined

d) both rural & urban poverty decreased

Answer: (a)

Question : 5

In the context of Indian Five Year Plans, a shift in the pattern of industrialization, with lower emphasis of heavy industries and more on infrastructure being in :

a) Sixth plan

b) Eighth plan

c) Fourth plan

d) Tenth plan

Answer: (a)

Sixth five-year plan started in 1980-85 marked the beginning of economic liberalization in India.

In Sixth Five year plan, a shift in pattern of Industrialisation with a lower emphasis on heavy industry and move on infrastructure begins.

Question : 6

Which of the following statements is/are incorrect?

  1. Open Unemployment: It refers to unemployment that occurs at certain seasons of the year. The period of such unemployment varies from state to state, depending upon the methods of farming, the condition of the soil, the type and numbers of crops grown, etc.
  2. Frictional Unemployment: It refers to temporary unemployment that exists during the period, wherein workers leave one job and join some other.
  3. Cyclical Unemployment: It is associated with the downswing and depression phases 9 business cycle. It is the most common type of unemployment in the developed capitalist economies.
Select the incorrect definition using the code given below:

a) 1 only

b) 3 only

c) 2 only

d) 2 and 1

Answer: (a)

Seasonal Unemployment: It refers to unemployment that occurs at certain seasons of the year. The period of such unemployment varies from state to state, depending upon the methods of farming, the condition of the soil, the type and numbers of crops grown, etc.

Frictional Unemployment: It refers to temporary unemployment that exists during the period, wherein workers leave one job and join some other.

Cyclical Unemployment: It is associated with the downswing and depression phases 9 business cycle. It is the most common type of unemployment in the developed capitalist economies.

Recently Added Subject & Categories For All Competitive Exams

100+ Quadratic Equation Questions Answers PDF for Bank

Quadratic Equation multiple choice questions with detailed answers for IBPS RRB SO. more than 250 Attitude practice test exercises for all competitive exams

03-Jul-2024 by Careericons

Continue Reading »

IBPS Aptitude Linear Equations MCQ Questions Answers PDF

Linear equations multiple choice questions with detailed answers for IBPS RRB SO. more than 250 Attitude practice test exercises for all competitive exams

03-Jul-2024 by Careericons

Continue Reading »

New 100+ Compound Interest MCQ with Answers PDF for IBPS

Compound Interest verbal ability questions and answers solutions with PDF for IBPS RRB PO. Aptitude Objective MCQ Practice Exercises all competitive exams

02-Jul-2024 by Careericons

Continue Reading »

100+ Mixture and Alligation MCQ Questions PDF for IBPS

Most importantly Mixture and Alligation multiple choice questions and answers with PDF for IBPS RRB PO. Aptitude MCQ Practice Exercises all Bank Exams

02-Jul-2024 by Careericons

Continue Reading »