introduction to indian economy section 11 Practice Questions Answers Test with Solutions & More Shortcuts

Answer: (b)

The Agricultural Prices Commission was set up in January 1965 to advise the Government on the price policy of major agricultural commodities. Since March 1985, the Commission has been known as Commission for Agricultural Costs and Prices (CACP).

The minimum support prices (MSP) for major agricultural products are fixed by the government, each year, after taking into account the recommendations of CACP.

Answer: (a)

The upper limit of investment in plant and machinery for small-scale industries has been fixed at Rs. one crore.

Answer: (c)

At the national level, the Central Statistical Organisation (CSO) is the apex statistical body with the primary objective of providing technical leadership in building up the statistical system in the country.

It has been charged with the responsibility of coordinating activities in the country, laying down and maintenance standards relating to concepts, definitions, methodologies, procedures etc, providing consultancy and advisory services to other statistical agencies, computing of national income, keeping liaison with the international statistical agencies, preparing and publishing national accounts statistics, processing, analysing and publication of industrial statistics, the conduct of economic censuses, etc.

Answer: (b)

Globalization can affect the labour market by increasing the capacity of developing countries to create new opportunities for work and production following the alleviation of price distortions with respect to both labour and capital. Globalization on business management is the interconnection of international markets and managing businesses in a global industry.

This includes the management of resources for foreign investments whereby a company expands its business and invests in foreign countries. Globalization means inter-linkage among the countries of the globe. This can only happen when infrastructure is in proper shape.

A well-developed infrastructure is an indispensable condition for faster globalization.

Answer: (c)

Dadabhai Naroji propounded the drain theory. The drain, he declared, was the basic cause of India’s poverty and a fundamental evil of British rule in India. Thus, he argued in 1880 that it is not pitiless operations of economic laws but it is the thoughtless hand, pitiless actions of the British policy.