national income & human development index section 2 Practice Questions Answers Test with Solutions & More Shortcuts

Question : 26 [UPPCS (Mains) 2010]

The ‘World Economic Outlook Report’ is released by

a) Asian Development Bank

b) World Bank

c) International Labour Organisation

d) International Monetary Fund

Answer: (d)

Question : 27

It will be true to classify India as

a) a labour-surplus economy

b) a food-deficit economy

c) a trade-surplus economy

d) a capital-surplus economy

Answer: (a)

India is a labour-surplus economy because in India there is disguised unemployment along with under-employment which means that a qualified, skilled workforce willing to work is available but there are not enough employment opportunities.

Trade Surplus Economy - Economic measure of positive Balance of trade where a country’s export exceed its imports. Surplus Labour is a concept used by Karl Marx in his critique of political economy.

Capital Surplus - It is equity that cannot otherwise be classified as capital stock or retained earnings.

Question : 28 [BPSC 2017]

The economist who for the first time scientifically determined National Income in India

a) V.K.R.V. Rao

b) D.R. Gadgil

c) Manmohan Singh

d) Y.V. Alagh

Answer: (a)

The first person to adopt a scientific procedure in estimating the national income was Dr. V.K.R.V Rao in 1931.

Question : 29 [UPPCS (Mains) 2015]

Who among the following was the Chairman of National Committee appointed by Government of India in 1949?

a) P.C. Mahalanobis

b) C.R. Rao

c) K.N. Raj

d) V.K.R.V. Rao

Answer: (a)

Question : 30

GDP at factor cost is

a) GNP minus depreciation allowances

b) GDP minus indirect taxes plus subsidies

c) NNP plus depreciation allowances

d) GDP minus subsidies plus indirect taxes

Answer: (b)

GDP at factor cost is GDP at market price minus indirect taxes plus subsidies.

GDP at factor cost measure the value of output in terms of what it really costs to produce.

The gross value of output = Value total Sales Goods & Services + Value of changes in the inventories.

The Sum of net value added in various economic activities is known as GDP at factor cost.

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1211 National Income based indian economy MCQ section 2 question answer with explanation pdf

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