Practice MCQs | Chapter 2 Indian Economy 1950

MCQ Page Ref: Page 17

After independence, India adopted:

A. Socialist economy only

B. Capitalist economy only

C. Mixed economy

D. Feudal economy

Correct Answer / Reference:

Option: C

Reference: Found on Page Page 17

MCQ Page Ref: Page 18

Economic planning in India was inspired mainly by:

A. British model

B. Soviet Union model

C. Chinese monarchy

D. Colonial system

Correct Answer / Reference:

Option: B

Reference: Found on Page Page 18

MCQ Page Ref: Page 18

The Planning Commission was established in:

A. 1947

B. 1950

C. 1956

D. 1965

Correct Answer / Reference:

Option: B

Reference: Found on Page Page 18

MCQ Page Ref: Page 18–19

The main objective of planning in India was:

A. Economic development

B. Reduction of poverty

C. Self-reliance

D. All of these

Correct Answer / Reference:

Option: D

Reference: Found on Page Page 18–19

MCQ Page Ref: Page 20

Which sector was given greater importance in the Second Five Year Plan?

A. Agriculture

B. Heavy industries

C. Banking

D. Trade

Correct Answer / Reference:

Option: B

Reference: Found on Page Page 20

MCQ Page Ref: Page 20

The strategy of industrialisation in India emphasized:

A. Consumer goods only

B. Heavy and capital goods industries

C. Cottage industries only

D. Foreign imports only

Correct Answer / Reference:

Option: B

Reference: Found on Page Page 20

MCQ Page Ref: Page 21

The public sector was expanded mainly to:

A. Promote private monopoly

B. Build basic and strategic industries

C. Reduce industrialisation

D. Encourage imports

Correct Answer / Reference:

Option: B

Reference: Found on Page Page 21

MCQ Page Ref: Page 21

Which policy regulated entry of private industries through licensing?

A. Liberalisation policy

B. Industrial licensing policy

C. Free trade policy

D. Globalisation policy

Correct Answer / Reference:

Option: B

Reference: Found on Page Page 21

MCQ Page Ref: Page 24

The Green Revolution was mainly associated with:

A. Industrial development

B. Agricultural modernisation

C. Banking reforms

D. Foreign trade

Correct Answer / Reference:

Option: B

Reference: Found on Page Page 24

MCQ Page Ref: Page 24

Which crops benefited most from the Green Revolution?

A. Wheat and rice

B. Tea and coffee

C. Cotton and jute

D. Sugarcane and tobacco

Correct Answer / Reference:

Option: A

Reference: Found on Page Page 24

MCQ Page Ref: Page 24

The Green Revolution mainly used:

A. Traditional seeds only

B. HYV seeds and irrigation

C. Bullock farming only

D. Cottage industries

Correct Answer / Reference:

Option: B

Reference: Found on Page Page 24

MCQ Page Ref: Page 23

The policy of import substitution aimed to:

A. Encourage imports

B. Reduce dependence on foreign goods

C. Promote colonial trade

D. Increase luxury imports

Correct Answer / Reference:

Option: B

Reference: Found on Page Page 23

MCQ Page Ref: Page 23

Self-reliance means:

A. Dependence on imports

B. Dependence on foreign aid only

C. Reducing dependence on foreign countries

D. Exporting only agricultural goods

Correct Answer / Reference:

Option: C

Reference: Found on Page Page 23

MCQ Page Ref: Page 25

The public distribution system was introduced to:

A. Promote luxury goods

B. Ensure availability of essential goods

C. Encourage imports only

D. Reduce agriculture

Correct Answer / Reference:

Option: B

Reference: Found on Page Page 25

MCQ Page Ref: Page 26

Which bank reform took place in 1969?

A. Privatization of banks

B. Nationalisation of banks

C. Closure of banks

D. Foreign ownership of banks

Correct Answer / Reference:

Option: B

Reference: Found on Page Page 26

MCQ Page Ref: Page 26

Bank nationalisation aimed at:

A. Expanding rural credit

B. Supporting development

C. Reducing monopoly control

D. All of these

Correct Answer / Reference:

Option: D

Reference: Found on Page Page 26

MCQ Page Ref: Page 22

Land reforms mainly aimed at:

A. Promoting zamindari

B. Improving conditions of farmers

C. Increasing foreign trade

D. Supporting industrial monopolies

Correct Answer / Reference:

Option: B

Reference: Found on Page Page 22

MCQ Page Ref: Page 21

The Industrial Policy Resolution of 1956 emphasized:

A. Dominance of public sector

B. Complete privatization

C. Colonial trade

D. Free market only

Correct Answer / Reference:

Option: A

Reference: Found on Page Page 21

MCQ Page Ref: Page 25

Which among the following was a limitation of Green Revolution?

A. Regional inequalities

B. Benefits concentrated in few states

C. Environmental issues

D. All of these

Correct Answer / Reference:

Option: D

Reference: Found on Page Page 25

MCQ Page Ref: Page 18–26

India’s economic policy between 1950 and 1990 mainly focused on:

A. Planned development

B. Self-reliance

C. Public sector growth

D. All of these

Correct Answer / Reference:

Option: D

Reference: Found on Page Page 18–26

Chapter 2 Indian Economy 1950–1991