CBSE Class 11 Economics Indian Economy 1950-1990 MCQs Set B

Question: Which of the following facts are associated with P.C. Mahalanobis?
a) He is known as the architect of Indian planning.
b) He started the journal Sankhya.
c) He established the Indian Statistical Institute.
d) All of the options.
Answer: d

Question: Which sector made the maximum contribution in the national income of India from the period 1950–91?
a) Agriculture sector
b) Service sector
c) Industrial sector
d) None of the options
Answer: a

Question: When was NITI Aayog formed?
a) 1950
b) 1991
c) 2015
d) 2012
Answer: c

Question: Green Revolution introduced during the planning process was restricted mainly to :
a) Wheat and rice
b) Cereals and pulses
c) Cotton and jute
d) Jowar and bajra.
Answer: a

Question: Which amongst the following are the central problems of an economy?
a) What to produce
b) How to produce
c) For whom to produce
d) All of the options
Answer: d 

Question: ‘Modernisation’ as a goal of planning in context of Indian economy aimed at:
a) Use of new technology
b) Change in social outlook
c) Adopting western lifestyle
d) Both Use of new technology and Change in social outlook
Answer: d

Question: Who is known as the architect of “Indian Planning”?
a) Jawaharlal Nehru
b) Dr. BR Ambedkar
c) PC Mahalanobis
d) Sardar Vallabhbhai Patel
Answer: c

Question: Who is known as the architect of Indian Planning?
a) Jawaharlal Nehru
b) Dr. B.R. Ambedkar
c) P.C. Mahalanobis
d) Dadabhai Naoroji
Answer: c

Question: Long- term objectives to be achieved over a long period of time formulated with reference to common goals of plans are called:
a) Objectives of plans
b) Objectives of planning
c) Perspective plans
d) Both Objectives of planning and Perspective plans
Answer: d

Question: Who is the ex-officio chairman of the NITI Aayog?
a) Prime Minister
b) Home Minister
c) Finance Minister
d) President
Answer: a 

Question: The term ‘natural rate of unemployment’ is consistent with the situation of:
a) Full employment
b) Under employment
c) Disguised unemployment
d) Structural unemployment
Answer: a

Question: Under which system the goods are distributed among people not on the basis of what people need but on the basis of what people need but on the basis of purchasing power?
a) Capitalistic system
b) Socialistic system
c) Mixed system
d) Dual system
Answer: a

Question: Mahalanobis Model was started in ___________ Five Year Plan.
a) First
b) Second
c) Tenth
d) Eleventh
Answer: b

Question: The planning commission was set up in :
a) 1948
b) 1950
c) 1951
d) 1956
Answer: b

Question: The production decision under which economic system is based upon the market forces of demand and supply?
a) Capitalism
b) Socialism
c) Mixed
d) Monarchy
Answer: a

Question: __________ implies avoiding dependence on imports of those goods which could be produced in the country itself.
Answer: Self-reliance

Question: __________ is a system under which a set for targets is defined by the central authority of the country.
Answer: Economic Planning

Question: An economy in which means of production are used in a manner such that social welfare is maximised is called __________ economy.
Answer: Socialist

Question: The post-independent India chose the path of ___________ economy through economic planning for her development.
Answer: Mixed

Question: Objective of planning necessary to reduce our dependence on foreign goods is called __________ .
Answer: Self-reliance

Question: __________ refers to adoption of new technology in the field of production and change in social outlook.
Answer: Modernisation

Question: __________ institution replaced Planning Commission in India.
Answer: NITI Aayog

Question: In India, __________ formulated the plans for the country.
Answer: Planning Commission

Question: __________ is a policy think-tank of Government of India and aims to involve the states in economic policy-making in India.
Answer: NITI Aayog

Question: Define a capitalist economy.
Answer: A capitalist economy may be defined as an economic system in which the means of production are privately owned and economic activities are guided by self-interest and profit motive.

Question: What is meant by sectoral (or structural) composition of an economy?
Answer: The contribution of various sectors to the GDP is termed as sectoral composition of the economy.

Question: What is economic growth?
Answer: Economic growth refers to increase in country’s productive capacity and it is measured by increase in real per capita GDP.

Question: What is the name of the institution which is formed in place of planning commission?
Answer: The name of the new institution is NITI Aayog (or National Institution for Transforming India).

Question: What is meant by modernisation?
Answer: Modernisation refers to adoption of new technology in the field of production and change in social outlook.

Question: What changes take place in the sectoral composition of an economy during the process of development?
Answer: With the process of development the share of agriculture in GDP declines whereas the share of industry and service sectors increase.

Question: What are the three questions that every economic system has to answer ?
Answer: The three questions are: (i) What to produce? (ii) How to produce? (iii) For whom to produce?

Question: Define a socialist economy.
Answer: Socialist economy is a system in which means of production are owned by the whole community and all economic decisions are taken by a central authority. 

Question: What changes have been observed in the contribution of agricultural sector to GDP from the period 1950-51 to 1990-91?
Answer: The contribution of agricultural sector to GDP declined from 59 per cent in 1950-51 to nearly 35 per cent in 1990-91.