Indian Economy MCQ Set-18

Indian Economic Development MCQ for competitive examinations in India such as UPSC CSE, State PSC, IBPS PO, SBI PO, IBPS SO, IBPS RRB, IBPS Clerk and various government & public sector undertaking jobs in India.

Q.1 Which of the following is the first state in India to establish a Special Agriculture Zone (SAZ)?

A. Punjab

B. Gujarat

C. Uttarakhand

D. Haryana

Answer: C. Uttarakhand

Note: Uttarakhand was the first state to set up Special Agricultural Zones (SAZs) in 2011.

Q.2 Which institution floated rupee bond for the first time in the international market?



C. International Finance Institution


Answer: C. International Finance Institution

Note: IFC, a member of the World Bank Group, has issued seven-year bonds worth $194 mn indicating increased global interest in rupee debt.

Q.3 When did India become a permanent member of Washington Accord?

A. 1951

B. 1991

C. 2014

D. 2016

Answer: C. 2014

Note: The Washington Accord is an international accreditation agreement for undergraduate professional engineering academic degrees between the bodies responsible for accreditation in its signatory countries and regions.

Q.4 Who among the following is known as mother of broiler poultry farming?

A. Wilmer Steele

B. William Jones

C. Jonathon Steve

D. None of these

Answer: A. Wilmer Steele

Q.5 If the interest rate is decreased in an economy, it will

A. Increase the investment expenditure in the economy.

B. Increase the tax collection of the Government

C. Decrease the consumption expenditure in the economy.

D. Increase the total savings in the economy

Answer: A. Increase the investment expenditure in the economy.

Q.6 A “closed economy” is an economy in which

A. The money supply is fully controlled

B. Only exports take place

C. Neither exports nor imports take place

D. Deficit financing takes place

Answer: C. Neither exports nor imports take place

Q.7 Which of the following brings out the ‘Consumer Price Index Number for Industrial Workers’?


B. Department of Economic Affairs

C. The Labour Bureau


Answer: C. The Labour Bureau

Q.8 The devaluation of currency is done by a government in order to:

A. Increase export

B. Decrease import

C. Increase PPP

D. Both A & B

Answer: D. Both A & B

Q.9 What kind of unemployment is found in the agricultural sector of India?

A. Situational

B. Disguise

C. Voluntary

D. None of these

Answer: B. Disguise

Q.10 Which of the following is the top fruit producing state of India?

A. Himachal Pradesh

B. Uttarakhand

C. Maharashtra

D. West Bengal

Answer: C. Maharashtra

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