Indian Economy Questions and Answers

Answer: B

It originated in the Bretton Woods agreement.

The 1944 conference set up the IMF and the World Bank and established a system of fixed exchange rates convertible into US dollars, with the dollar convertible into gold at $35 an ounce. The system lasted until 1971.

Answer: C

It is at Hyderabad.

The National Institute of Rural Development and Panchayati Raj, under the Ministry of Rural Development, trains rural development officials and conducts research on rural policy.

Answer: C

The Blue Revolution relates to fisheries.

It refers to the rapid growth of fish production through aquaculture and inland fisheries, from the Fish Farmers Development Agencies of the 1970s to the present Pradhan Mantri Matsya Sampada Yojana. India is now the second largest fish producer in the world.

Answer: A

IDBI was established in 1964.

It was set up as a wholly owned subsidiary of the Reserve Bank to act as the apex institution for industrial finance, coordinating the work of the other development banks. Ownership was transferred to the government in 1976, and it became a bank in 2004.

Answer: B

Four national commodity exchanges were working.

They were the Multi Commodity Exchange, the National Commodity and Derivatives Exchange, the National Multi Commodity Exchange and the Indian Commodity Exchange, all regulated then by the Forward Markets Commission, which merged into SEBI in 2015.

Answer: C

It concerned reform of small industries.

The Abid Hussain Committee reported in 1997 and recommended dismantling the reservation of products for the small-scale sector, raising the investment limit, and shifting support from protection to competitiveness - credit, technology and marketing.

Answer: B

The ARDC was merged into NABARD.

The Agricultural Refinance and Development Corporation, together with the agricultural credit departments of the RBI, was absorbed into the National Bank for Agriculture and Rural Development when it began work on 12 July 1982.

Answer: A

All three reasons apply.

Illiteracy limits the adoption of improved practice; the terms of trade have long run against primary products and in favour of manufactures; and public and private investment per worker in agriculture has been far below that in industry. Together they hold rural productivity, and therefore rural incomes, down.

Answer: D

The ceiling was raised to 100 per cent.

Foreign direct investment in telecommunications was allowed up to 74 per cent from 2005 and raised to 100 per cent in 2013, initially with government approval above 49 per cent and later on the automatic route.

Answer: C

It is measured per thousand of population.

\[\text{Crude birth rate} = \frac{\text{live births in the year}}{\text{mid-year population}}\times 1000\] It is called crude because it takes no account of the age and sex composition of the population.