MCQ on Economic Planning and Development
Q1. Which of the following is the primary organization responsible for formulating and implementing economic plans in India?
a) Planning Commission
b) NITI Aayog
c) Ministry of Finance
d) Reserve Bank of India
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Correct Answer: b) NITI Aayog
Explanation: The NITI Aayog (National Institution for Transforming India) is the primary organization responsible for formulating and implementing economic plans in India. It replaced the Planning Commission in 2015 and aims to foster cooperative federalism, promote innovation, and provide a platform for policy-making.
Q2. Which of the following Five-Year Plans focused on the “Green Revolution” in India?
a) First Five-Year Plan
b) Second Five-Year Plan
c) Third Five-Year Plan
d) Fourth Five-Year Plan
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Correct Answer: c) Third Five-Year Plan
Explanation: Third Five-Year Plan (1961-1966) focused on the “Green Revolution” in India.
Q3. Which of the following economic models was adopted by India after its independence?
a) Capitalist model
b) Socialist model
c) Communist model
d) Mixed economy model
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Correct Answer: d) Mixed economy model
Explanation: After its independence, India adopted a mixed economy model, which combines elements of both capitalist and socialist economic systems. This model includes both private and public sectors, with the government playing a significant role in planning and regulating economic activities.
Q4. Which of the following is a primary objective of economic planning in India?
a) Achieving high economic growth
b) Reducing income inequalities
c) Promoting self-reliance
d) All of the above
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Correct Answer: d) All of the above
Explanation: The primary objectives of economic planning in India include achieving high economic growth, reducing income inequalities, and promoting self-reliance. These objectives aim to improve the overall well-being of the population and ensure sustainable development.
Q5. Which of the following sectors was given the highest priority in the First Five-Year Plan (1951-1956)?
a) Agriculture
b) Industry
c) Services
d) Infrastructure
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Correct Answer: a) Agriculture
Explanation: The First Five-Year Plan (1951-1956) gave the highest priority to the agriculture sector. The plan aimed to increase agricultural production, improve food security, and promote overall economic development.
Q6. Which of the following plans aimed at achieving “Growth with Social Justice and Equality”?
a) Ninth Five-Year Plan
b) Sixth Five-Year Plan
c) Seventh Five-Year Plan
d) Eighth Five-Year Plan
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Correct Answer: a) Ninth Five-Year Plan
Explanation: The Ninth Five-Year Plan (1997-2002) aimed at achieving “growth with social justice and equality”. The plan recognized the critical role of the state in the social sectors such as health care, education, and infrastructure, since the market forces, by themselves, may not make these areas attractive to the private sector.
Q7. Which of the following is a major outcome of the economic liberalization policies introduced in India in 1991?
a) Increased foreign direct investment
b) Expansion of the public sector
c) Decreased role of the private sector
d) Increased government intervention in the economy
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Correct Answer: a) Increased foreign direct investment
Explanation: A major outcome of the economic liberalization policies introduced in India in 1991 was an increase in foreign direct investment. These policies aimed to open up the Indian economy to global competition, reduce government intervention, and promote private sector participation.
Q8. Which of the following is a primary objective of the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA)?
a) Providing guaranteed employment to rural households
b) Promoting skill development
c) Encouraging foreign investment
d) Reducing inflation
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Correct Answer: a) Providing guaranteed employment to rural households
Explanation: The primary objective of the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) is to provide guaranteed employment to rural households. The program aims to enhance livelihood security, create durable assets, and promote social inclusion.
Q9. Which of the following is a major initiative under the “Make in India” campaign?
a) Promoting foreign direct investment
b) Encouraging exports
c) Developing infrastructure
d) All of the above
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Correct Answer: d) All of the above
Explanation: The “Make in India” campaign aims to promote foreign direct investment, encourage exports, and develop infrastructure. The initiative seeks to transform India into a global manufacturing hub and boost economic growth.
Q10. Which of the following is a primary objective of the Pradhan Mantri Jan Dhan Yojana (PMJDY)?
a) Financial inclusion
b) Skill development
c) Employment generation
d) Infrastructure development
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Correct Answer: a) Financial inclusion
Explanation: The primary objective of the Pradhan Mantri Jan Dhan Yojana (PMJDY) is to promote financial inclusion. The program aims to provide access to financial services, such as savings accounts, credit, insurance, and pension, to all Indian households.
Q11. Which of the following is a major component of the National Skill Development Mission?
a) Pradhan Mantri Kaushal Vikas Yojana (PMKVY)
b) Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA)
c) Make in India campaign
d) Pradhan Mantri Jan Dhan Yojana (PMJDY)
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Correct Answer: a) Pradhan Mantri Kaushal Vikas Yojana (PMKVY)
Explanation: The Pradhan Mantri Kaushal Vikas Yojana (PMKVY) is a major component of the National Skill Development Mission. The program aims to provide skill training to the youth, enhance their employability, and promote entrepreneurship.
Q12. Which of the following is a primary objective of the Pradhan Mantri Mudra Yojana (PMMY)?
a) Providing credit to micro and small enterprises
b) Promoting financial inclusion
c) Encouraging exports
d) Developing infrastructure
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Correct Answer: a) Providing credit to micro and small enterprises
Explanation: The primary objective of the Pradhan Mantri Mudra Yojana (PMMY) is to provide credit to micro and small enterprises. The program aims to support the growth of these enterprises, create employment opportunities, and boost economic development.
Q13. Which of the following is a major initiative under the “Digital India” campaign?
a) Promoting e-governance
b) Developing digital infrastructure
c) Providing digital literacy
d) All of the above
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Correct Answer: d) All of the above
Explanation: The “Digital India” campaign aims to promote e-governance, develop digital infrastructure, and provide digital literacy. The initiative seeks to transform India into a digitally empowered society and knowledge economy.
Q14. Which of the following is a primary objective of the Pradhan Mantri Awas Yojana (PMAY)?
a) Providing affordable housing to all
b) Promoting financial inclusion
c) Encouraging exports
d) Developing infrastructure
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Correct Answer: a) Providing affordable housing to all
Explanation: The primary objective of the Pradhan Mantri Awas Yojana (PMAY) is to provide affordable housing to all. The program aims to construct affordable housing units for the urban and rural poor, with a focus on economically weaker sections and low-income groups.
Q15. Which of the following is a primary objective of the Swachh Bharat Abhiyan (Clean India Mission)?
a) Promoting cleanliness and sanitation
b) Providing affordable housing
c) Encouraging exports
d) Developing infrastructure
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Correct Answer: a) Promoting cleanliness and sanitation
Explanation: The primary objective of the Swachh Bharat Abhiyan (Clean India Mission) is to promote cleanliness and sanitation. The program aims to eliminate open defecation, improve solid waste management, and promote behavioral change regarding sanitation practices.
Q16. Which of the following is a primary objective of the National Health Mission (NHM)?
a) Improving healthcare services
b) Promoting financial inclusion
c) Encouraging exports
d) Developing infrastructure
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Correct Answer: a) Improving healthcare services
Explanation: The primary objective of the National Health Mission (NHM) is to improve healthcare services. The program aims to provide accessible, affordable, and quality healthcare services to all, with a focus on rural areas and vulnerable populations.
Q17. Which of the following is a primary objective of the National Rural Livelihoods Mission (NRLM)?
a) Promoting self-employment and entrepreneurship
b) Providing affordable housing
c) Encouraging exports
d) Developing infrastructure
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Correct Answer: a) Promoting self-employment and entrepreneurship
Explanation: The primary objective of the National Rural Livelihoods Mission (NRLM) is to promote self-employment and entrepreneurship. The program aims to create sustainable livelihood opportunities for the rural poor by providing financial assistance, skill development, and market linkages.
Q18. Which of the following is a primary objective of the National Urban Livelihoods Mission (NULM)?
a) Promoting self-employment and entrepreneurship
b) Providing affordable housing
c) Encouraging exports
d) Developing infrastructure
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Correct Answer: a) Promoting self-employment and entrepreneurship
Explanation: The primary objective of the National Urban Livelihoods Mission (NULM) is to promote self-employment and entrepreneurship. The program aims to create sustainable livelihood opportunities for the urban poor by providing financial assistance, skill development, and market linkages.
Q19. Which of the following is a primary objective of the Deen Dayal Upadhyaya Grameen Kaushalya Yojana (DDU-GKY)?
a) Promoting skill development and employment
b) Providing affordable housing
c) Encouraging exports
d) Developing infrastructure
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Correct Answer: a) Promoting skill development and employment
Explanation: The primary objective of the Deen Dayal Upadhyaya Grameen Kaushalya Yojana (DDU-GKY) is to promote skill development and employment. The program aims to provide skill training and placement opportunities to rural youth, with a focus on economically disadvantaged groups.
Q20. Which of the following is a primary objective of the Atal Mission for Rejuvenation and Urban Transformation (AMRUT)?
a) Improving urban infrastructure and services
b) Promoting financial inclusion
c) Encouraging exports
d) Providing affordable housing
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Correct Answer: a) Improving urban infrastructure and services
Explanation: The primary objective of the Atal Mission for Rejuvenation and Urban Transformation (AMRUT) is to improve urban infrastructure and services. The program aims to provide basic services such as water supply, sewerage, and urban transport to households and build amenities in cities to improve the quality of life for all, especially the poor and the disadvantaged.