MCQs on Liberalization, Privatization, and Globalization- Indian Geography
Q1. Which of the following is a key feature of liberalization in the Indian economy?
a) Deregulation of industries
b) Increase in government control over the economy
c) Increase in import tariffs
d) Decrease in foreign direct investment
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Correct Answer: a) Deregulation of industries
Explanation: Deregulation of industries is a key feature of liberalization in the Indian economy.
Q2. Which of the following is a key feature of privatization in the Indian economy?
a) Disinvestment of public sector enterprises
b) Nationalization of banks
c) Increase in import tariffs
d) Increase in government control over the economy
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Correct Answer: a) Disinvestment of public sector enterprises
Explanation: Disinvestment of public sector enterprises is a key feature of privatization in the Indian economy.
Q3. Which of the following is a key feature of globalization in the Indian economy?
a) Increase in foreign direct investment
b) Nationalization of banks
c) Increase in import tariffs
d) Increase in government control over the economy
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Correct Answer: a) Increase in foreign direct investment
Explanation: Increase in foreign direct investment is a key feature of globalization in the Indian economy.
Q4. Which of the following sectors was deregulated as a part of the economic reforms in India?
a) Banking
b) Insurance
c) Telecommunications
d) All of the above
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Correct Answer: d) All of the above
Explanation: Banking, insurance, and telecommunications sectors were deregulated as a part of the economic reforms in India.
Q5. Which of the following is an example of liberalization in the Indian economy?
a) Abolition of industrial licensing
b) Nationalization of banks
c) Increase in import tariffs
d) Increase in government control over the economy
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Correct Answer: a) Abolition of industrial licensing
Explanation: Abolition of industrial licensing is an example of liberalization in the Indian economy.
Q6. Which of the following is an example of privatization in the Indian economy?
a) Disinvestment of public sector enterprises
b) Nationalization of banks
c) Increase in import tariffs
d) Increase in government control over the economy
Show Answer
Correct Answer: a) Disinvestment of public sector enterprises
Explanation: Disinvestment of public sector enterprises is an example of privatization in the Indian economy.
Q7. Which of the following is an example of globalization in the Indian economy?
a) Increase in foreign direct investment
b) Nationalization of banks
c) Increase in import tariffs
d) Increase in government control over the economy
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Correct Answer: a) Increase in foreign direct investment
Explanation: Increase in foreign direct investment is an example of globalization in the Indian economy.
Q8. Which of the following is a major outcome of the economic reforms in India?
a) Increase in GDP growth rate
b) Decrease in poverty
c) Increase in employment opportunities
d) All of the above
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Correct Answer: d) All of the above
Explanation: The economic reforms in India have led to an increase in GDP growth rate, decrease in poverty, and increase in employment opportunities.
Q9. Which of the following is a major challenge faced by the Indian economy after the economic reforms?
a) High fiscal deficit
b) High inflation
c) High unemployment
d) All of the above
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Correct Answer: d) All of the above
Explanation: High fiscal deficit, high inflation, and high unemployment are major challenges faced by the Indian economy after the economic reforms.
Q10. Which of the following is a major criticism of the economic reforms in India?
a) Increase in income inequality
b) Decrease in foreign direct investment
c) Decrease in GDP growth rate
d) Increase in fiscal deficit
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Correct Answer: a) Increase in income inequality
Explanation: One of the criticisms of the economic reforms in India is the increase in income inequality.
Q11. Which of the following sectors has seen significant growth due to the economic reforms in India?
a) Agriculture
b) Manufacturing
c) Services
d) All of the above
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Correct Answer: c) Services
Explanation: The services sector has seen significant growth due to the economic reforms in India.
Q12. Which of the following is a key feature of the economic reforms introduced in India in 1991?
a) Deregulation of industries
b) Increase in government control over the economy
c) Increase in import tariffs
d) Decrease in foreign direct investment
Show Answer
Correct Answer: a) Deregulation of industries
Explanation: Deregulation of industries is a key feature of the economic reforms introduced in India in 1991.
Q13. Which of the following policies was introduced in India as a part of the economic reforms in 1991 to promote exports?
a) Export-Import (EXIM) Policy
b) Foreign Trade Policy
c) Industrial Policy
d) Fiscal Policy
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Correct Answer: a) Export-Import (EXIM) Policy
Explanation: The Export-Import (EXIM) Policy was introduced in India as a part of the economic reforms in 1991 to promote exports.
Q14. Which of the following financial sector reforms were introduced in India under the New Economic Policy (NEP) in 1991?
a) Change in the Monopolies and Restrictive Trade Practices (MRTP) Act
b) Freedom for importing of capital goods
c) Reduction in the Cash Reserve Ratio (CRR) and Statutory Liquidity Ratio (SLR)
d) All of the above
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Correct Answer: d) All of the above
Explanation: All the mentioned financial sector reforms were introduced in India under the New Economic Policy (NEP) in 1991.
Q15. Which of the following industries was reserved exclusively for the public sector after the economic reforms of 1991?
a) Railways
b) Metro transport
c) Communication
d) None of the above
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Correct Answer: a) Railways
Explanation: Railways was reserved exclusively for the public sector after the economic reforms of 1991.
Q16. Which of the following is a major outcome of the economic reforms in India?
a) Increase in GDP growth rate
b) Decrease in poverty
c) Increase in employment opportunities
d) All of the above
Show Answer
Correct Answer: d) All of the above
Explanation: The economic reforms in India have led to an increase in GDP growth rate, decrease in poverty, and increase in employment opportunities.
Q17. Which of the following is a major criticism of the economic reforms in India?
a) Increase in income inequality
b) Decrease in foreign direct investment
c) Decrease in GDP growth rate
d) Increase in fiscal deficit
Show Answer
Correct Answer: a) Increase in income inequality
Explanation: One of the criticisms of the economic reforms in India is the increase in income inequality.
Q18. Which of the following sectors has seen significant growth due to the economic reforms in India?
a) Agriculture
b) Manufacturing
c) Services
d) All of the above
Show Answer
Correct Answer: c) Services
Explanation: The services sector has seen significant growth due to the economic reforms in India.
Q19. Which of the following is a key feature of the economic reforms introduced in India in 1991?
a) Deregulation of industries
b) Increase in government control over the economy
c) Increase in import tariffs
d) Decrease in foreign direct investment
Show Answer
Correct Answer: a) Deregulation of industries
Explanation: Deregulation of industries is a key feature of the economic reforms introduced in India in 1991.
Q20. Which of the following policies was introduced in India as a part of the economic reforms in 1991 to promote exports?
a) Export-Import (EXIM) Policy
b) Foreign Trade Policy
c) Industrial Policy
d) Fiscal Policy
Show Answer
Correct Answer: a) Export-Import (EXIM) Policy
Explanation: The Export-Import (EXIM) Policy was introduced in India as a part of the economic reforms in 1991 to promote exports.