Indian Economy Mixed Practice — MCQs with Answers (Set 10)

The answer is None of the above. India’s infant mortality rate has stayed well above that of China, the USA, and Sri Lanka, which all report far lower rates. None of the three is a close match.

IBBI was established in 2016, on 1 October, under Section 188 of the Insolvency and Bankruptcy Code, 2016. The Code was passed the same year. Years such as 2015 and 2017 are common wrong options.

SWIFT is a global messaging network banks use to securely transmit information and instructions for financial transactions, functioning as the backbone of international money transfers.

Urban life expectancy being higher than rural is a commonly observed pattern in India. However, female life expectancy typically exceeds male life expectancy, so a table showing men living longer than women would be the unusual, unlikely observation.

Most of India’s ethanol comes from sugarcane molasses, so the sugar industry benefits greatly from higher ethanol blending targets.

Microfinance loans are actually collateral-free by regulation, so a borrower is never required to offer collateral. The other statements reflect genuine income-limit, loan-limit, and interest-payment norms.

The Tendulkar Committee (2009) recommended computing poverty using MPCE based on the Mixed Reference Period, moving away from the earlier Uniform Reference Period method.

Census 2011 defines literacy as being able to both read and write with understanding, at age seven or above. A person who can only read, but not write, does not meet this definition, so both statements are correct.

The credit-to-GDP ratio (and its gap from trend) is the standard indicator economists use to judge where an economy sits in the financial cycle, since credit booms and busts track cycle turning points.

Both statements are correct. Agriculture’s overall employment share genuinely rose over this period, and women’s participation in agriculture rose even more sharply, from around 57% to over 64%.

The IIE was actually established in 1993 (starting operations in 1994), not 1999, so statement 1 is wrong. Its real mandate does cover training, research, and consulting for small and micro enterprises, so statement 2 is correct.

India’s Global Innovation Index rank genuinely improved sharply, from 81st in 2015 to 39th in 2024. But R&D funding in India is dominated by the government, not private industry, so statement 2 is wrong.

The Second Five-Year Plan (1956-61) explicitly aimed to build a socialistic pattern of society, pushing rapid industrialisation, especially heavy industry, following the Congress’s 1955 Avadi resolution.

After the Third Plan ended in 1966, India took a break from five-year plans and instead ran three separate one-year Annual Plans (1966-67, 1967-68, 1968-69), often called the Plan Holiday.

Statement III is wrong on the year: the Ninth Five-Year Plan actually began in 1997, the 50th year of independence, not the 60th year.

So only statements I and II genuinely hold true, making option (a) the answer.

‘Anna Chakra’ was developed by IIT Delhi’s Public Systems Lab, working with the UN World Food Programme. It optimises foodgrain logistics for over 4 lakh Fair Price Shops nationwide.

The correct answer is A-3, B-4, C-2, D-1. This is worked out from RBI dates. BPLR came in April 2003. The Base Rate came in July 2010. MCLR took effect on 1 April 2016. EBLR became mandatory from 1 October 2019. This question is from CAPF (ACs) 2026, General Ability and Intelligence, Set A.

Rainfed Area Development is a scheme for areas that do not have assured irrigation, run as a component of the National Mission for Sustainable Agriculture since 2014-15.

Its real strategies include diversified/integrated farming (mixing crops with livestock, horticulture, fisheries), soil health management using soil test cards, and a cluster-based, watershed-plus approach.

Canal irrigation belongs to already-irrigated command areas, the opposite of what RAD targets, so it is not a genuine RAD strategy, making option (d) correct.

The Orange Economy covers creative, cultural, and IP-driven activities like film, music, design, and publishing. The term was coined in a 2013 book by economists Felipe Buitrago and Ivan Duque.

Statement 1 is correct. Section 83 of the Code sets up a worker re-skilling fund. The employer pays 15 days’ wages for each retrenched worker. PIB says this is in addition to retrenchment compensation. The amount is credited to the worker’s account within 45 days. Statement 2 is wrong. A union needs 51 per cent of the workers, not 41 per cent, to be the sole negotiating union.

The correct answer is (c). IMR counts deaths of infants under one year old, per 1000 live births in that year. It’s a standard measure of a country’s healthcare and living conditions.

India shifted its GDP base year to 2011-12 in 2015. Comparing figures calculated on different base years requires proper adjustment because each uses its own price level as the reference. The article’s Good to Know section covers this.

The Atal Innovation Mission is NITI Aayog’s flagship initiative to promote innovation and entrepreneurship, not a department or ministry.

The answer is that contract farming fixes the price and the buyer before planting. The 2020 Act defined a farming agreement as a written agreement made before production. The sponsor agrees to buy the produce and to give farm services. The farmer keeps the land. Rainfall, irrigation and machines are outside the agreement.

Delta means incremental progress. Districts are ranked on how much they improve across the 49 KPIs, not on their raw score. This lets districts that start low still win. Total expenditure and population do not decide the rank.

At launch the ADP aimed to transform 112 backward districts across 28 States, so 112 is the keyed answer here. NITI Aayog now says the programme covers 117 districts. The other options are not the count for the ADP; 329 is the number of districts in the first Aspirational Blocks list.

The three Cs are Convergence, Collaboration and Competition. Centralisation is not one of them. The programme depends on local leadership and State and district action, not on central control.