Tag: economics of development

Questions Related to economics of development

Choose the correct answers from the alternatives given.
Which Five Year Plan is not correct among the following?

geography economic growth and development development and growth need for sustainable development economics of development

  1. First 1951-56

  2. Second 1956-61

  3. Third 1961-66

  4. Fourth 1966-71

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Correct Option: D
Explanation:

Despite big investments during the first three Plans, the Living standards of the poor could not be raised and poverty and inequity in distribution of state resources remained stark. Consequently, the period between 1966 and 1969 marked the shift from a 'growth approach' to a 'distribution from growth approach'. Looking at the failures and pitfalls the planners suspended the impending Fourth Plan, which was due in 1966, until 1969 for a revision of objectives and targets. This came to be called as the 'Plan Holiday' extending from 1 April 1966 to 31 March 1969.

Identify the problems related with the use of per capita income index to compare the standard of living, economic growth and welfare between different countries.

geography economic growth and development development and growth need for sustainable development economics of development

  1. Problem of expression of national income of different countries in one currency.

  2. Different concepts of national income measurement are used in different countries.

  3. Difficulty in measuring standard of living of different countries due to differing price levels.

  4. All of the above

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Correct Option: D

Indian Economy is a __________.

geography economic growth and development development and growth need for sustainable development economics of development

  1. capitalist economy

  2. socialist economy

  3. mixed economy

  4. not an economy at all

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Correct Option: C
Explanation:

Indian economy is a mixed economy.  A mixed economy can be defined as a market system which entails features from both the capitalist economy as well as socialist economy. Decisions in a mixed economy are jointly taken by both the private as well as public sector.

The ____________ in December 2011 has taken steps to reduce greenhouse gas emissions and set up a Green Climate Fund for this purpose.

geography economic growth and development development and growth need for sustainable development economics of development

  1. Durban Meet

  2. Climate Change Convention

  3. Rio Convention

  4. Paris Agreement

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Correct Option: A
Explanation:

In the field of climate finance, green climate fund has been set up to provide fund for a healthy climate for the people. For this purpose, the Durban Meet in December 2011 was set up. 

The Earth Summit was held in __________ in June, 1992.

geography economic growth and development development and growth need for sustainable development economics of development

  1. Paris, France

  2. Washington, US

  3. Stockholm, Sweden

  4. Rio, Brazil

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Correct Option: D

Economic growth in country X will necessarily have to occur if ___________________.

economics economic growth and development development and growth need for sustainable development economics of development

  1. there is a technical progress in the world economy

  2. there is population growth in X

  3. there is a capital formation in X

  4. the volume of trade grows in the world economy

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Correct Option: C
Explanation:

Capital formation (investment) brings additional income/production in the economy which enhances growth. Other of the given choices do not lead to 'necessay' growth.

Non-economic activities aim at ___________.

organisation of commerce and management economics of development and planning fundamental of economic development economics of development economic mechanism

  1. social service

  2. profit maximization

  3. consumer satisfaction

  4. wealth

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Correct Option: A
Explanation:

Economic activities are related to manufacturing, distribution, exchange and consumption of goods and services. The most important aim of economic activity is the production of goods and services with a view to make them available to the consumer. 

Non-economic activity is an action perform willingly, with the aim of providing services to others lacking any regard as to monetary gain. Individuals human activities which are assumed for individual satisfaction or to satisfy human sentiment are non-economic activities.

The correct option is A.

A successful inclusive growth strategy includes which among the following?

organisation of commerce and management economics of development and planning fundamental of economic development economics of development economic mechanism

  1. Equal opportunities

  2. Financial inclusion

  3. Increasing government spending

  4. All the above

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Correct Option: D
Explanation:
Inclusive growth is a theory that moves forward equitable opportunities for the financial participant during economic growth with benefits incurred by every section of civilization. Sustainable economic growth requires inclusive growth. 
Sometimes, it becomes difficult to maintain this because, economic growth may give rise to negative externalities, such as a rise in corruption, which is a major problem in developing countries especially on equal opportunity in terms of access to markets, resources, and an impartial regulatory environment is an essential ingredient of successful growth. 
The inclusive growth moves towards takes a longer-term point of view, as the focus is on productive service as a means of growing the incomes of poor and excluded groups and raising their standards of living.
Thus, the correct option is D.

Which one of the following characteristics is widely regarded as being an important aspect of sustainable development?

organisation of commerce and management economics of development and planning fundamental of economic development economics of development economic mechanism

  1. Intergenerational equity

  2. Increasing consumption expenditure

  3. Generational inequity

  4. Increased levels of saving

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Correct Option: A
Explanation:

Intergenerational equity is a concept that says that humans 'hold the natural and cultural environment of the Earth in common both with other members of the present generation and with other generations, past, and future'.

Which of the following are elements of inclusive growth?

organisation of commerce and management economics of development and planning fundamental of economic development economics of development economic mechanism

  1. Poverty reduction

  2. Social sector development

  3. Protecting environment

  4. All of the above

Show answer
Correct Option: D
Explanation:

There are five interrelated elements of inclusive growth. They are mentioned as below:

  1. Poverty Reduction and increase in quantity and quality of employment
  2. Agricultural Development
  3. Social Sector Development
  4. Reduction in regional disparities
  5. Protecting the environment