Tag: economics

Questions Related to economics

Which of the following resources were scarce in the Indian domestic market?

economics foreign trade in india the government and economic development indian economy on the eve of independence impact of technology on livelihoods

  1. Food grains

  2. Clothes

  3. Kerosene

  4. All of the above

Show answer
Correct Option: D

Where is the Suez Canal situated?

economics foreign trade in india the government and economic development indian economy on the eve of independence impact of technology on livelihoods

  1. Egypt

  2. Iraq

  3. Iran

  4. Syria

Show answer
Correct Option: A

What was the importance of the Suez Canal to the British?

economics foreign trade in india the government and economic development indian economy on the eve of independence impact of technology on livelihoods

  1. Further intensified control over Persia's foreign trade

  2. Further intensified control over India's foreign trade

  3. Further intensified control over Ceylon's foreign trade

  4. Further intensified control over China's foreign trade

Show answer
Correct Option: B
Explanation:

The Suez Canal was important to the British because of the fact that they had such a large overseas empire. By the time that the canal was built, the most important part of their empire was India. The Suez Canal made it much easier for them to transport goods to and from India.  it is the shortest trade link between Europe and countries on the Indian and Pacific Oceans. Because the majority of the world's goods are transported via sea, the Suez Canal greatly reduces the time and cost of transporting goods.

Why was India's foreign trade heavily restricted?

economics foreign trade in india the government and economic development indian economy on the eve of independence impact of technology on livelihoods

  1. As it would benefit Britain

  2. As it would benefit India

  3. As it would benefit India and Britain

  4. None of the above

Show answer
Correct Option: A
Explanation:

They exported raw materials from India at cheap rates and imported finished goods from Britain which adversely affected the Indian industries and economy as a whole.The British imposed heavy duties on exportation of Indian goods and no duties were levied on British goods which benefited them. The British ruled India to drain its resources and thus turned India into a colonial economy. They adopt various policies and methods which adversely affected the Indian Economy. 



Import of oil and lubricants constitute nearly ________ of India's total import bill as per 2013-14 data.

economics foreign trade in india the government and economic development indian economy on the eve of independence impact of technology on livelihoods

  1. 20%

  2. 24%

  3. 35%

  4. 40%

Show answer
Correct Option: C

When a transaction is processed online, how can the merchant verify the customer's identity?

economics solution to basic economic problems under different economic systems supply curve and price determination in the market price mechanism and solutions supply

  1. use secure sockets layers

  2. use secure electronic transactions

  3. use electronic data interchange

  4. use financial electronic data interchange

Show answer
Correct Option: B

The reservation price for flowers is low.

economics solution to basic economic problems under different economic systems supply curve and price determination in the market price mechanism and solutions supply

  1. True

  2. False

Show answer
Correct Option: A
Explanation:

The reservation price for flowers are likely to stay low due to higher production and it has to be consumed in a short span of time otherwise it will be rotted.

Indian financial system has provisions for the transfer of resources from the center to the states; the important means of resource transfer are _________________.

economics solution to basic economic problems under different economic systems supply curve and price determination in the market price mechanism and solutions supply

  1. devolution from the central taxes

  2. grant-in-aids for different purposes

  3. loans of short and long term periods

  4. All of the above

Show answer
Correct Option: D

Prices under price mechanism are determined by the ____________.

economics solution to basic economic problems under different economic systems supply curve and price determination in the market price mechanism and solutions supply

  1. market forces of demand and supply

  2. government as well as firms

  3. producers alone

  4. factors of production

Show answer
Correct Option: A
Explanation:

In price mechanism, prices of commodities in the market are determined by the forces of demand and supply that generates open competition in the market which leads optimum distribution of goods and services. 

Forces of demand and supply operate within the framework of a market.

economics solution to basic economic problems under different economic systems supply curve and price determination in the market price mechanism and solutions supply

  1. True

  2. False

Show answer
Correct Option: A
Explanation:

Price mechanism refers to the mechanism where price directs the flow of goods and services in the market as it directs the supply by the production sector i.e supply will increase if price increases and vice-versa and the demand by the consumer sector i.e demand will increase if price decreases and vice-versa which generates within the framework of a market.