Economics (Part – III)

11. Increase in unemployment indicates which type of economy? [S.S.C. Online MTS (T-I) 14.10.2017 (Shift-II)]

(a) Healthy
(b) Depressed
(c) Developed
(d) Stagnant

Correct Answer: (b) Depressed

Solution:An increase in unemployment indicates a depressed economy. This leads to a decrease in productivity and demand.

12. What is a good indicator to identify the effect of policies on the industrial sector? [S.S.C. Online CPO S.I. (T-I) 11.11.2022 (Shift-III)]

(a) Rise in capital formation
(b) Rise in share of Industry sector in the GDP
(c) Rise in banking services
(d) Rise in imports

Correct Answer: (b) Rise in share of Industry sector in the GDP

Solution:Industrial Indicator is a statistical combination of multiple factors. The Big three Industrial Indicators are-

Gross Domestic Product (GDP)
Inflation
Unemployment

GDP is an essential Indicator because the fall and rise of GDP created a significant impact on other Indica-tors.

13. What is the percentage of persons below the poverty line estimated in rural areas of India, in 2011-12? [S.S.C. Online CPO S.I. (T-I) 11.11.2022 (Shift-III)]

(a) 25.7%
(b) 13.7%
(c) 35.9%
(d) 21.9%

Correct Answer: (a) 25.7%

Solution:The percentage of persons below the Poverty Line in 2011-12 was 25.7% in rural areas, 13.7% in urban areas and 21.9% in the country.

14. As per CMIE data, what is the percentage of unemployment in India (as of March 2022)? [S.S.C. Online CPO S.I. (T-I) 11.11.2022 (Shift-III)]

(a) 7.77%
(b) 7.06%
(c) 7.60%
(d) 7.66%

Correct Answer: (c) 7.60%

Solution:As per the data from the Centre for Monitoring Indi-an Economy (CMIE), the overall unemployment rate in India fell to 7.6 per cent in March 2022. This rate was 8.10 per cent in February 2022.

Haryana recorded the highest unemployment rate in March 2022, at 26.7 per cent. It was followed by Rajasthan (25%) and Jammu and Kashmir (25%), Bihar (14.4%), Tripura (14.1%) and West Bengal (5.6%).

15. In economies, all productive resources are owned and controlled by the government. [S.S.C. Online C.G.L. (T-I) 3.03.2020 (Shift-III)]

(a) mixed
(b) dual
(c) capitalist
(d) socialist

Correct Answer: (d) socialist

Solution:In a socialist economy all productive resources are owned and controlled by the government. Under this economy, the main role in the process of production is played by the public sector.

16. Which of the following economic activities employs the maximum number of people in India? [S.S.C. Online C.G.L. (T-I) 4.06.2019 (Shift-III)]

(a) Mining
(b) Manufacturing
(c) Tourism
(d) Agriculture

Correct Answer: (d) Agriculture

Solution:The number of workers in agricultural activity is maximum in India. Agriculture plays a vital role in India's economy. 54.6% of the population is engaged in agriculture and allied activities (census 2011).

17. In which of the following types of economies is the factors of production owned individually? [S.S.C. Online CHSL (T-I)8.03.2018 (Shift-II)]

(a) Capitalist
(b) Socialist
(c) Mixed
(d) Both Capitalist and Socialist

Correct Answer: (a) Capitalist

Solution:Capitalist economies are the factors of production owned individually. Capitalism is often thought of as an economic system in which private actors own and control property in accord with their interests, and demand and supply freely set prices in markets in a way that can serve the best interests of society. The essential feature of capitalism is the motive to make a profit.

18. Private ownership of the means of production is a feature of a economy. [S.S.C. Online C.G.L. (T-I) 4.03.2020 (Shift-I)]

(a) dual
(b) mixed
(c) capitalist
(d) socialist

Correct Answer: (c) capitalist

Solution:Private ownership of the means of production is a feature of a capitalist economy.

19. Which of the following is an economic system in which capital goods are owned by private individuals or businesses and the production of goods and services is based on supply and demand in the general market? [S.S.C. Online CHSL (T-I) 14.10.2020 (Shift-I)]

(a) Capitalistic Economy
(b) State Economy
(c) Communist Economy
(d) Mixed Economy

Correct Answer: (a) Capitalistic Economy

Solution:In a Capitalist economic system, capital goods are owned by private individuals or businesses and the production of goods and services is based on supply and demand in the general market.

20. An economic system combining private and state enterprise is called______. [S.S.C. Online C.G.L. (T-I)11.08.2017(Shift-II)]

(a) Market Economy
(b) Centrally Planned Economy
(c) Private Economy
(d) Mixed economy

Correct Answer: (d) Mixed economy

Solution:An economy in which both private and public sectors exist is called a mixed economy. The Indian economy is a prime example of a mixed economy.