Mock Test-5 (Paper-1) (Question 51-100)

Total Questions: 50

11. The "Dual Economy" is a mixture of?

Correct Answer: (a) traditional agriculture sector and modern industrial sector
Solution:A dual economy is the existence of two separate economic sectors within one country, divided by different levels of development, technology, and different patterns of demand.

The concept was originally created by Julius Herman Boeke to describe the coexistence of modern and traditional economic sectors in a colonial economy.

12. GDP deflator is used to :

Correct Answer: (b) measure the inflation in a country.
Solution:GDP deflator is an economic metric that accounts for inflation by converting output measured at current prices into constant-dollar GDP. The GDP deflator shows how much a change in the base year's GDP relies upon changes in the price level.

13. Poverty level in India is established on the basis of

Correct Answer: (c) house - hold consumer expenditure.
Solution:Prof. Suresh Tendulkar adopted the cost of living as the basis for identifying poverty. It was also accepted by the panel under the leadership of Arvind Panagariya, constituted by the govt. in September 2016. However this panel suggested the govt. to constitute another panel to define poverty.

14. Which one of the following is not a part of service sector in India?

Correct Answer: (b) Construction
Solution:Construction falls in infrastructure sector Infra structure sector includes-roads, railways, ports, airports, electricity, telecommunications, irrigation and pipelines etc.

15. Globalisation does not include-

Correct Answer: (d) Disinvestment of Public Sector equit
Solution:The main ingredients of Globalization of Indian Economy are Privatization of the public sector, Disbanding of Controls and Regulations and Deregulation of Trade and Finance. Disinvestment of Public Sector equity doesn't include in Globalization.

16. The functions of the International Monetary Fund include all of the following except .....

Correct Answer: (c) to serve as the world central bank.
Solution:The function of IMF include all the function except to serve as the world central bank. World Bank serve as the world Central Bank.

17. Which among the following will constitute Foreign Direct Investment (FDI)?

Correct Answer: (d) Both (a) and (b)
Solution:Foreign direct investments can be made through the opening of a subsidiary or associate company in a foreign country, acquiring a controlling interest in an existing foreign company, or by means of a merger or joint venture with a foreign company.

18. A long jumper runs before jumping because he

Correct Answer: (b) maintains momentum conservation
Solution:A long jumper runs before jumping to maintain momentum. This helps in jumping higher and longer because of inertia of motion gained due to the motion.

19. An artificial satellite orbiting the earth does not fall down because the earth's attraction

Correct Answer: (d) produces the necessary acceleration of its motion in a curved path
Solution:An artificial satellite orbiting around the Earth does not fall down. This is so because the attraction of earth provides the necessary acceleration for its motion. This acceleration is "constant" in magnitude but "changing in direction".

By the launch rocket, immediately before the satellite is established in the predetermined orbit, the speed given to it is 30,000 km/hr. The speed must be great enough so gravity brings the satellite back to Earth but not so great that the satellite escapes gravity out into space.

20. Which of the following is a vector quantity?

Correct Answer: (a) Velocity
Solution:A vector quantity is one which has both magnitude and direction. Velocity has both magnitude and direction so it is a vector quantity.