The Indian economy is best described as a
A Capitalist economy
B Socialist economy
C Mixed economy
D Closed economy
India follows a mixed economy where both public and private sectors coexist with planned development.
One major characteristic of the Indian economy is
A High per capita income
B Heavy dependence on agriculture
C Low population growth
D Complete industrialization
A large proportion of India’s population depends on agriculture for livelihood.
The term “dual economy” in the Indian context refers to
A Coexistence of rich and poor
B Presence of public and private sectors
C Existence of modern and traditional sectors
D Rural–urban population divide
India has a modern industrial sector alongside a traditional agricultural sector.
Which feature distinguishes the Indian economy from developed economies?
A High savings rate
B Capital abundance
C Labour abundance
D Technological leadership
India has abundant labour but limited capital and advanced technology.
Low per capita income in India mainly reflects
A High population growth
B High productivity
C Capital surplus
D Equal income distribution
Rapid population growth reduces income available per person.
Which sector contributes the largest share to India’s GDP today?
A Agriculture
B Industry
C Services
D Mining
The services sector contributes the highest share to GDP in India.
Occupational structure of India shows dominance of
A Industrial workers
B Service professionals
C Agricultural workforce
D Skilled technicians
A large share of India’s workforce is still engaged in agriculture.
One major challenge of the Indian economy is
A Excess capital formation
B Unemployment and underemployment
C High labour productivity
D Declining population
Jobless growth and disguised unemployment remain serious issues.
Which of the following indicates economic development rather than growth?
A Increase in GDP
B Increase in population
C Structural transformation
D Increase in exports only
Development involves qualitative changes like sectoral shifts and human welfare.
Regional imbalance in India refers to
A Equal development of all states
B Unequal development across regions
C Uniform income levels
D Centralized planning
Some states are economically advanced while others lag behind.
India’s demographic dividend refers to
A High dependency ratio
B Large working-age population
C Declining literacy
D Aging population
A higher share of working-age population can boost growth if productively employed.
The dependency ratio measures
A Population growth rate
B Working-age population
C Non-working population to working population
D Urban population share
It shows the burden on the working population.
Rapid population growth in India mainly affects
A Employment generation
B Resource utilization
C Standard of living
D All of the above
Population pressure impacts jobs, resources, and living standards.
Which age group is considered economically productive?
A 0–14 years
B 15–59 years
C Above 60 years
D 5–15 years
This age group forms the core workforce of the economy.
Demographic transition in India is characterized by
A High birth and death rates
B Low birth and death rates
C Falling death rate and moderate birth rate
D Zero population growth
Improved healthcare reduced death rates faster than birth rates.
A major population challenge faced by India is
A Labour shortage
B Aging population
C Urban overcrowding
D Declining workforce
Rapid urbanization strains housing, transport, and basic services.
Human capital formation mainly depends on
A Physical resources
B Education and health
C Natural resources
D Foreign investment
Education and health improve productivity and skills.
Literacy rate improvement directly contributes to
A Higher dependency ratio
B Higher productivity
C Lower savings
D Capital flight
Literacy enhances skills, employability, and productivity.
Which factor converts population into human resource?
A Size of population
B Education and skill development
C Natural resources
D Urbanization
Skills and education make population economically productive.
India’s population is expected to benefit the economy only if
A Birth rate increases
B Employment opportunities expand
C Urbanization stops
D Agriculture dominates
Without jobs, population growth becomes a burden.
Natural resources contribute to economic development by
A Increasing population
B Providing raw materials
C Reducing labour force
D Increasing imports
Resources supply inputs for agriculture and industry.
Which of the following is a renewable resource?
A Coal
B Petroleum
C Forests
D Minerals
Forests can regenerate if properly managed.
Non-renewable resources are those which
A Can be reused indefinitely
B Regenerate naturally
C Are exhaustible
D Increase with use
Coal and petroleum are finite and exhaustible.
India is rich in which natural resource?
A Petroleum
B Uranium
C Iron ore
D Gold
India has large reserves of iron ore supporting steel industry.
Sustainable use of natural resources implies
A Maximum exploitation
B Ignoring environmental cost
C Use without harming future needs
D Complete conservation
Sustainability balances present use with future availability.
Over-exploitation of natural resources leads to
A Balanced growth
B Environmental degradation
C Higher productivity
D Resource regeneration
Excessive use damages ecosystems and long-term growth.
Which sector depends most directly on natural resources in India?
A Services
B Manufacturing
C Agriculture
D Banking
Agriculture relies heavily on land, water, and climate.
Unequal distribution of natural resources results in
A Uniform development
B Regional imbalance
C Equal income
D Price stability
Resource-rich regions develop faster than others.
Economic development from natural resources depends on
A Mere availability
B Efficient utilization
C Population size
D Climate alone
Technology and management determine effective use.
Which factor limits the contribution of natural resources to growth in India?
A Resource abundance
B Lack of technology
C Skilled manpower surplus
D High capital availability
Limited technology restricts efficient extraction and use.
The Indian economy is often called underdeveloped because of
A High industrial output
B Low standard of living
C High exports
D Capital surplus
Low income and limited access to basic services persist.
Structural change in Indian economy means
A Increase in population
B Shift from agriculture to industry and services
C Rise in inflation
D Increase in imports
Development shifts workforce and output to non-agricultural sectors.
Which indicator best reflects living standards?
A GDP
B Per capita income
C Total population
D Export volume
Per capita income shows average income per person.
Poverty in India is mainly associated with
A Capital surplus
B Unequal income distribution
C High savings
D Low population
Income inequality and unemployment contribute to poverty.
Which factor worsens pressure on natural resources in India?
A Low population
B Rapid population growth
C Technological advancement
D Industrial diversification
Growing population increases resource demand.
India’s demographic challenge includes
A Skill surplus
B Youth unemployment
C Capital abundance
D Labour shortage
Job creation has not matched workforce growth.
Which policy focuses on improving human capital in India?
A Industrial policy
B Population policy
C Education and health missions
D Trade policy
Education and health programs enhance human capital.
Natural resources alone cannot ensure development because
A They are scarce everywhere
B Human effort and technology are required
C Population is irrelevant
D Capital is unnecessary
Resources need technology and skills to be productive.
Which characteristic reflects India as a developing economy?
A High industrial employment
B High technological innovation
C Low human development index
D Capital-intensive production
Lower HDI indicates development challenges.
The term “population explosion” refers to
A Decline in population
B Slow population growth
C Rapid increase in population
D Stable population
High birth rates cause rapid population growth.
Which measure helps convert population pressure into opportunity?
A Capital flight
B Skill development programs
C Reduction in literacy
D Import dependence
Skills enable productive employment.
India’s labour force is characterized by
A High skill level
B Low participation
C Large informal sector
D Capital intensity
Most workers are employed in informal activities.
Which resource is most unevenly distributed in India?
A Land
B Water
C Minerals
D All of the above
Unequal distribution affects regional development.
The economic value of natural resources increases with
A Population growth
B Technological progress
C Inflation
D Urbanization
Technology improves extraction and efficiency.
A major structural weakness of Indian economy is
A Excess savings
B Over-industrialization
C Dependence on monsoon
D Capital surplus
Agriculture’s dependence on monsoon affects stability.
Which factor links population and economic development most closely?
A Climate
B Productivity
C Birth rate
D Migration
Higher productivity turns population into growth engine.
The Indian economy after independence aimed at
A Laissez-faire system
B Planned economic development
C Colonial trade structure
D Complete privatization
Planning was adopted to promote balanced growth.
Which challenge arises from high population density?
A Resource surplus
B Environmental stress
C Capital abundance
D Export growth
Dense population strains land and environment.
Natural resources contribute indirectly to development by
A Increasing imports
B Supporting industrialization
C Raising dependency ratio
D Reducing labour supply
Resources provide raw materials for industries.
The overall structure of Indian economy shows
A Industrial dominance
B Agricultural dominance
C Service sector dominance
D Mining dominance
Services contribute the largest share to GDP today.