Economic Development and Growth in India: Policies and Trends

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Questions and Answers

Which economic sector includes activities related to farming, livestock, and forestry?

  • Industry
  • Agriculture (correct)
  • Services
  • Manufacturing

What is the main focus of the Competition Act 2002 in India?

  • Regulating competition to prevent anti-competitive practices (correct)
  • Limiting foreign investments
  • Encouraging unfair trade practices
  • Promoting monopolies

Which policy tool is used by the Reserve Bank of India (RBI) to control inflation?

  • Monetary policy (correct)
  • Fiscal policy
  • Trade policy
  • Industrial policy

In which module would you likely find discussions on issues related to economic development?

<p>Module 4 (D)</p> Signup and view all the answers

Which sector of the economy is primarily involved in providing intangible goods and services?

<p>Services (D)</p> Signup and view all the answers

What type of models are discussed under Macroeconomics in the provided text?

<p>Two and three sector models (C)</p> Signup and view all the answers

What is the primary focus of Module 5 in the economic development course?

<p>Agriculture, Industry, and Service Sectors (C)</p> Signup and view all the answers

Which policy is discussed under Agriculture in the course material?

<p>Public Distribution System and Food Security (D)</p> Signup and view all the answers

What is a key aspect of Industrial Development since 1991 highlighted in the course?

<p>Growth and Diversification (D)</p> Signup and view all the answers

What sector's growth and performance is discussed since 1991 in Module 5?

<p>Agriculture, Industry, and Service Sectors (C)</p> Signup and view all the answers

In which module of the course is Banking Sector Reforms since 1991 discussed?

<p>Module 6 (A)</p> Signup and view all the answers

What is a significant trend in Monetary Policy discussed in the course material?

<p>Trends in Inflation (D)</p> Signup and view all the answers

What happens to the aggregate demand curve if net exports are negative?

<p>It shifts downward to the left (D)</p> Signup and view all the answers

At what point is the new equilibrium level of national income after the curve shift due to negative net exports?

<p>Below E2 (C)</p> Signup and view all the answers

Where is the equilibrium level of national income determined according to Keynes?

<p>At the point where aggregate demand curve intersects aggregate supply curve (B)</p> Signup and view all the answers

In which phase of a business cycle does a country experience a contraction in economic activity?

<p>Recession (C)</p> Signup and view all the answers

What is the main characteristic of the phase known as 'Prosperity' in a business cycle?

<p>Expansion and high economic activity (D)</p> Signup and view all the answers

Why is it important for a country not to remain isolated from the rest of the world in terms of foreign relations?

<p>To ensure stability in national income levels (B)</p> Signup and view all the answers

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