KAS Prelims Test Series 2020 Test KAS-105

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Q.1) Economic Planning is a subject:

(a) in the Union List

(b) in the State List

(c) in the Concurrent List

(d) unspecified in any special list

Q.2) The Five-Year Plans of India intend to develop the country industrially through:

(a) the public sector

(b) the private sector

(c) the public, private, joint and Cooperative sectors

(d) increasing collaboration with non-resident Indians

Q.3) Which of the following statements is correct?

(a) Planning Commission is a constitutional body

(b) The Prime Minister is the Chairman of the Planning Commission

(c) The Minister of Planning is always necessarily the Deputy Chairman of Planning Commission

(d) The draft plan is prepared by the National Development Council

Q.4) Planning in India derives its objectives from:

(a) Fundamental Rights

(b) Directive Principles of State policy

(c) Fundamental Duties

(d) Preamble

Q.5) India opted for ‘Mixed Economy’ in :

(a) Framing of the Constitution

(b) Second Five Year Plan

(c) Industrial Policy of 1948

(d) None of the above

Q.6) Put in chronological order

1. Constitution of National Planning Committee -by the Indian National Congress under Jawaharlal Nehru

2. Planned Economy for India by Visvesvaraya published

3. Bombay Plan

4. Setting up of the National Development Council

(a) 1, 2, 3, 4

(b) 3, 2, 4, 1

(c) 2, 3, 1, 4

(d) 2, 1, 3, 4

Q.7) Which one of the following Five-Year Plans recognised human development as the core of all developmental efforts? [IAS 1995]

(a) The Third Five-Year Plan

(b) The Fifth Five-Year Plan

(c) The Sixth Five-Year Plan

(d) The Eighth Five-Year Plan

Q.8) The steel plants at Durgapur, Bhilai and Rourkela were established during the period of: [NDA 1990]

(a) First Five Year Plan

(b) Second Five Year Plan

(c) Third Five Year Plan

(d) Fourth Five Year PIan

Q.9) The objective of self-reliance and zero net foreign aid was declared in:

(a) Second 5-Yr Plan

(b) Third 5-Yr Plan

(c) Fourth 5-Yr Plan

(d) Fifth 5-Yr Plan

Q.10) Which of the statements given below is/are correct?

1. Food for Work Programme was launched in India during the 10th Five Year Plan.

2. The Planning Commission in India is a constitutional body.

Choose the correct answer from the codes given below

(a) 1 only

(b) 2 only

(c) Both 1 and 2

(d) Neither 1 nor 2

Q.11) Which of the following is NOT a function of the Planning Commission of India?

(1) Assessment of the material, capital and human resources of the country

(2) Formulation of plans for the most effective and balanced utilization of country’s resources

(3) Public cooperation in national development

(4) Preparation of annual budget of the country and collection of taxes to raise capital for the implementation of the plans

(5) Determination of stages in which the plan should be carried out

Q.12) Which one of the following is the correct sequence in the decreasing order of contribution of different sectors to the Gross Domestic Product of India?

(a) Services-Industry-Agriculture

(b) Services-Agriculture-Industry

(c) Industry-Services-Agriculture

(d) Industry-Agriculture-Services

Q.13) In the context of India’s Five Year Plans, a shift in the pattern of industrialization, with lower emphasis on heavy industries and more on infrastructure begins in [IAS 2010]

(a) fourth Plan

(b) sixth Plan

(c) eighth Plan

(d) tenth Plan

Q.14) Match the following:

Five Year                     Plan Emphasis

A. First             1. Food Security and women empowerment

B. Second        2. Heavy industries

C. Fifth             3. Agriculture and community development

D. Ninth           4. Removal of poverty

      A B C D

(a) 1 2 4 3

(b) 3 2 4 1

(c) 1 4 2 3

(d) 3 4 2 1

Q.15) Put in chronological order the following Special features/objectives of different Five Year Plans as they were first formulated:

1. Mahalanobis strategy

2. Modernisation

3. Removal of Poverty

4. Emphasis on employment generation

(a) 1,2,3,4

(b) 2,1,3,4

(c) 1,3,2,4

(d) 3,4,1,2

Q.16) Economic liberalisation in India started with: [2000]

(a) substantial changes in industrial licensing policy

(b) the convertibility of Indian rupee

(c) doing away with procedural formalities for foreign direct investment

(d) significant reduction in tax rates

Q.17) During which Five Year Plan was the Emergency clamped, new elections took place and the Janata Party was elected? [2009]

(a) Third

(b) Fourth

(c) Fifth

(d) Sixth

Q.18) Consider the following statements regarding Indian Planning: [2009]

1. The Second Five-Year Plan emphasized on the establishment of heavy industries.

2. The Third Five-Year Plan introduced the concept of import substitution as a strategy for industrialization.

Which of the statements given above is/are correct?

(a) 1 only

(b) 2 only

(c) Both 1 and 2

(d) Neither 1 nor 2

Q.19) Inclusive growth as enunciated in the Eleventh Five Year Plan does not include one of the following:

(a) Reduction of poverty

(b) Extension of employment opportunities

(c) Strengthening of capital market

(d) Reduction of gender inequality

Q.20) In the context of India’s Five Year Plans, a shift in the pattern of industrialization, with lower emphasis on heavy industries and more on infrastructure begins in [2010]

(a) Fourth Plan

(b) Sixth Plan

(c) Eighth Plan

(d) Tenth Plan

Q.21) Which of the following can aid in furthering the Government’s objective of inclusive growth ?

1. Promoting Self-Help Groups.

2. Promoting Micro Small and Medium Enterprises.

3. Implementing the Right to Education Act.

Select the correct answer using the codes given below:

(a) 1 only

(b) 1 and 2 only

(c) 2 and 3 only

(d) 1,2 and 3 only

Q.22) To obtain full benefits of demographic dividend, what should India do?

(a) Promoting skill development

(b) Introducing more social security schemes

(c) Reducing infant mortality rate

(d) Privatization of higher education

Q.23) A rise in general level of prices may be caused by

1. an increase in the money supply

2. a decrease in the aggregate level of output

3. an increase in the effective demand

Select the correct answer using the codes given below.

(a) 1 only

(b) 1 and 2 only

(c) 2 and 3 only

(d) 1, 2 and 3

Q.24) Which one of the following is likely to be the most inflationary in its effect?

(a) Repayment of public debt

(b) Borrowing from the public to finance a budget deficit

(c) Borrowing from banks to finance a budget deficit

(d) Creating new money to finance a budget deficit

Q.25) Supply of money remaining the same when there is an increase in demand for money, there will be

(a) a fall in the level of prices

(b) an increase in the rate of interest

(c) a decrease in the rate of interest

(d) an increase in the level of income and employment

Q.26) Economic growth in country X will necessarily have to occur if

(a) there is technical progress in the world economy

(b) there is population growth in X

(c) there is capital formation of X

(d) the volume of trade grows in the world economy

Q.27) If the interest rate is decreased in an economy, it will

(a) decrease the consumption expenditure in the economy

(b) increase the tax collection of the Government

(c) increase the investment expenditure in the economy

(d) increase the total savings in the economy

Q.28) With reference to Union Budget, which of the following is/are covered under Non-Plan Expenditure?

1. Defence expenditure

2. Interest payments

3. Salaries and pensions

4. Subsidies

Select the correct answer using the code given below.

(a) 1 only

(b) 2 and 3 only

(c) 1, 2, 3 and 4

(d) None

Q.29) With reference to inflation in India, which of the following statements is correct?

(a) Controlling the inflation in India is the responsibility of the Government of India only

(b) The Reserve Bank of India has no role in controlling the inflation

(c) Decreased money circulation helps in controlling the inflation

(d) Increased money circulation helps in controlling the inflation

Q.30) There has been a persistent deficit budget year after year. Which of the following actions can be taken by the government to reduce the deficit?

1. Reducing revenue expenditure

2. Introducing new welfare schemes

3. Rationalizing subsidies

4. Expanding industries

Select the correct answer using the code given below.

(a) 1 and 3 only

(b) 2 and 3 only

(c) 1 only

(d) 1, 2, 3 and 4

Q.31) ‘Pradhan Mantri Jan-Dhan Yojana’ has been launched for

(a) providing housing loan to poor people at cheaper interest rates

(b) promoting women’s Self-Help Groups in backward areas

(c) promoting financial inclusion in the country

(d) providing financial help to the marginalized communities

Q.32) With reference to the Fourteenth Finance Commission, which of the following statements is/ are correct?

1. It has increased the share of States in the central divisible pool from 32 percent to 42 percent.

2. It has made recommendations concerning sector specific grants.

Select the correct answer using the code given below.

(a) 1 only

(b) 2 only

(c) Both 1 and 2

(d) Neither 1 nor 2

Q.33) Convertibility of rupee implies

(a) being able to convert rupee notes into gold

(b) allowing the value of rupee to be fixed by market forces

(c) freely permitting the conversion of rupee to other currencies and vice versa

(d) developing an international market for currencies in India

Q.34) The Government of India has established NITI Aayog to replace the

(a) Human Rights Commission

(b) Finance Commission

(c) Law Commission

(d) Planning Commission

Q.35) Among the following states, which one has the most suitable climatic conditions for the cultivation of a large variety of orchids with minimum cost of production, and can develop an export oriented industry in this field?

(a) Andhra Pradesh

(b) Arunachal Pradesh

(c) Madhya Pradesh

(d) Uttar Pradesh

Q.36) Consider the following statements: [2004]

1. Regarding the procurement of food-grains, Government of India follows a procurement target rather than an open–ended procurement policy.

2. Government of India announces minimum support prices only for cereals.

3. For distribution under Targeted Public Distribution System (TPDS), wheat and rice are issued by the Government of India at uniform central issue prices to the States/Union Territories.

Which of the statements given above is/are correct?

(a) 1 and 2

(b) 2 only

(c) 1 and 3

(d) 3 only

Q.37) Consider the following statements:

1. Maharashtra has the highest acreage under Jowar in India

2. Andhra Pradesh is the largest producer of groundnut in India.

3. Rajasthan has the largest area of cultivable wastelands in India

4. Andhra Pradesh has the highest per hectare yield of maize in India

Which of these statements are correct?

(a) 1 and 4

(b) 2 and 3

(c) 1 and 3

(d) 2 and 4

Q.38) Which of the following brings out the ‘Consumer Price Index Number for Industrial Workers’?

(a) The Reserve Bank of India

(b) The Department of Economic Affairs

(c) The Labour Bureau

(d) The Department of Personnel and Training

Q.39) In the ‘Index of Eight Core Industries’, which one of the following is given the highest weight?

(a) Coal production

(b) Electricity generation

(c) Fertilizer production

(d) Steel production

Q.40) The Fair and Remunerative Price (FRP) of sugarcane is approved by the

(a) Cabinet Committee on Economic Affairs

(b) Commission for Agricultural Costs and Prices

(c) Directorate of Marketing and Inspection, Ministry of Agriculture

(d) Agricultural Produce Market Committee

Q.41) Which one among the following industries is the maximum consumer of water in India?

(a) Engineering

(b) Paper and pulp

(c) Textiles

(d) Thermal power

Q.42) Disguised unemployment generally means

(a) large number of people remain unemployed

(b) alternative employment is not available

(c) marginal productivity of labour is zero

(d) productivity of workers is low

Q.43) In India, the steel production industry requires the import of

(a) saltpetre

(b) rock phosphate

(c) coking coal

(d) All of the above

Q.44) Unemployment which occurs when workers move from one job to another job is known as :

(a) seasonal unemployment

(b) frictional unemployment

(c) cyclical unemployment

(d) technological unemployment

Q.45) Disguised unemployment in India is mainly related to :

1. agricultural sector

2. rural area

3. factory sector

4. urban area

(a) 1 and 2

(b) 1 and 3

(c) 2 and 4

(d) 3 and 4

Q.46) Cyclical unemployment refers to:

(a) seasonal unemployment

(b) disguised unemployment

(c) voluntary unemployment

(d) unemployment during recessionary phase of a trade cycle

Q.47) Consider the following statements:

Regional disparities in India are high and have been rising in recent years because:

1. There is persistent investment over time only in Select locales

2. Some areas are agro climatically less conducive to development

3. Some are as continue to face little or no agrarian transformation and the consequent lack of social and economic opportunities

4. Some areas have faced continuous political instability.

Which of the above statements are correct?

(a) 1, 2 and 3

(b) 1, 2 and 4

(c) 1, 3 and 4

(d) 2, 3 and 4

Q.48) Among the following who are eligible to benefit from the “Mahatma Gandhi National Rural Employment Guarantee Act” ?

(a) Adult members of only the scheduled Caste and scheduled tribe households

(b) Adult members of below poverty line (BPL) households

(c) Adult members of households of all backward communities

(d) Adult members of any household

Q.49) Poverty Gap is :

(a) the difference between poverty line and actual income levels of all those living below that line

(b) gap between the rich and the poor

(c) gap between developed nations and developing nations

(d) gap in infrastructural facilities between developed and developing nations

Q.50) The strategic aim of IRDP is :

(a) to reduce unemployment

(b) to provide the required inputs for increasing agricultural productivity

(c) to provide more opportunities for rural employment and credit facilities at concessional rate of interest

(d) none of these


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