UGC NET Economics November 2021 Question PaperPaper 1 & Paper 2 with Answer Key

50 questions with the answer key and explanations.

1. Question 1

   Find out the average number of non-qualified candidates in 2019 from all states.

   Year	State A: N	State A: P (%)	State B: N	State B: P (%)	State C: N	State C: P (%)	State D: N	State D: P (%)
   2016	2.31	32	1.64	42	2.60	46	3.3	29
   2017	2.02	44	1.72	41	2.45	36	3.1	32
   2018	1.98	39	2.02	37	2.20	33	2.9	31
   2019	1.85	28	2.10	43	2.50	42	2.7	34
   2020	2.20	33	1.90	46	2.55	30	3.0	35

   Study the given table carefully and answer the questions that follow. Number (N) of candidates (in lakhs) appearing for a University Entrance examination from four different states (A, B, C, D) and the percentage (P) of candidates clearing the same over the years are provided in the table below.

   1. A135320
   2. B137270
   3. C139870
   4. D144025

   Answer: (D) 144025

   Explanation

   For 2019, non-qualified candidates are computed as N x (100 - P%) for each state, with N expressed in lakhs. State A, B, C, and D give 133200, 119700, 145000, and 178200 respectively; their average is 144025.

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2. Question 2

   Find out the average number of students who qualified in 2020 from all states.

   Year	State A: N	State A: P (%)	State B: N	State B: P (%)	State C: N	State C: P (%)	State D: N	State D: P (%)
   2016	2.31	32	1.64	42	2.60	46	3.3	29
   2017	2.02	44	1.72	41	2.45	36	3.1	32
   2018	1.98	39	2.02	37	2.20	33	2.9	31
   2019	1.85	28	2.10	43	2.50	42	2.7	34
   2020	2.20	33	1.90	46	2.55	30	3.0	35

   Study the given table carefully and answer the questions that follow. Number (N) of candidates (in lakhs) appearing for a University Entrance examination from four different states (A, B, C, D) and the percentage (P) of candidates clearing the same over the years are provided in the table below.

   1. A84550
   2. B84580
   3. C85375
   4. D86770

   Answer: (C) 85375

   Explanation

   For 2020, qualified candidates are N x P% for each state. The four values are 72600, 87400, 76500, and 105000; their average is 85375.

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3. Question 3

   Find out the total number of students who have cleared the entrance exam from 2016 to 2020 in State A.

   Year	State A: N	State A: P (%)	State B: N	State B: P (%)	State C: N	State C: P (%)	State D: N	State D: P (%)
   2016	2.31	32	1.64	42	2.60	46	3.3	29
   2017	2.02	44	1.72	41	2.45	36	3.1	32
   2018	1.98	39	2.02	37	2.20	33	2.9	31
   2019	1.85	28	2.10	43	2.50	42	2.7	34
   2020	2.20	33	1.90	46	2.55	30	3.0	35

   Study the given table carefully and answer the questions that follow. Number (N) of candidates (in lakhs) appearing for a University Entrance examination from four different states (A, B, C, D) and the percentage (P) of candidates clearing the same over the years are provided in the table below.

   1. A355460
   2. B358660
   3. C360890
   4. D364420

   Answer: (D) 364420

   Explanation

   For State A, multiply each yearly candidate count by the clearing percentage: 73920, 88880, 77220, 51800, and 72600. Adding these qualified candidates gives 364420.

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4. Question 4

   Find out the difference between the total number of students who qualified in 2017 and the total number of students who qualified in 2018 from all states.

   Year	State A: N	State A: P (%)	State B: N	State B: P (%)	State C: N	State C: P (%)	State D: N	State D: P (%)
   2016	2.31	32	1.64	42	2.60	46	3.3	29
   2017	2.02	44	1.72	41	2.45	36	3.1	32
   2018	1.98	39	2.02	37	2.20	33	2.9	31
   2019	1.85	28	2.10	43	2.50	42	2.7	34
   2020	2.20	33	1.90	46	2.55	30	3.0	35

   Study the given table carefully and answer the questions that follow. Number (N) of candidates (in lakhs) appearing for a University Entrance examination from four different states (A, B, C, D) and the percentage (P) of candidates clearing the same over the years are provided in the table below.

   1. A31750
   2. B31880
   3. C32220
   4. D32340

   Answer: (D) 32340

   Explanation

   The total qualified count in 2017 is 355440, while in 2018 it is 323100. The difference is therefore 355440 - 323100 = 32340.

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5. Question 5

   In which year did the highest number of candidates clear the entrance exam from State B?

   Year	State A: N	State A: P (%)	State B: N	State B: P (%)	State C: N	State C: P (%)	State D: N	State D: P (%)
   2016	2.31	32	1.64	42	2.60	46	3.3	29
   2017	2.02	44	1.72	41	2.45	36	3.1	32
   2018	1.98	39	2.02	37	2.20	33	2.9	31
   2019	1.85	28	2.10	43	2.50	42	2.7	34
   2020	2.20	33	1.90	46	2.55	30	3.0	35

   Study the given table carefully and answer the questions that follow. Number (N) of candidates (in lakhs) appearing for a University Entrance examination from four different states (A, B, C, D) and the percentage (P) of candidates clearing the same over the years are provided in the table below.

   1. A2016
   2. B2018
   3. C2019
   4. D2020

   Answer: (C) 2019

   Explanation

   For State B, qualified candidates across 2016-2020 are 68880, 70520, 74740, 90300, and 87400. The highest value is 90300 in 2019.

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6. Question 6

   Which of the following are advantages of observation as a tool of data collection?

   a. Observation takes place only in natural settings
   b. Observation methods demand the active participation of subjects in the programme
   c. Observations are known for directness
   d. Artificiality can be minimised in observational studies
   e. Recording devices can be used in observational studies for accuracy

   Choose the correct answer from the options given below:

   1. Aa, b and c only
   2. Ba, b and e only
   3. Cb, c and d only
   4. Dc, d and e only

   Answer: (D) c, d and e only

   Explanation

   Observation is valued because it directly records behaviour, can reduce artificiality when used unobtrusively, and can use recording devices for accuracy. It is not limited only to natural settings, and subjects need not actively participate.

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7. Question 7

   Given below are two statements

   Statement I: A variable measured at the nominal level can be used in higher-level statistics if it is converted into another form.
   Statement II: The result of the conversion process is called dummy variable.

   In light of the above statements, choose the correct answer from the options given below:

   1. ABoth Statement I and Statement II are false
   2. BBoth Statement I and Statement II are true
   3. CStatement I is false but Statement II is true
   4. DStatement I is true but Statement II is false

   Answer: (B) Both Statement I and Statement II are true

   Explanation

   Nominal categories can be recoded into dummy variables, usually 0/1 indicators, so they can be used in regression and other higher-level statistical procedures. Therefore both the conversion claim and the name of the converted variable are correct.

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8. Question 8

   Match List I with List II.

   List I: Thinking Hat System	List II: Concepts and Ideas
   a. White Hat	i. Judgement and caution - the logical negative
   b. Red Hat	ii. Data gathering - facts, figures, information needs and gaps
   c. Black Hat	iii. Provocations, alternatives and creativity-proposals
   d. Green Hat	iv. Intuition and emotions

   1. Aa-i, b-iii, c-ii, d-iv
   2. Ba-ii, b-iv, c-i, d-iii
   3. Ca-iii, b-ii, c-iv, d-i
   4. Da-iv, b-i, c-iii, d-ii

   Answer: (B) a-ii, b-iv, c-i, d-iii

   Explanation

   In de Bono's Six Thinking Hats, the white hat deals with facts and data, red with emotions, black with caution and negative judgement, and green with creativity and alternatives. This gives a-ii, b-iv, c-i, d-iii.

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9. Question 9

   Match List I with List II.

   List I	List II
   a. Lay down standards of legal education	i. NCTE
   b. Maintaining the quality of technical education	ii. AICTE
   c. Maintenance of standards in teacher education	iii. NMC
   d. Access to quality and affordable medical education	iv. BCI

   1. Aa-i, b-ii, c-iv, d-iii
   2. Ba-ii, b-iii, c-iv, d-i
   3. Ca-iii, b-iv, c-i, d-ii
   4. Da-iv, b-ii, c-i, d-iii

   Answer: (D) a-iv, b-ii, c-i, d-iii

   Explanation

   BCI regulates legal education, AICTE regulates technical education, NCTE regulates teacher education, and NMC oversees medical education access and standards. The correct matching is a-iv, b-ii, c-i, d-iii.

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10. Question 10

    Which of the following are myths about communication?

    a. Good communicators are born, not made
    b. Stage fright is not a communication apprehension
    c. Communication skills have nothing to do with relationships
    d. Communication has its own barriers
    e. Practice leads to the right habits of communication

    Choose the correct answer from the options given below:

    1. Aa, b and c only
    2. Ba, d and e only
    3. Cb, c and d only
    4. Dc, d and e only

    Answer: (A) a, b and c only

    Explanation

    Statements a, b, and c are myths: communication skills can be learned, stage fright is a form of apprehension, and communication skills affect relationships. Statements d and e are true principles, not myths.

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11. Question 11

    The dynamics of classroom interaction can be effectively managed through

    1. AInterpreting perceived meanings
    2. BLanguage complexity
    3. CRepetitive symbolism
    4. DVerbosity

    Answer: (A) Interpreting perceived meanings

    Explanation

    Classroom interaction depends on understanding how learners interpret messages and meanings. Language complexity, repetitive symbolism, and verbosity usually obstruct clarity rather than manage interaction.

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12. Question 12

    According to Robbins et al, the sequence of barriers to effective communication in an organisation is

    a. Language
    b. Emotions
    c. Selective perception
    d. Information load
    e. Filtering

    Choose the correct answer from the options given below

    1. Aa, b, d, e, c
    2. Bb, c, d, a, e
    3. Cd, a, e, c, b
    4. De, c, d, b, a

    Answer: (D) e, c, d, b, a

    Explanation

    Robbins lists major communication barriers in the sequence of filtering, selective perception, information overload, emotions, and language. That ordering corresponds to e, c, d, b, a.

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13. Question 13

    What is the World Wide Web (www)?

    1. ACollection of webpages stored on websites
    2. BHypertext processor
    3. CInterconnected networks
    4. DWeb browser

    Answer: (A) Collection of webpages stored on websites

    Explanation

    The World Wide Web is the system of interlinked webpages and resources accessed over the Internet. It is not the Internet itself, a browser, or a processor.

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14. Question 14

    What number comes next in this sequence?

    6, 4, 2.5, 1.5, ?

    1. A0.5
    2. B-0.5
    3. C1
    4. D-1

    Answer: (C) 1

    Explanation

    The sequence subtracts progressively smaller amounts: 6 to 4 is minus 2, 4 to 2.5 is minus 1.5, and 2.5 to 1.5 is minus 1. The next subtraction is 0.5, so the next term is 1.

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15. Question 15

    Pick the correct option to represent the given argument

    All artists are egoists
    Some artists are paupers
    Therefore, some paupers are egoists

    Choose the correct answer from the options given below

    1. AAII - I figure
    2. BAII - II figure
    3. CAII - III figure
    4. DAII - IV figure

    Answer: (C) AII - III figure

    Explanation

    The syllogism has a universal affirmative major premise, a particular affirmative minor premise, and a particular affirmative conclusion, so its mood is AII. The middle term artists is subject in both premises, making it the third figure.

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16. Question 16

    Match List I with List II.

    List I	List II
    a. Ashrayasiddha	i. Sound is eternal because it is visible
    b. Svarupasiddha	ii. All real are momentary; sound is real; sound is momentary
    c. Vyapyatvasiddha	iii. All objects are eternal because they are knowable
    d. Anupasamhari	iv. Sky lotus is fragrant because it belongs to the class of lotus

    1. Aa-i, b-iii, c-ii, d-iv
    2. Ba-ii, b-iv, c-i, d-iii
    3. Ca-iii, b-ii, c-iv, d-i
    4. Da-iv, b-i, c-ii, d-iii

    Answer: (D) a-iv, b-i, c-ii, d-iii

    Explanation

    Ashrayasiddha involves an unreal locus such as a sky lotus. Svarupasiddha has an impossible reason such as visibility proving sound eternal. Vyapyatvasiddha concerns a defective pervasion, while anupasamhari is an over-universal reason covering all objects.

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17. Question 17

    Which of the following Green House gases were the target gases whose emission was to be covered under the first commitment period of the Kyoto protocol?

    a. SO2
    b. CO2
    c. N2O
    d. NH3
    e. CH4

    Choose the correct answer from the options given below:

    1. Aa, b and c only
    2. Ba, b, c and d only
    3. Cb, c and e only
    4. Db, c, d and e only

    Answer: (C) b, c and e only

    Explanation

    The Kyoto Protocol targeted greenhouse gases including carbon dioxide, methane, and nitrous oxide. SO2 and NH3 are not among the listed Kyoto target greenhouse gases in this option set.

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18. Question 18

    Which of the following types of power plants provide electricity consistently running 24 hrs per day, 7 days a week?

    1. AGeothermal
    2. BHydro
    3. CSolar
    4. DWind

    Answer: (A) Geothermal

    Explanation

    Geothermal plants can provide baseload power because heat from the earth is continuously available. Solar and wind are intermittent, while hydro output depends on water availability and operating conditions.

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19. Question 19

    The satellite used for the transmission and telecast of SWAYAMPRABHA is called

    1. AEDUSAT Satellite
    2. BGSAT-15 Satellite
    3. CGSAT-3 Satellite
    4. DSP-EDU-15 Satellite

    Answer: (B) GSAT-15 Satellite

    Explanation

    SWAYAM Prabha DTH educational channels are transmitted through the GSAT-15 satellite. EDUSAT and GSAT-3 are associated with educational satellite initiatives but not this transmission reference.

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20. Question 20

    Match List I with List II.

    List I	List II
    a. System Software	i. Library Management System
    b. Application Software	ii. Firewall
    c. Security Software	iii. Compiler
    d. Embedded Software	iv. Automatic fridge

    1. Aa-i, b-iii, c-iv, d-ii
    2. Ba-ii, b-iv, c-i, d-iii
    3. Ca-iii, b-i, c-ii, d-iv
    4. Da-iii, b-iv, c-i, d-ii

    Answer: (C) a-iii, b-i, c-ii, d-iv

    Explanation

    A compiler is system software, a library management system is application software, a firewall is security software, and automatic fridge control is embedded software. This gives a-iii, b-i, c-ii, d-iv.

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21. Question 21

    Which of the following statements are true?

    a. Simplex data transmission is in two-directions only
    b. Half-duplex data transmission is in both directions but not at the same time
    c. Full-duplex data transmission is in both directions simultaneously
    d. Serial data transmission is when data is sent, 8 bit at a time, over a single wire
    e. Parallel data transmission is when one bit of data is sent down over a single wire

    Choose the correct answer from the options given below:

    1. Aa, b and c only
    2. Bb and c only
    3. Cc and d only
    4. Dc, d and e only

    Answer: (B) b and c only

    Explanation

    Half-duplex allows both directions but only one direction at a time, and full-duplex allows simultaneous two-way transmission. Simplex is one-way, while serial and parallel transmission are misstated in d and e.

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22. Question 22

    The first education commission in Independent India is:

    1. ANational Knowledge Commission
    2. BSecondary Education Commission
    3. CThe Education Commission
    4. DUniversity Education Commission

    Answer: (D) University Education Commission

    Explanation

    The University Education Commission, also called the Radhakrishnan Commission, was set up in 1948 and is regarded as the first education commission of independent India.

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23. Question 23

    The characteristics of a normal distribution curve are:

    a. It reflects an asymmetrical distribution
    b. It is bell-shaped
    c. It does not show standard deviations
    d. The mean, mode and median coincide at the centre of the distribution
    e. The curve is based on an infinite number of observations

    Choose the correct answer from the options given below:

    1. Aa, b and c only
    2. Bb, c and d only
    3. Cb, d and e only
    4. Dc, d and e only

    Answer: (C) b, d and e only

    Explanation

    A normal curve is symmetric and bell-shaped, with mean, median, and mode at the centre. It is a theoretical continuous curve based on infinitely many observations, while statements a and c are incorrect.

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24. Question 24

    Gender Parity Index in higher education in India is:

    1. A0.98
    2. B0.99
    3. C1.1
    4. D1

    Answer: (D) 1

    Explanation

    A Gender Parity Index of 1 indicates parity between male and female participation. The source answer marks 1, meaning higher education enrolment was represented as balanced in this item.

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25. Question 25

    Given below are two statements

    Statement I: One's perceptions and beliefs are the basis of generalisation in communication
    Statement II: Generalisations of the environment develop through experiences.

    In light of the above statements, choose the correct answer from the options given below

    1. ABoth Statement I and Statement II are false.
    2. BBoth Statement I and Statement II are true.
    3. CStatement I is false but Statement II is true.
    4. DStatement I is true but Statement II is false.

    Answer: (B) Both Statement I and Statement II are true.

    Explanation

    People generalise in communication from their perceptions, beliefs, and accumulated experience of the environment. Since both statements describe this cognitive basis of generalisation, both are true.

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26. Question 26

    The middle term of the inference is related to the major term neither as a cause nor as an effect but because they are uniformly related to each other in our experience, is known as

    1. APakshdharmata
    2. BPurvavat
    3. CSamanyatodrshta
    4. DSheshavat

    Answer: (C) Samanyatodrshta

    Explanation

    Samanyatodrshta inference is based on observed uniform concomitance rather than a direct causal relation. Purvavat and sheshavat are causal forms of inference, so they do not fit the description.

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27. Question 27

    Which of the following are in the "Six Thinking Hats System", a form of parallel thinking?

    a. Brown Hat
    b. White Hat
    c. Violet Hat
    d. Red Hat
    e. Black Hat

    Choose the correct answer from the options given below:

    1. Aa, b and c only
    2. Bb, c and d only
    3. Cb, d and e only
    4. Dc, d and e only

    Answer: (C) b, d and e only

    Explanation

    The Six Thinking Hats include white, red, black, yellow, green, and blue hats. Brown and violet are not part of the standard system, so b, d, and e are correct from the given list.

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28. Question 28

    What is the name for the technique which uses images that are often more evocative than words, and more precise and potent in triggering a wide range of associations and thinking?

    1. ABrainstorming
    2. BMind-mapping
    3. CStory boarding
    4. DSynectics

    Answer: (B) Mind-mapping

    Explanation

    Mind mapping uses visual nodes, links, and images to stimulate associations and structure thinking. Brainstorming is idea generation, storyboarding sequences scenes, and synectics uses analogies.

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29. Question 29

    What is Ethernet?

    1. AA collision-detection protocol
    2. BA protocol used by many wired LANs
    3. CA protocol used for address translation
    4. DA security protocol

    Answer: (B) A protocol used by many wired LANs

    Explanation

    Ethernet is the dominant family of wired local area network technologies. Collision detection was part of older shared Ethernet, but the broader correct description is a wired LAN protocol.

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30. Question 30

    If the selling price of Rs. 24 results in a discount of 20% on the list price, what selling price would result in a 30% discount on list price?

    1. A18
    2. B20
    3. C21
    4. D27

    Answer: (C) 21

    Explanation

    A 20% discount means the selling price is 80% of the list price. Since Rs. 24 equals 80%, the list price is Rs. 30; a 30% discount means paying 70% of Rs. 30, which is Rs. 21.

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31. Question 31

    Which of the following are Central Universities?

    a. Dr. Babasaheb Ambedkar Open University
    b. Jamia Millia Islamia
    c. Panjab University
    d. Punjabi University
    e. University of Mumbai

    Choose the correct answer from the options given below:

    1. Aa and b only
    2. Bb and c only
    3. Cc and d only
    4. Dc and e only

    Answer: (B) b and c only

    Explanation

    Jamia Millia Islamia is a central university, and Panjab University has central-university status for this classification. The other listed universities are state institutions, so b and c fit.

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32. Question 32

    Which of the following statements are correct?

    a. If A's speed is more than B's speed, then to travel the same distance, A will take more time than B
    b. Two speeds, 1500 m/min and 90 km/hr are equal
    c. By walking at a speed of 18 km/hr, the distance covered in 2 minutes and 30 seconds is 750 meters

    Choose the correct answer from the options given below

    1. Aa and b only
    2. Ba and c only
    3. Cb and c only
    4. Dc only

    Answer: (C) b and c only

    Explanation

    Statement a is false because higher speed takes less time for the same distance. 1500 m/min equals 90 km/hr, and 18 km/hr equals 5 m/s, so in 150 seconds the distance is 750 m.

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33. Question 33

    Match List I with List II.

    List I	List II
    a. If 'A' is True	i. 'E' is True; 'O' is True
    b. If 'E' is True	ii. 'O' is False; 'E' is False
    c. If 'I' is False	iii. 'A' is False; 'I' is False
    d. If 'O' is False	iv. 'E' is False; 'I' is True

    1. Aa-i, b-ii, c-iii, d-iv
    2. Ba-ii, b-iii, c-i, d-iv
    3. Ca-iii, b-i, c-ii, d-iv
    4. Da-iv, b-ii, c-iii, d-i

    Answer: (B) a-ii, b-iii, c-i, d-iv

    Explanation

    In traditional square of opposition, if A is true then O and E are false; if E is true then A and I are false; if I is false then E and O are true; and if O is false then A is true and I is true. This matches a-ii, b-iii, c-i, d-iv.

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34. Question 34

    Given below are two statements

    Statement I: Personal competencies determine how we manage ourselves
    Statement II: Social competencies determine how we handle relationships

    In light of the above statements, choose the most appropriate answer from the options given below

    1. ABoth Statement I and Statement II are correct.
    2. BBoth Statement I and Statement II are incorrect.
    3. CStatement I is correct but Statement II is incorrect.
    4. DStatement I is incorrect but Statement II is correct.

    Answer: (A) Both Statement I and Statement II are correct.

    Explanation

    In emotional intelligence frameworks, personal competence concerns self-awareness and self-management, while social competence concerns relationship management. Both statements therefore correctly distinguish the two competency domains.

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35. Question 35

    An extraneous variable is also known as

    1. AArtifact
    2. BContiguous factor
    3. CDependent variable
    4. DIntervener

    Answer: (A) Artifact

    Explanation

    An extraneous variable can create an artifact, meaning an observed effect produced by an uncontrolled outside factor rather than the intended independent variable. It is not the dependent variable itself.

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36. Question 36

    Given below are two statements

    Statement I: DVDs use a single spiral track to store data working from the centre to the edge.
    Statement II: DVDs are Read-only devices

    In light of the above statements, choose the correct answer from the options given below

    1. ABoth Statement I and Statement II are false.
    2. BBoth Statement I and Statement II are true
    3. CStatement I is false but Statement II is true.
    4. DStatement I is true but Statement II is false

    Answer: (D) Statement I is true but Statement II is false

    Explanation

    Optical discs store data on a spiral track read from the centre outward, so Statement I is true. Statement II is false because DVDs exist in read-only, recordable, and rewritable forms.

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37. Question 37

    Match List I with List II.

    List I: Elements of Effective Communication	List II: Description
    a. Common frame of reference	i. Communications with people of similar background
    b. Congruence	ii. Use of understandable language
    c. Language relevance	iii. Messages of common interest between encoder and decoder
    d. Compatible environment	iv. Compatibility between the receiver and the sender

    1. Aa-i, b-ii, c-iii, d-iv
    2. Ba-ii, b-iii, c-iv, d-i
    3. Ca-iii, b-iv, c-i, d-ii
    4. Da-iv, b-iii, c-ii, d-i

    Answer: (D) a-iv, b-iii, c-ii, d-i

    Explanation

    Common frame of reference means compatibility between sender and receiver, congruence means messages of common interest, language relevance means understandable language, and compatible environment concerns people of similar background. This gives a-iv, b-iii, c-ii, d-i.

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38. Question 38

    In India, according to Niti Aayog's SDG Index (2019-2020), which is the best performing state on SDG-9 (Industry, Innovation and Infrastructure)?

    1. AGujarat
    2. BKarnataka
    3. CKerala
    4. DTelangana

    Answer: (A) Gujarat

    Explanation

    The SDG India Index 2019-2020 identified Gujarat as the top performer for SDG 9 among the listed states. SDG 9 measures industry, innovation, and infrastructure indicators.

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39. Question 39

    How tall is a tree that is 6 meters shorter than a wall that is seven times higher than the tree?

    1. A1 meters
    2. B1.25 meters
    3. C2 meters
    4. D7 meters

    Answer: (A) 1 meters

    Explanation

    Let the tree height be x. The wall is seven times the tree, so wall height is 7x, and the tree is 6 metres shorter: 7x - x = 6. Thus 6x = 6 and x = 1 metre.

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40. Question 40

    Given below are two statements

    Statement I: The number 89325324 is divisible by 66.
    Statement II: The set of natural numbers is also called the set of whole numbers.

    In light of the above statements, choose the correct answer from the options given below

    1. ABoth Statement I and Statement II are false.
    2. BBoth Statement I and Statement II are true.
    3. CStatement I is false but Statement II is true.
    4. DStatement I is true but Statement II is false.

    Answer: (D) Statement I is true but Statement II is false.

    Explanation

    A number divisible by 66 must be divisible by 2, 3, and 11; 89325324 satisfies these tests, so Statement I is true. Natural numbers and whole numbers are not identical in standard usage because whole numbers include 0, so Statement II is false.

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41. Question 41

    Name the fallacy committed in the argument below

    "All men who understand women are potentially perfect husbands.
    All potentially perfect husbands are men of infinite patience.
    Therefore, some men of infinite patience are men who understand women."

    1. AExclusive premises
    2. BExistential fallacy
    3. CIllicit major
    4. DUndistributed middle

    Answer: (B) Existential fallacy

    Explanation

    The argument draws a particular conclusion from universal premises without establishing existence of the subject class. That is the existential fallacy in categorical syllogism.

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42. Question 42

    In agricultural regions, groundwater can have significant concentrations of which pollutant?

    1. ACadmium
    2. BLead
    3. CNitrate
    4. DSelenium

    Answer: (C) Nitrate

    Explanation

    Agricultural fertiliser and manure use commonly raise nitrate levels in groundwater through leaching. Cadmium, lead, and selenium can occur in specific contexts, but nitrate is the characteristic agricultural groundwater pollutant.

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43. Question 43

    Match List I with List II.

    List I: Types of Design	List II: Characteristics
    a. Solomon Four Group Design	i. It is a cross-sectional design
    b. Post-test only Control Group Design	ii. Contains an additional set of control and experimental groups
    c. One-shot Case Study	iii. Omits the pre-tested groups altogether
    d. Correlational Design	iv. Observation of a single group at one point of time to observe the change

    1. Aa-i, b-ii, c-iii, d-iv
    2. Ba-ii, b-iii, c-iv, d-i
    3. Ca-iii, b-iv, c-i, d-ii
    4. Da-iv, b-i, c-ii, d-iii

    Answer: (B) a-ii, b-iii, c-iv, d-i

    Explanation

    Solomon four-group design adds extra control and experimental groups, post-test only control group design omits pre-tested groups, one-shot case study observes a single group once, and correlational design is cross-sectional here. The matching is a-ii, b-iii, c-iv, d-i.

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44. Question 44

    University of the ancient period which has been declared by UNESCO as a heritage site is:

    a. Mithila
    b. Vallabhi
    c. Pushpagiri
    d. Takshashila
    e. Nalanda

    Choose the correct answer from the options given below:

    1. Aa and b only
    2. Bb and c only
    3. Cc and d only
    4. Dd and e only

    Answer: (D) d and e only

    Explanation

    Nalanda is a UNESCO World Heritage site, and Takshashila/Taxila is also inscribed as an ancient heritage site. The other listed ancient centres are not the matching UNESCO pair in this option set.

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45. Question 45

    Identify the correct sequence of wind energy potential at 100 m above ground level in decreasing order

    a. Karnataka
    b. Andhra Pradesh
    c. Gujarat
    d. Tamil Nadu
    e. Andaman and Nicobar Islands

    Choose the correct answer from the options given below

    1. Aa>b>c>e>d
    2. Bc>a>b>d>e
    3. Cc>e>b>d>a
    4. Dd>c>a>b>e

    Answer: (B) c>a>b>d>e

    Explanation

    The source answer ranks the listed regions by wind energy potential at 100 m as Gujarat, Karnataka, Andhra Pradesh, Tamil Nadu, and Andaman and Nicobar Islands. That sequence is c>a>b>d>e.

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46. Question 46

    The government spending on poverty reduction programmes suffers from

    Despite the fact that social security programmes in India are not responses to structural adjustment but have a long history of their own. Social expenditure in India is nevertheless particularly vulnerable to budget cuts. The social sector is a major spending area of the government, comprising poverty reduction interventions, health, education, nutrition, social assistance and social welfare. Most departments of government are in some way responsible for spending under this broad head. The sector is highly divisible, thus facilitating incremental and piecemeal reductions in real expenditure. It has a weak political constituency, dominated by technical-expert persons, which the mass of evaluative research that has historically been critical of state interventionism has further weakened. Such work has been put to uses other than those originally intended - not to reform the sector but as justification to abolish major components of it entirely. However, since 1991, social sector expenditure has not declined as much as had been anticipated. Despite, or because of, its departmental pervasiveness, it is an extremely-perhaps uncuttable-low proportion of GNP: 2.4 per cent as compared with 6.5 per cent in Malaysia, 12.2 per cent in Botswana and 15-25 per cent in OECD countries. Even though social sector expenditure is also flawed by spatial patchiness, conflicting time trends in expenditure levels and composition and patterns specific to each component of welfare, cuts have been widely resisted and certain Indian states have increased their current debt in order to protect social expenditure. There is, fortunately, and necessarily, speculative literature predicting, sometimes with illustrations drawn from elsewhere, the likely outcomes of cuts in various types of social expenditure. But it is far too early for these to be evidence of the actual impact on social welfare is a long-term project of several decades.

    1. ADown-sized expenditure in real terms.
    2. BHigh demand from prospective beneficiaries.
    3. CSeveral social welfare programmes competing for funds.
    4. DToo many divisible allocations

    Answer: (A) Down-sized expenditure in real terms.

    Explanation

    The passage states that social expenditure is vulnerable to budget cuts and that divisibility facilitates piecemeal reductions in real expenditure. Hence poverty reduction spending suffers from downsized expenditure in real terms.

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47. Question 47

    The expert evaluation reports are used to

    Despite the fact that social security programmes in India are not responses to structural adjustment but have a long history of their own. Social expenditure in India is nevertheless particularly vulnerable to budget cuts. The social sector is a major spending area of the government, comprising poverty reduction interventions, health, education, nutrition, social assistance and social welfare. Most departments of government are in some way responsible for spending under this broad head. The sector is highly divisible, thus facilitating incremental and piecemeal reductions in real expenditure. It has a weak political constituency, dominated by technical-expert persons, which the mass of evaluative research that has historically been critical of state interventionism has further weakened. Such work has been put to uses other than those originally intended - not to reform the sector but as justification to abolish major components of it entirely. However, since 1991, social sector expenditure has not declined as much as had been anticipated. Despite, or because of, its departmental pervasiveness, it is an extremely-perhaps uncuttable-low proportion of GNP: 2.4 per cent as compared with 6.5 per cent in Malaysia, 12.2 per cent in Botswana and 15-25 per cent in OECD countries. Even though social sector expenditure is also flawed by spatial patchiness, conflicting time trends in expenditure levels and composition and patterns specific to each component of welfare, cuts have been widely resisted and certain Indian states have increased their current debt in order to protect social expenditure. There is, fortunately, and necessarily, speculative literature predicting, sometimes with illustrations drawn from elsewhere, the likely outcomes of cuts in various types of social expenditure. But it is far too early for these to be evidence of the actual impact on social welfare is a long-term project of several decades.

    1. AJustify banishing the social security system.
    2. BReform the social welfare sector.
    3. CStrengthen the political constituency of social security.
    4. DSupport the government spending on social sector

    Answer: (A) Justify banishing the social security system.

    Explanation

    The passage says evaluative research critical of state intervention was used not to reform the sector but to justify abolishing major components of it. That directly supports option A.

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48. Question 48

    The social sector in India is experiencing

    Despite the fact that social security programmes in India are not responses to structural adjustment but have a long history of their own. Social expenditure in India is nevertheless particularly vulnerable to budget cuts. The social sector is a major spending area of the government, comprising poverty reduction interventions, health, education, nutrition, social assistance and social welfare. Most departments of government are in some way responsible for spending under this broad head. The sector is highly divisible, thus facilitating incremental and piecemeal reductions in real expenditure. It has a weak political constituency, dominated by technical-expert persons, which the mass of evaluative research that has historically been critical of state interventionism has further weakened. Such work has been put to uses other than those originally intended - not to reform the sector but as justification to abolish major components of it entirely. However, since 1991, social sector expenditure has not declined as much as had been anticipated. Despite, or because of, its departmental pervasiveness, it is an extremely-perhaps uncuttable-low proportion of GNP: 2.4 per cent as compared with 6.5 per cent in Malaysia, 12.2 per cent in Botswana and 15-25 per cent in OECD countries. Even though social sector expenditure is also flawed by spatial patchiness, conflicting time trends in expenditure levels and composition and patterns specific to each component of welfare, cuts have been widely resisted and certain Indian states have increased their current debt in order to protect social expenditure. There is, fortunately, and necessarily, speculative literature predicting, sometimes with illustrations drawn from elsewhere, the likely outcomes of cuts in various types of social expenditure. But it is far too early for these to be evidence of the actual impact on social welfare is a long-term project of several decades.

    1. AA vast amount of speculative literature.
    2. BChange in composition and patterns of social welfare.
    3. CIncreased current debt account by certain states to protect their social security measures.
    4. DUpward revision of budget allocations in a few specific areas

    Answer: (C) Increased current debt account by certain states to protect their social security measures.

    Explanation

    The passage notes that cuts have been resisted and that certain Indian states have increased current debt to protect social expenditure. This is more specific than merely mentioning speculative literature or changing patterns.

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49. Question 49

    The gist of the passage is that

    Despite the fact that social security programmes in India are not responses to structural adjustment but have a long history of their own. Social expenditure in India is nevertheless particularly vulnerable to budget cuts. The social sector is a major spending area of the government, comprising poverty reduction interventions, health, education, nutrition, social assistance and social welfare. Most departments of government are in some way responsible for spending under this broad head. The sector is highly divisible, thus facilitating incremental and piecemeal reductions in real expenditure. It has a weak political constituency, dominated by technical-expert persons, which the mass of evaluative research that has historically been critical of state interventionism has further weakened. Such work has been put to uses other than those originally intended - not to reform the sector but as justification to abolish major components of it entirely. However, since 1991, social sector expenditure has not declined as much as had been anticipated. Despite, or because of, its departmental pervasiveness, it is an extremely-perhaps uncuttable-low proportion of GNP: 2.4 per cent as compared with 6.5 per cent in Malaysia, 12.2 per cent in Botswana and 15-25 per cent in OECD countries. Even though social sector expenditure is also flawed by spatial patchiness, conflicting time trends in expenditure levels and composition and patterns specific to each component of welfare, cuts have been widely resisted and certain Indian states have increased their current debt in order to protect social expenditure. There is, fortunately, and necessarily, speculative literature predicting, sometimes with illustrations drawn from elsewhere, the likely outcomes of cuts in various types of social expenditure. But it is far too early for these to be evidence of the actual impact on social welfare is a long-term project of several decades.

    1. AIn actuality, diversification funds to areas other than social welfare are justifiable.
    2. BThe social security system in India should be strengthened.
    3. CThe social welfare system must be abandoned.
    4. DThere is no evidence as to the utility of social welfare measures in India

    Answer: (B) The social security system in India should be strengthened.

    Explanation

    The passage criticises budget cuts, notes resistance to reductions, and presents social expenditure as necessary despite weaknesses. Its overall thrust is that the social security system should be protected and strengthened.

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50. Question 50

    Social security programmes in India encounter the issue of

    Despite the fact that social security programmes in India are not responses to structural adjustment but have a long history of their own. Social expenditure in India is nevertheless particularly vulnerable to budget cuts. The social sector is a major spending area of the government, comprising poverty reduction interventions, health, education, nutrition, social assistance and social welfare. Most departments of government are in some way responsible for spending under this broad head. The sector is highly divisible, thus facilitating incremental and piecemeal reductions in real expenditure. It has a weak political constituency, dominated by technical-expert persons, which the mass of evaluative research that has historically been critical of state interventionism has further weakened. Such work has been put to uses other than those originally intended - not to reform the sector but as justification to abolish major components of it entirely. However, since 1991, social sector expenditure has not declined as much as had been anticipated. Despite, or because of, its departmental pervasiveness, it is an extremely-perhaps uncuttable-low proportion of GNP: 2.4 per cent as compared with 6.5 per cent in Malaysia, 12.2 per cent in Botswana and 15-25 per cent in OECD countries. Even though social sector expenditure is also flawed by spatial patchiness, conflicting time trends in expenditure levels and composition and patterns specific to each component of welfare, cuts have been widely resisted and certain Indian states have increased their current debt in order to protect social expenditure. There is, fortunately, and necessarily, speculative literature predicting, sometimes with illustrations drawn from elsewhere, the likely outcomes of cuts in various types of social expenditure. But it is far too early for these to be evidence of the actual impact on social welfare is a long-term project of several decades.

    1. ADirect implementation
    2. BIncreased government intervention
    3. CIndirect implementation
    4. DStructural rearrangement

    Answer: (D) Structural rearrangement

    Explanation

    The passage frames social security programmes in relation to structural adjustment and later discusses pressures to cut or rearrange social expenditure. Thus the issue being encountered is structural rearrangement rather than direct implementation.

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100 questions with the answer key and explanations.

1. Question 1

   What happened to the anchoring of inflation expectations?

   The study titled, "Monetary Policy Transparency and Anchoring of Inflation Expectation in
   India" constructs an index of monetary policy transparency for India and examines the role of
   transparency in anchoring inflation expectations. Empirical results show that the degree of policy
   transparency has indeed increased substantially since the adoption of Flexible Inflation Targeting
   (FIT) in 2016. Further, empirical evidence suggests that inflation expectations of professional
   forecasters and households were anchored, in weak-form, in the post-FIT period, though
   households' expectations did not necessarily lie within the inflation tolerance band. During the
   transition period (between the self-imposed disinflationary glide-path since 2014 and adoption of
   the FIT) both realized inflation and expectations followed a declining path, which resulted in a
   positive association between them. During the pre-transition period, when explicit inflation
   target was absent. Expectations were also reasonably anchored, albeit, at a higher level.

   1. AInflation expectations anchored in a strong form
   2. BInflation expectations anchored in a weak-form in the post FIT period
   3. CThere was a negative association between realised and expected inflation
   4. DThere was no association between realised and expected inflation

   Answer: (B) Inflation expectations anchored in a weak-form in the post FIT period

   Explanation

   Option B is correct because the passage directly supports Inflation expectations anchored in a weak-form in the post FIT period. The other options either contradict the passage wording or describe a less direct policy implication.

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2. Question 2

   What has empirical evidence shown?

   The study titled, "Monetary Policy Transparency and Anchoring of Inflation Expectation in
   India" constructs an index of monetary policy transparency for India and examines the role of
   transparency in anchoring inflation expectations. Empirical results show that the degree of policy
   transparency has indeed increased substantially since the adoption of Flexible Inflation Targeting
   (FIT) in 2016. Further, empirical evidence suggests that inflation expectations of professional
   forecasters and households were anchored, in weak-form, in the post-FIT period, though
   households' expectations did not necessarily lie within the inflation tolerance band. During the
   transition period (between the self-imposed disinflationary glide-path since 2014 and adoption of
   the FIT) both realized inflation and expectations followed a declining path, which resulted in a
   positive association between them. During the pre-transition period, when explicit inflation
   target was absent. Expectations were also reasonably anchored, albeit, at a higher level.

   1. AActual inflation turned out to be high
   2. BDegree of policy transparency declined
   3. CDegree of policy transparency increased but after coming into force of FIT
   4. DDegree of policy transparency increased

   Answer: (C) Degree of policy transparency increased but after coming into force of FIT

   Explanation

   Option C is correct because the passage directly supports Degree of policy transparency increased but after coming into force of FIT. The other options either contradict the passage wording or describe a less direct policy implication.

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3. Question 3

   Inflation expectations of which group was empirically tested?

   The study titled, "Monetary Policy Transparency and Anchoring of Inflation Expectation in
   India" constructs an index of monetary policy transparency for India and examines the role of
   transparency in anchoring inflation expectations. Empirical results show that the degree of policy
   transparency has indeed increased substantially since the adoption of Flexible Inflation Targeting
   (FIT) in 2016. Further, empirical evidence suggests that inflation expectations of professional
   forecasters and households were anchored, in weak-form, in the post-FIT period, though
   households' expectations did not necessarily lie within the inflation tolerance band. During the
   transition period (between the self-imposed disinflationary glide-path since 2014 and adoption of
   the FIT) both realized inflation and expectations followed a declining path, which resulted in a
   positive association between them. During the pre-transition period, when explicit inflation
   target was absent. Expectations were also reasonably anchored, albeit, at a higher level.

   1. ABoth of professional forecasters and Households
   2. BNeither of professional forecasters nor Households
   3. COnly of Households
   4. DOnly of professional forecasters

   Answer: (A) Both of professional forecasters and Households

   Explanation

   Option A is correct because the passage directly supports Both of professional forecasters and Households. The other options either contradict the passage wording or describe a less direct policy implication.

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4. Question 4

   Which of the following index has been constructed?

   The study titled, "Monetary Policy Transparency and Anchoring of Inflation Expectation in
   India" constructs an index of monetary policy transparency for India and examines the role of
   transparency in anchoring inflation expectations. Empirical results show that the degree of policy
   transparency has indeed increased substantially since the adoption of Flexible Inflation Targeting
   (FIT) in 2016. Further, empirical evidence suggests that inflation expectations of professional
   forecasters and households were anchored, in weak-form, in the post-FIT period, though
   households' expectations did not necessarily lie within the inflation tolerance band. During the
   transition period (between the self-imposed disinflationary glide-path since 2014 and adoption of
   the FIT) both realized inflation and expectations followed a declining path, which resulted in a
   positive association between them. During the pre-transition period, when explicit inflation
   target was absent. Expectations were also reasonably anchored, albeit, at a higher level.

   1. AIndex monetary policy transparency for India
   2. BIndex of inflation expectations
   3. CIndex of monetary policy
   4. DIndex of transparency

   Answer: (A) Index monetary policy transparency for India

   Explanation

   Option A is correct because the passage directly supports Index monetary policy transparency for India. The other options either contradict the passage wording or describe a less direct policy implication.

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5. Question 5

   Which time span has been described as the transition period of monetary policy?

   The study titled, "Monetary Policy Transparency and Anchoring of Inflation Expectation in
   India" constructs an index of monetary policy transparency for India and examines the role of
   transparency in anchoring inflation expectations. Empirical results show that the degree of policy
   transparency has indeed increased substantially since the adoption of Flexible Inflation Targeting
   (FIT) in 2016. Further, empirical evidence suggests that inflation expectations of professional
   forecasters and households were anchored, in weak-form, in the post-FIT period, though
   households' expectations did not necessarily lie within the inflation tolerance band. During the
   transition period (between the self-imposed disinflationary glide-path since 2014 and adoption of
   the FIT) both realized inflation and expectations followed a declining path, which resulted in a
   positive association between them. During the pre-transition period, when explicit inflation
   target was absent. Expectations were also reasonably anchored, albeit, at a higher level.

   1. A2000-2014
   2. B2008-2014
   3. C2014-2016
   4. D2016-2020

   Answer: (C) 2014-2016

   Explanation

   Option C is correct because the passage directly supports 2014-2016. The other options either contradict the passage wording or describe a less direct policy implication.

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6. Question 6

   The obstacles for an industry to compete with more established foreign firms are due to:

   One argument of protection that stands up to close economic scrutiny is the infant-industry
   argument. It holds that a nation may have a potential comparative advantage in a commodity, but
   because of lack of knowledge and the initial small level of output, the industry cannot
   successfully compete with more established foreign firms. The infant-industry argument for
   protection is correct but requires several important qualifications. First, such an argument is
   more justified for developing nations, where capital markets may not function properly. Second,
   as experience has shown that protection, once given, is difficult to remove. Third, what trade
   protection in the form of import tariff can do an equivalent production subsidy to the infant
   industry can do better. The reason is that a purely domestic distortion such as this should be
   overcome with a purely domestic policy such as direct production subsidy to the infant industry.
   A production subsidy is also a more direct form of aid and it is easier to remove than an import
   tariff. A better policy would be to provide a direct subsidy to the industry. Similarly, a direct tax
   would also be better than a tariff to discourage activities that give rise to external diseconomies
   because the tax does not distort relative prices and consumption.

   1. ALack of flexibility
   2. BLack of human resources
   3. CLack of know-how and initial small level of output
   4. DLack of markets

   Answer: (C) Lack of know-how and initial small level of output

   Explanation

   Option C is correct because the passage directly supports Lack of know-how and initial small level of output. The other options either contradict the passage wording or describe a less direct policy implication.

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7. Question 7

   Which of the following is a direct aid to domestic industry?

   One argument of protection that stands up to close economic scrutiny is the infant-industry
   argument. It holds that a nation may have a potential comparative advantage in a commodity, but
   because of lack of knowledge and the initial small level of output, the industry cannot
   successfully compete with more established foreign firms. The infant-industry argument for
   protection is correct but requires several important qualifications. First, such an argument is
   more justified for developing nations, where capital markets may not function properly. Second,
   as experience has shown that protection, once given, is difficult to remove. Third, what trade
   protection in the form of import tariff can do an equivalent production subsidy to the infant
   industry can do better. The reason is that a purely domestic distortion such as this should be
   overcome with a purely domestic policy such as direct production subsidy to the infant industry.
   A production subsidy is also a more direct form of aid and it is easier to remove than an import
   tariff. A better policy would be to provide a direct subsidy to the industry. Similarly, a direct tax
   would also be better than a tariff to discourage activities that give rise to external diseconomies
   because the tax does not distort relative prices and consumption.

   1. AImport controls
   2. BImport quota
   3. CPatent rights
   4. DProduction subsidy

   Answer: (D) Production subsidy

   Explanation

   Option D is correct because the passage directly supports Production subsidy. The other options either contradict the passage wording or describe a less direct policy implication.

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8. Question 8

   Developing countries are characterised by:

   One argument of protection that stands up to close economic scrutiny is the infant-industry
   argument. It holds that a nation may have a potential comparative advantage in a commodity, but
   because of lack of knowledge and the initial small level of output, the industry cannot
   successfully compete with more established foreign firms. The infant-industry argument for
   protection is correct but requires several important qualifications. First, such an argument is
   more justified for developing nations, where capital markets may not function properly. Second,
   as experience has shown that protection, once given, is difficult to remove. Third, what trade
   protection in the form of import tariff can do an equivalent production subsidy to the infant
   industry can do better. The reason is that a purely domestic distortion such as this should be
   overcome with a purely domestic policy such as direct production subsidy to the infant industry.
   A production subsidy is also a more direct form of aid and it is easier to remove than an import
   tariff. A better policy would be to provide a direct subsidy to the industry. Similarly, a direct tax
   would also be better than a tariff to discourage activities that give rise to external diseconomies
   because the tax does not distort relative prices and consumption.

   1. AAbsence of both money markets and capital markets
   2. BAbsence of capital markets
   3. CImproper functioning of money markets
   4. DImproper functioning of the capital markets

   Answer: (D) Improper functioning of the capital markets

   Explanation

   Option D is correct because the passage directly supports Improper functioning of the capital markets. The other options either contradict the passage wording or describe a less direct policy implication.

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9. Question 9

   Which of the following is effective in preventing external diseconomies

   One argument of protection that stands up to close economic scrutiny is the infant-industry
   argument. It holds that a nation may have a potential comparative advantage in a commodity, but
   because of lack of knowledge and the initial small level of output, the industry cannot
   successfully compete with more established foreign firms. The infant-industry argument for
   protection is correct but requires several important qualifications. First, such an argument is
   more justified for developing nations, where capital markets may not function properly. Second,
   as experience has shown that protection, once given, is difficult to remove. Third, what trade
   protection in the form of import tariff can do an equivalent production subsidy to the infant
   industry can do better. The reason is that a purely domestic distortion such as this should be
   overcome with a purely domestic policy such as direct production subsidy to the infant industry.
   A production subsidy is also a more direct form of aid and it is easier to remove than an import
   tariff. A better policy would be to provide a direct subsidy to the industry. Similarly, a direct tax
   would also be better than a tariff to discourage activities that give rise to external diseconomies
   because the tax does not distort relative prices and consumption.

   1. AA direct tax
   2. BProduction subsidies
   3. CTariff
   4. DTrade policies

   Answer: (A) A direct tax

   Explanation

   Option A is correct because the passage directly supports A direct tax. The other options either contradict the passage wording or describe a less direct policy implication.

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10. Question 10

    Which is the most appropriate instrument of trade protection?

    One argument of protection that stands up to close economic scrutiny is the infant-industry
    argument. It holds that a nation may have a potential comparative advantage in a commodity, but
    because of lack of knowledge and the initial small level of output, the industry cannot
    successfully compete with more established foreign firms. The infant-industry argument for
    protection is correct but requires several important qualifications. First, such an argument is
    more justified for developing nations, where capital markets may not function properly. Second,
    as experience has shown that protection, once given, is difficult to remove. Third, what trade
    protection in the form of import tariff can do an equivalent production subsidy to the infant
    industry can do better. The reason is that a purely domestic distortion such as this should be
    overcome with a purely domestic policy such as direct production subsidy to the infant industry.
    A production subsidy is also a more direct form of aid and it is easier to remove than an import
    tariff. A better policy would be to provide a direct subsidy to the industry. Similarly, a direct tax
    would also be better than a tariff to discourage activities that give rise to external diseconomies
    because the tax does not distort relative prices and consumption.

    1. AExport tariff
    2. BImport tariff
    3. CNon-tariff barriers
    4. DProduction subsidy

    Answer: (D) Production subsidy

    Explanation

    Option D is correct because the passage directly supports Production subsidy. The other options either contradict the passage wording or describe a less direct policy implication.

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11. Question 11

    Which of the following is TRUE for Bank Rate?

    1. ABank rate is a direct instrument of credit control
    2. BBank rate is a qualitative instrument
    3. CBank rate is the minimum rate at which the Central Bank provides credit to financial institutions against securities of the government
    4. DIncrease in Bank rate by Central Bank would increase money supply keeping other factors constant

    Answer: (C) Bank rate is the minimum rate at which the Central Bank provides credit to financial institutions against securities of the government

    Explanation

    Option C is correct because Bank rate is the minimum rate at which the Central Bank provides credit to financial institutions against securities of the government matches the relevant macro economics concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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12. Question 12

    Given below are two statements:
    Assertion (A): New capital accumulation is the vehicle of technical progress
    Reason (R): Technical progress is embodied in new machines
    In light of the above statements,

    1. AA is false but R is true
    2. BA is true but R is false
    3. CBoth A and R are true and R is the correct explanation of A
    4. DBoth A and R are true but R is NOT the correct explanation of A

    Answer: (C) Both A and R are true and R is the correct explanation of A

    Explanation

    Option C is correct because the truth relationship between the two statements matches Both A and R are true and R is the correct explanation of A. The incorrect options either reverse the truth values or miss the explanatory link between the statements.

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13. Question 13

    Which of the following statement is CORRECT for 'Atmanirbhar Bharat Rozgar Yojana'
    launched on November 12, 2020?

    1. AEstablishment will get a subsidy of Rs.10 crore for a period of 5 years
    2. BEstablishment will get tax profit continously for a period of 3 years
    3. CEstablishment will get tax subsidy for 5 years.
    4. DEstablishments which make new hires will get a subsidy to cover retirement fund contribution by employees and employers for 2 years

    Answer: (D) Establishments which make new hires will get a subsidy to cover retirement fund contribution by employees and employers for 2 years

    Explanation

    Option D is correct because Establishments which make new hires will get a subsidy to cover retirement fund contribution by employees and employers for 2 years matches the relevant indian economy concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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14. Question 14

    What is the CORRECT sequence of the following?
    a) Uruguay Round
    b) Kennedy Round
    c) Doha Round
    d) Geneva Round

    1. Aa, b, c, d
    2. Bb, d, c, a
    3. Cc, a, b, d
    4. Dd, b, a, c

    Answer: (D) d, b, a, c

    Explanation

    Option D gives the correct order: d, b, a, c. The sequence follows the historical or logical progression asked in the question, while the other options place at least one item out of order.

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15. Question 15

    Inequalities in income are measured by which of the following?
    a) Lorenz Ratio
    b) Theil's Index
    c) Palma Ratio
    d) Deprivation Ratio

    1. Aa and b only
    2. Ba and d only
    3. Ca only
    4. Da, b and c only

    Answer: (D) a, b and c only

    Explanation

    Option D is correct because a, b and c only matches the relevant environmental economics and demography concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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16. Question 16

    Match List I with List II.

    List I	List II
    A. Security Exchange Board of India (SEBI)	I. 1991
    B. National Securities Depository Ltd (NSDL)	II. 1992
    C. Credit Rating Information Service of India Ltd (CRISIL)	III. 1988
    D. Investment Information and Credit Rating Agency of India (ICRA)	IV. 1996

    1. AA - I, B - II, C - III, D - IV
    2. BA - II, B - IV, C - III, D - I
    3. CA - III, B - II, C - IV, D - I
    4. DA - IV, B - III, C - II, D - I A. Security Exchange Board of India (SEBI) I. 1991 B. National Securities Depository Ltd (NSDL) II. 1992 C. Credit Rating Information Service of India Ltd (CRISIL) III. 1988 D. Investment Information and Credit Rating Agency of India (ICRA) IV. 1996

    Answer: (B) A - II, B - IV, C - III, D - I

    Explanation

    Option B is correct because it pairs the listed concepts with their accepted counterparts: A - II, B - IV, C - III, D - I. The alternate matchings misplace one or more standard economics associations.

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17. Question 17

    The concept of 'money illusion' was first given by whom?

    1. AIrving Fisher
    2. BJ. M. Keynes
    3. CMilton Friedman
    4. DRobertson

    Answer: (A) Irving Fisher

    Explanation

    Option A is correct because the required calculation leads to Irving Fisher. Applying the relevant formula to the values in the question rules out the remaining numerical alternatives.

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18. Question 18

    General Economic Equilibrium is NOT related to which one of the following problems?

    1. AExistence problem
    2. BMoral Hazard problem
    3. CStability problem
    4. DUniqueness problem

    Answer: (B) Moral Hazard problem

    Explanation

    Option B is correct because Moral Hazard problem matches the relevant micro economics concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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19. Question 19

    Which of the following is NOT a Commercial Bank?

    1. ACo-operative Bank
    2. BPrivate Sector Bank
    3. CPublic Sector Bank
    4. DRegional Rural Bank

    Answer: (A) Co-operative Bank

    Explanation

    Option A is correct because Co-operative Bank matches the relevant money and banking concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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20. Question 20

    In the classical linear regression model, Xi and Ui are assumed to be:

    1. Ahighly correlated
    2. Bnegatively correlated
    3. Cnot correlated
    4. Dpositively correlated

    Answer: (C) not correlated

    Explanation

    Option C is correct because not correlated matches the relevant statistics and econometrics concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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21. Question 21

    According to Census 2011, which one of the following states has the highest share of rural
    population?

    1. ABihar
    2. BHimachal Pradesh
    3. COdisha
    4. DUttar Pradesh

    Answer: (B) Himachal Pradesh

    Explanation

    Option B is correct because the required calculation leads to Himachal Pradesh. Applying the relevant formula to the values in the question rules out the remaining numerical alternatives.

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22. Question 22

    In the context of investments, which of the following statement(s) is/are CORRECT?
    a) According to the accelerator model, investment demand is proportional to change in
    income
    b) The higher the real interest rate, the higher is the rental cost of capital
    c) Investment is a stock variable

    d) The real rate of interest is equal to the nominal rate of interest plus the inflation rate

    1. Aa and b only
    2. Ba and d only
    3. Cb and c only
    4. Dc and d only

    Answer: (A) a and b only

    Explanation

    Option A is correct because a and b only matches the relevant micro economics concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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23. Question 23

    Which are the following correct features of matrices?
    a) An identity matrix is a square matrix
    b) An identity matrix when gets transposed remains an identity matrix
    c) (A.B)T = AT. BT where A and B are matrices
    d) (A-1)T = (AT)-1where A is a matrix

    1. Aa and b only
    2. Ba and c only
    3. Cb and c only
    4. Dc and d only

    Answer: (A) a and b only

    Explanation

    Option A is correct because a and b only matches the relevant statistics and econometrics concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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24. Question 24

    As output expands, LAC curve falls. This is due to:

    1. ADiseconomies of scale
    2. BEconomies of scale
    3. CLaw of diminishing returns
    4. DLaw of variable proportions

    Answer: (B) Economies of scale

    Explanation

    Option B is correct because Economies of scale matches the relevant micro economics concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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25. Question 25

    With reference to the programme 'NIDHI' which of the following statement(s) is/are
    CORRECT?
    a) The programme of 'NIDHI' was started for students to begin startups
    b) Its aim is to financially support 20 students for startups each year
    c) Its aim is to financially support 200 students for startups each year
    d) Its aim is to financially support only students of backward classes to start up each year

    1. Aa, c and d only
    2. Ba and b only
    3. Ca and d only
    4. Dc and d only

    Answer: (B) a and b only

    Explanation

    Option B is correct because a and b only matches the relevant indian economy concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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26. Question 26

    Given below are two statements:
    Statement l: One of the assumptions under OLS method states that the regression model is linear
    in the parameters, though it may or may not be linear in the variables.
    Statement ll: The variance of the error, or disturbance, term is not the same regardless of the
    value of the explanatory variable under OLS.
    In light of the above statements, choose the most appropriate answer from the options given belo

    1. ABoth statement l and statement ll are correct
    2. BBoth statement l and statement ll are incorrect
    3. CStatement l is correct but statement ll is incorrect
    4. DStatement l is incorrect but statement ll is correct

    Answer: (C) Statement l is correct but statement ll is incorrect

    Explanation

    Option C is correct because the truth relationship between the two statements matches Statement l is correct but statement ll is incorrect. The incorrect options either reverse the truth values or miss the explanatory link between the statements.

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27. Question 27

    The independence of real variables from changes in money supply and nominal variables is
    called:

    1. AClassical dichotomy
    2. BKeynesian dichotomy
    3. CMoney illusion
    4. DMoney multiplier

    Answer: (A) Classical dichotomy

    Explanation

    Option A is correct because Classical dichotomy matches the relevant macro economics concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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28. Question 28

    Identify which of the following statements with respect to Linear Programming Problem
    (LPP) is CORRECT:

    1. AA solution is unbounded in an LPP if all the feasible solutions of the problem fall within the boundary created by its constraints
    2. BIf A is a primal problem and B is its dual, then dual of B is not A
    3. CIf an LPP has two optimum solutions, then it has also infinite number of optimum solutions
    4. DThe constraints of an LPP in standard form is always expressed in less than and equal to form

    Answer: (C) If an LPP has two optimum solutions, then it has also infinite number of optimum solutions

    Explanation

    Option C is correct because If an LPP has two optimum solutions, then it has also infinite number of optimum solutions matches the relevant mathematical economics concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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29. Question 29

    Match List I with List II.

    List I	List II
    A. Convex Function	I. Basic Variable
    B. Input-Output Analysis	II. Use of Derivative
    C. Linear Programming	III. Hawkins–Simon condition
    D. Marginal Propensity to Consume	IV. Demand Curve

    1. AA - II, B - III, C - I, D - IV
    2. BA - III, B - IV, C - I, D - II
    3. CA - IV, B - I, C - III, D - II
    4. DA - IV, B - III, C - I, D - II

    Answer: (D) A - IV, B - III, C - I, D - II

    Explanation

    Option D is correct because it pairs the listed concepts with their accepted counterparts: A - IV, B - III, C - I, D - II. The alternate matchings misplace one or more standard economics associations.

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30. Question 30

    Match List I with List II.

    List I	List II
    A. NIRVIK	I. A project directed to provide piped cooking gas to millions of households
    B. Ayushman Bharat	II. A scheme to enhance energy efficiency
    C. Pradhan Mantri Urja Ganga (PMUG)	III. Export credit insurance scheme
    D. Perform, Achieve and Trade (PAT)	IV. Programme related to health issues in the primary, secondary and tertiary sectors Choose the correct answer from the options given below:

    1. AA - II, B - III, C - I, D - IV
    2. BA - II, B - IV, C - III, D - I
    3. CA - III, B - IV, C - I, D - II
    4. DA - III, B - IV, C - II, D - I

    Answer: (C) A - III, B - IV, C - I, D - II

    Explanation

    Option C is correct because it pairs the listed concepts with their accepted counterparts: A - III, B - IV, C - I, D - II. The alternate matchings misplace one or more standard economics associations.

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31. Question 31

    Arrange the introduction of the following taxes in India in chronological order.
    a) Service Tax
    b) Income Tax
    c) Banking Transaction Tax
    d) Gift Tax
    e) Goods and Services Tax

    1. Ab, a, c, e, d
    2. Bb, c, a, d, e
    3. Cb, d, a, c, e
    4. Dd, b, a, c, e

    Answer: (C) b, d, a, c, e

    Explanation

    Option C gives the correct order: b, d, a, c, e. The sequence follows the historical or logical progression asked in the question, while the other options place at least one item out of order.

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32. Question 32

    Assuming the probability of a male birth as 0.5, find the chances that a family of 3 children
    will have two boys and one girl

    1. A1/8
    2. B2/8
    3. C3/8
    4. D4/8

    Answer: (C) 3/8

    Explanation

    Option C is correct because the required calculation leads to 3/8. Applying the relevant formula to the values in the question rules out the remaining numerical alternatives.

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33. Question 33

    Match List I with List II.

    List I	List II
    A. Adam Smith	I. Theory of Big Push
    B. R. Rodan	II. Traditional Society
    C. W. W. Rostow	III. Reserve army of labour
    D. Karl Marx	IV. Division of labour Choose the correct answer from the options given below:

    1. AA - I, B - IV, C - III, D - II
    2. BA - II, B - III, C - I, D - IV
    3. CA - III, B - II, C - IV, D - I
    4. DA - IV, B - I, C - II, D - III

    Answer: (D) A - IV, B - I, C - II, D - III

    Explanation

    Option D is correct because it pairs the listed concepts with their accepted counterparts: A - IV, B - I, C - II, D - III. The alternate matchings misplace one or more standard economics associations.

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34. Question 34

    Match List I with List II.

    List I	List II
    A. Menu cost	I. Monetary Policy
    B. Quantitative Easing	II. Inflation
    C. Pump Priming	III. Phillips curve
    D. Trade-off between inflation and unemployment	IV. Fiscal policy Choose the correct answer from the options given below:

    1. AA - I, B - II, C - III, D - IV
    2. BA - II, B - I, C - IV, D - III
    3. CA - III, B - IV, C - I, D - II
    4. DA - IV, B - III, C - II, D - I

    Answer: (B) A - II, B - I, C - IV, D - III

    Explanation

    Option B is correct because it pairs the listed concepts with their accepted counterparts: A - II, B - I, C - IV, D - III. The alternate matchings misplace one or more standard economics associations.

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35. Question 35

    Which of the following sectors of the economy registered highest growth rate in the second
    quarter of 2020-21 as per estimate of NSO?

    1. AAgriculture and Allied sectors
    2. BElectricity, Gas, Water supply and other Utility services
    3. CGeneral Administration
    4. D.Manufacturing

    Answer: (B) Electricity, Gas, Water supply and other Utility services

    Explanation

    Option B is correct because the required calculation leads to Electricity, Gas, Water supply and other Utility services. Applying the relevant formula to the values in the question rules out the remaining numerical alternatives.

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36. Question 36

    Identify which one of the following statements is CORRECT:

    1. AA-1 is equal to Adj (A) if the value of the determinant A is unity
    2. BIf two columns of a determinant are interchanged, the sign of the determinant does not alter
    3. CLaw of division is allowed in matrix operations
    4. DThe value of a determinant changes if the rows and columns are interchanged

    Answer: (A) A-1 is equal to Adj (A) if the value of the determinant A is unity

    Explanation

    Option A is correct because A-1 is equal to Adj (A) if the value of the determinant A is unity matches the relevant statistics and econometrics concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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37. Question 37

    The incidence of which of the following will entirely be on the monopolist?

    1. ALump-sum tax
    2. BNone of these
    3. CRegulated monopoly pricing
    4. DSpecific tax

    Answer: (A) Lump-sum tax

    Explanation

    Option A is correct because Lump-sum tax matches the relevant micro economics concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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38. Question 38

    Match List I with List II.

    List I	List II
    A. Perfect competition	I. Many real or perceived differences in products
    B. Monopoly	II. Little or no difference in products
    C. Monopolistic competition	III. Identical products
    D. Oligopoly	IV. Product without close substitutes Choose the correct answer from the options given below:

    1. AA - II, B - IV, C -I, D - III
    2. BA - III, B - I, C - II, D - IV
    3. CA - III, B - IV, C - I, D -II
    4. DA - III, B - IV, C - II, D - I

    Answer: (C) A - III, B - IV, C - I, D -II

    Explanation

    Option C is correct because it pairs the listed concepts with their accepted counterparts: A - III, B - IV, C - I, D -II. The alternate matchings misplace one or more standard economics associations.

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39. Question 39

    Arrange the following committees appointed for the Banking sector in India in chronological
    order:
    a) Urjit Patel Committee
    b) Goiporia Committee
    c) Narasimham Committee-1
    d) Chakravarty Committee

    1. Aa, c, d, b
    2. Bc, b, d, a
    3. Cd, b, c, a
    4. Dd, c, b, a

    Answer: (C) d, b, c, a

    Explanation

    Option C gives the correct order: d, b, c, a. The sequence follows the historical or logical progression asked in the question, while the other options place at least one item out of order.

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40. Question 40

    If a production function admits both Harrod and Hicks neutral technical progress, the
    elasticity of substitution should be

    1. Aequal to infinity
    2. Bequal to one divided by two
    3. Cequal to one
    4. Dequal to zero

    Answer: (C) equal to one

    Explanation

    Option C is correct because the required calculation leads to equal to one. Applying the relevant formula to the values in the question rules out the remaining numerical alternatives.

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41. Question 41

    Which of the following are a source of market failure?
    a) The existence of public goods
    b) The presence of externalities
    c) The fact that some goods are rivals in consumption
    d) The existence of monopolies

    1. Aa, b and c only
    2. Ba, b and d only
    3. Ca, c and d only
    4. Db, c and d only

    Answer: (B) a, b and d only

    Explanation

    Option B is correct because a, b and d only matches the relevant micro economics concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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42. Question 42

    Given
    I =50 + 0.2y
    S = -150 + 0.4Y

    G=50
    I =investment
    S= savings
    G = Government expenditure
    Y = national income
    What is equilibrium income

    1. A1250
    2. B1500
    3. C250
    4. D2500

    Answer: (A) 1250

    Explanation

    Option A is correct because the required calculation leads to 1250. Applying the relevant formula to the values in the question rules out the remaining numerical alternatives.

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43. Question 43

    Improvement in the balance of payments deficit may be effected through:
    a) Import controls
    b) Export promotion
    c) Foreign exchange control
    d) Devaluation

    1. AA and B only
    2. BA, B and C only
    3. CA, B, C and D
    4. DC and D only

    Answer: (C) A, B, C and D

    Explanation

    Option C is correct because A, B, C and D matches the relevant international economics concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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44. Question 44

    Which of the following are relevant conditions assumed by the Factor Price Equalization
    theorem?
    a) The countries are characterized by different factor endowments
    b) The countries are characterized by different production functions
    c) The industries are characterized by different factor intensities
    d) Each country will export the commodity which uses its abundant factor

    1. AA, B and C only
    2. BA, B and D only
    3. CA, C and D only
    4. DB, C and D only

    Answer: (C) A, C and D only

    Explanation

    Option C is correct because the required calculation leads to A, C and D only. Applying the relevant formula to the values in the question rules out the remaining numerical alternatives.

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45. Question 45

    When the exchange rate changes from 1$ = Rs. 72 to 1$ = Rs. 68, then the:
    a) Rupee has depreciated
    b) Dollar has depreciated
    c) Rupee has appreciated
    d) Dollar has appreciated

    1. AA and B only
    2. BA and D only
    3. CB and C only
    4. DC and D only

    Answer: (C) B and C only

    Explanation

    Option C is correct because B and C only matches the relevant international economics concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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46. Question 46

    According to Ronald Coase, which of the following statements is CORRECT for pollution
    control

    1. AProviding property rights to polluters and pollutees
    2. BProviding property rights to the legal institutions
    3. CProviding property rights to the state
    4. DProviding property rights to Trade Unions

    Answer: (A) Providing property rights to polluters and pollutees

    Explanation

    Option A is correct because Providing property rights to polluters and pollutees matches the relevant public economics concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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47. Question 47

    Match List I with List II.

    List I	List II
    A. Conserving the Environment for benefit of the future generation	I. Indirect use value
    B. Search of Alternative fuels is necessary because traditional sources are non-renewable	II. Option Value
    C. Wood from the forest is useful as timber	III. Bequest Value
    D. Insects are important as they help in pollination	IV. Use Value Choose the correct answer from the options given below:

    1. AA - I, B - II, C - III, D - IV
    2. BA - II, B - IV, C - I, D - III
    3. CA - III, B - II, C - IV, D - I
    4. DA - III, B - IV, C - II, D - I

    Answer: (C) A - III, B - II, C - IV, D - I

    Explanation

    Option C is correct because it pairs the listed concepts with their accepted counterparts: A - III, B - II, C - IV, D - I. The alternate matchings misplace one or more standard economics associations.

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48. Question 48

    Given below are two statements:
    Assertion (A): There is no incentive for a profit maximising producer to supply public goods

    Reason (R): If he produces it, he is unable to exclude people from consuming it and hence he
    cannot charge a price
    In light of the above statements, choose the most appropriate answer from the options given below:

    1. AA is correct but R is not correct
    2. BA is not correct but R is correct
    3. CBoth A and R are correct and R is the correct explanation of A
    4. DBoth A and R are correct but R is NOT the correct explanation of A

    Answer: (C) Both A and R are correct and R is the correct explanation of A

    Explanation

    Option C is correct because the truth relationship between the two statements matches Both A and R are correct and R is the correct explanation of A. The incorrect options either reverse the truth values or miss the explanatory link between the statements.

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49. Question 49

    Match List I with List II.

    List I	List II
    A. Supply side of International Trade	I. David Ricardo
    B. Demand side of International Trade	II. Bastable and Alfred Marshall
    C. Opportunity cost of International Trade	III. G. Haberler
    D. Real cost theory of International Trade	IV. Alfred Marshall and Edgeworth Choose the correct answer from the options given below:

    1. AA - I, B - IV, C - II, D - III
    2. BA - I, B - IV, C - III, D - II
    3. CA - IV, B - I, C - II, D - III
    4. DA - IV, B - I, C - III, D - II

    Answer: (B) A - I, B - IV, C - III, D - II

    Explanation

    Option B is correct because it pairs the listed concepts with their accepted counterparts: A - I, B - IV, C - III, D - II. The alternate matchings misplace one or more standard economics associations.

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50. Question 50

    Which of the following measures are used by a risk-averse person to minimize risk?
    a) Diversification of resources
    b) Insurance of risk event
    c) Total cost of resources
    d) Value of information of risk event

    1. Aa, b and c only
    2. Ba, b and d only
    3. Ca, c and d only
    4. Db, c and d only

    Answer: (B) a, b and d only

    Explanation

    Option B is correct because a, b and d only matches the relevant micro economics concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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51. Question 51

    In a situation of decision under uncertainty, if a consumer faces equal expected inc ome from
    two alternatives, then s/he will take decision on the basis of

    1. AExpected utility of both the alternatives
    2. BMean of risk of each alternative
    3. CProbability of risk attached with each alternative
    4. DVariation of risk attached with each alternative

    Answer: (D) Variation of risk attached with each alternative

    Explanation

    Option D is correct because Variation of risk attached with each alternative matches the relevant micro economics concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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52. Question 52

    Given below are two statements:
    Assertion (A): A lumpsum tax imposed on a monopolist cannot be shifted to the consumers.
    Reason (R): The lumpsum tax becomes a part of his fixed cost and it does not affect the marginal
    cost of production.
    In light of the above statements, choose the most appropriate answer from the options given
    below

    1. AA is correct but R is not correct
    2. BA is not correct but R is correct
    3. CBoth A and R are correct and R is the correct explanation of A
    4. DBoth A and R are correct but R is NOT the correct explanation of A

    Answer: (C) Both A and R are correct and R is the correct explanation of A

    Explanation

    Option C is correct because the truth relationship between the two statements matches Both A and R are correct and R is the correct explanation of A. The incorrect options either reverse the truth values or miss the explanatory link between the statements.

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53. Question 53

    Which of the following statement(s) is/are CORRECT for environmental evaluation?
    a) Travel cost method measures the recreational values of Environmental Resources
    b) Hedonic pricing is used for environmental amenities associated with property values
    c) Replacement cost method is used by substituting natural resources with a man-made
    equipment
    d) Defensive expenditure deals with preventive measures

    1. Aa and b only
    2. Ba, b, c and d
    3. Cb and c only
    4. Dc only

    Answer: (B) a, b, c and d

    Explanation

    Option B is correct because a, b, c and d matches the relevant public economics concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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54. Question 54

    Which one of the following correctly describes the concept of 'Super Multiplier'?

    1. AEmployment multiplier
    2. BInteraction between multiplier and accelerator
    3. CInvestment multiplier
    4. DMoney multiplier

    Answer: (B) Interaction between multiplier and accelerator

    Explanation

    Option B is correct because the required calculation leads to Interaction between multiplier and accelerator. Applying the relevant formula to the values in the question rules out the remaining numerical alternatives.

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55. Question 55

    The 15th Finance Commission (FC) has recommended that the States be given what per cent
    of the divisible tax pool of the Centre during the period 2021-2022 to 2025-26?

    1. A31
    2. B41
    3. C51
    4. D61

    Answer: (B) 41

    Explanation

    Option B is correct because the required calculation leads to 41. Applying the relevant formula to the values in the question rules out the remaining numerical alternatives.

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56. Question 56

    Identify the proper sequence in the traditional econometric methodology of conducting
    research
    a) Data collection
    b) Policy prescription
    c) Testing of hypothesis
    d) Formulation of hypothesis

    1. Aa, b, c, d
    2. Ba, d, b, c
    3. Cd, a, b, c
    4. Dd, a, c, b

    Answer: (D) d, a, c, b

    Explanation

    Option D gives the correct order: d, a, c, b. The sequence follows the historical or logical progression asked in the question, while the other options place at least one item out of order.

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57. Question 57

    The optimum tariff means:

    1. AMaximises total export sales of the imposing country
    2. BMust occur in the elastic range of the partner country's offer curve
    3. CMust occur in the elastic range of the tariff imposing home country's offer curve
    4. DTakes account of the probability that the partner country will retaliate with protective measures of its own.

    Answer: (B) Must occur in the elastic range of the partner country's offer curve

    Explanation

    Option B is correct because Must occur in the elastic range of the partner country's offer curve matches the relevant international economics concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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58. Question 58

    The sampling distribution of mean based on a sample of 13 units selected without
    replacement shows a variance of 5 units. If the population consists of 49 units, estimate the
    variance of the population

    1. A80.67
    2. B84.87
    3. C86.67
    4. D86.87

    Answer: (C) 86.67

    Explanation

    Option C is correct because the required calculation leads to 86.67. Applying the relevant formula to the values in the question rules out the remaining numerical alternatives.

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59. Question 59

    Which of the following are NOT properties of Cobb-Douglas production function?
    a) Cobb-Douglas production function is a homogeneous production function
    b) Curves representing average and marginal productivity of inputs are not downward
    sloping
    c) Marginal productivity of labour and capital in Cobb-Douglas production function are
    functions of the capital-labour ratio
    d) Iso-quants of Cobb-Douglas production functions are positively sloped

    1. Aa and b only
    2. Bb and c only c
    3. Cb and d only
    4. Dc and d only

    Answer: (C) b and d only

    Explanation

    Option C is correct because the required calculation leads to b and d only. Applying the relevant formula to the values in the question rules out the remaining numerical alternatives.

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60. Question 60

    Which of the following would reduce the credit creation capacity of a Commercial Bank?
    a) Time and Demand deposits
    b) Loans
    c) Deposits with the Central Bank
    d) Cash in hand

    1. Aa and b only
    2. Ba and d only
    3. Cb and c only
    4. Dc and d only

    Answer: (D) c and d only

    Explanation

    Option D is correct because c and d only matches the relevant money and banking concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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61. Question 61

    Which of the following are true for the Environmental Kuznets Curve (EKC)?
    a) The relationship between Income and Environmental damages take the shape of an
    inverted U
    b) EKC is applicable in case of irreversible environmental damage
    c) EKC holds true for global pollutants
    d) EKC hypothesis intends to represent a long term relationship between economic growth
    and pollution

    1. Aa and b only
    2. Ba and d only
    3. Ca, b, c and d
    4. Dc and d only

    Answer: (B) a and d only

    Explanation

    Option B is correct because a and d only matches the relevant public economics concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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62. Question 62

    Match List I with List II.

    List I	List II
    A. Canons of Taxation	I. U. K. Hicks
    B. Canons of Public Expenditure	II. Adam Smith
    C. Effective Incidence of Tax	III. Findlay Shirras
    D. Benefit received approach of Public Expenditure	IV. Erik Lindahl Choose the correct answer from the options given below:

    1. AA - I, B - II, C - III, D - IV
    2. BA - II, B - III, C - I, D - IV
    3. CA - II, B - III, C - IV, D - I
    4. DA - IV, B - I, C - II, D - III

    Answer: (B) A - II, B - III, C - I, D - IV

    Explanation

    Option B is correct because it pairs the listed concepts with their accepted counterparts: A - II, B - III, C - I, D - IV. The alternate matchings misplace one or more standard economics associations.

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63. Question 63

    Arrange the following business cycles in ascending order in terms of their approximate
    duration.
    a) Kondratiev cycle
    b) Kitchin cycle
    c) Jugular cycle
    d) Kuznets cycle

    1. Aa, c, b, d
    2. Bb, c, d, a
    3. Cc, b, a, d
    4. Dd, a, c, b

    Answer: (B) b, c, d, a

    Explanation

    Option B gives the correct order: b, c, d, a. The sequence follows the historical or logical progression asked in the question, while the other options place at least one item out of order.

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64. Question 64

    Given below are two statements:
    Statement l: Social Welfare Function (SWF) is a sort of social indifference map consisting of
    the Social Indifference Curves (SICs) which shows the various combination of utilities that
    gives the same level of social welfare (SW).
    Statement ll: Social Indifference Curves (SICs) may not be convex or concave to the origin
    In light of the above statements, choose the most appropriate answer from the options given
    below

    1. ABoth Statement I and Statement II are correct
    2. BBoth Statement II and Statement II are incorrect
    3. CStatement I is correct but Statement II is incorrect
    4. DStatement I is incorrect but Statement II is correct

    Answer: (A) Both Statement I and Statement II are correct

    Explanation

    Option A is correct because the truth relationship between the two statements matches Both Statement I and Statement II are correct. The incorrect options either reverse the truth values or miss the explanatory link between the statements.

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65. Question 65

    Which of the following are CORRECT?
    a) If observations are selected purposively, it is called a method of non-random sampling
    b) If observations are selected in an ad-hoc manner, it is called a method of non-random
    sampling
    c) If observations are selected in a systematic manner it is called a method of non-random
    sampling
    d) If observations are selected on the basis of judgment, it is called a method of non-random
    sampling

    1. Aa, b and c only
    2. Ba, b and d only
    3. Ca, c and d only
    4. Db, c and d only

    Answer: (B) a, b and d only

    Explanation

    Option B is correct because a, b and d only matches the relevant micro economics concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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66. Question 66

    Which one of the following measures of central tendency will be the most appropriate to use
    if the data relates to rates, proportions and ratios?

    1. AArithmetic Mean
    2. BGeometric Mean
    3. CHarmonic Mean
    4. DMedian

    Answer: (B) Geometric Mean

    Explanation

    Option B is correct because Geometric Mean matches the relevant statistics and econometrics concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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67. Question 67

    The items on the capital account of Balance of Payments are:

    1. ABoth Stock and Flow variables
    2. BChanges in stock magnitudes
    3. CFlow variables
    4. DStock variables

    Answer: (C) Flow variables

    Explanation

    Option C is correct because Flow variables matches the relevant international economics concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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68. Question 68

    Which of the following is/are true?
    a) Ministry of Environment and Forests in India was established in 1985
    b) Central Pollution Control Board was established in 1984
    c) Environment Protection Act was enacted in 1990
    d) National Environment Appellate Authority Act was passed in 1977

    1. Aa and d only
    2. Ba, b, c and d only
    3. Cb only
    4. Dc only

    Answer: (A) a and d only

    Explanation

    Option A is correct because a and d only matches the relevant environmental economics and demography concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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69. Question 69

    Arrange the following United Nations Framework Convention on Climate Change
    (UNFCCC) conferences in chronological order
    a) Copenhagen Conference
    b) Doha Conference
    c) Paris Conference
    d) Katowice Conference

    1. Aa, b, c, d
    2. Bb, c, d, a
    3. Cc, d, b, a
    4. Dd, c, b, a

    Answer: (A) a, b, c, d

    Explanation

    Option A gives the correct order: a, b, c, d. The sequence follows the historical or logical progression asked in the question, while the other options place at least one item out of order.

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70. Question 70

    The movement from old level of expenditure and taxation to a new and higher level is called:

    1. AAll of the above
    2. BConcentration effect
    3. CDisplacement effect
    4. DInspection effect

    Answer: (C) Displacement effect

    Explanation

    Option C is correct because Displacement effect matches the relevant public economics concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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71. Question 71

    In case of indifference curve of two goods X and Y, as consumption of X increases:

    1. AFirst MRSXY increases but later on MRSXY decreases
    2. BMRSXY Increases
    3. CMRSXY decreases
    4. DMRSXY remain the same

    Answer: (C) MRSXY decreases

    Explanation

    Option C is correct because MRSXY decreases matches the relevant micro economics concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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72. Question 72

    Which method can help in obtaining a welfare improvement, if externalities exist?

    1. AAll of the above
    2. BAssigning property rights and permitting bargaining
    3. CPigovian taxes
    4. DRegulation

    Answer: (A) All of the above

    Explanation

    Option A is correct because All of the above matches the relevant public economics concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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73. Question 73

    Arrange the following Committees of poverty estimation in chronological order:
    a) Alagh Committee
    b) Lakdawala Committee
    c) Tendulkar Committee

    d) Rangarajan Committee

    1. Aa, b, c, d
    2. Ba, c, b, d
    3. Cb, a, c, d
    4. Db, c, a, d

    Answer: (A) a, b, c, d

    Explanation

    Option A gives the correct order: a, b, c, d. The sequence follows the historical or logical progression asked in the question, while the other options place at least one item out of order.

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74. Question 74

    Zero Based Budgeting (ZBB) lays emphasis on:
    a) Allocation of resources based on cost-benefit terms
    b) Unlimited deficit financing
    c) Preparing a new budget right from the scratch
    d) Preparing the budget, neglecting the history of expenditure

    1. Aa, b and c only
    2. Ba, b and d only
    3. Ca, c and d only
    4. Db, c and d only

    Answer: (C) a, c and d only

    Explanation

    Option C is correct because a, c and d only matches the relevant public economics concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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75. Question 75

    Which among the following is NOT part of the neoclassical theory of growth?

    1. AMeade's Model
    2. BPasinetti Model
    3. CSolow Model
    4. DSwan Model

    Answer: (B) Pasinetti Model

    Explanation

    Option B is correct because Pasinetti Model matches the relevant growth and development economics concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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76. Question 76

    Liquidity Adjustment Facility (LAF) was recommended by

    1. ABimal Jalan Committee
    2. BRangarajan Committee
    3. CNarasimham Committee - ll
    4. DRaghuram Rajan Committee

    Answer: (C) Narasimham Committee - ll

    Explanation

    Option C is correct because Narasimham Committee - ll matches the relevant money and banking concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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77. Question 77

    Consider some of the schemes/programs introduced by the Government of India to enhance
    agriculture productivity and farmer's income. Arrange them in chronological order of their
    appearance.
    a) Soil Health Card Scheme
    b) Kisan Credit Card Scheme
    c) Pradhan Mantri FasalBima Yojana

    d) Doubling Farmers' income program

    1. Aa, b, c, d
    2. Bb, a, c, d
    3. Cb, a, d, c
    4. Db, c, a, d

    Answer: (B) b, a, c, d

    Explanation

    Option B gives the correct order: b, a, c, d. The sequence follows the historical or logical progression asked in the question, while the other options place at least one item out of order.

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78. Question 78

    A sudden shift from import tariffs to free trade may induce short-term unemployment in:

    1. AImport competing industries
    2. BIndustries that are only exporters
    3. CIndustries that neither import or export
    4. DIndustries that sell domestically as well as export

    Answer: (A) Import competing industries

    Explanation

    Option A is correct because Import competing industries matches the relevant international economics concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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79. Question 79

    The total population of city 'X' in 2011 was 28 lakhs and the total number of live births was
    50 thousand. Find out crude birth rate per 1000 population

    1. A0.17857
    2. B1.7857
    3. C17.857
    4. D178.57

    Answer: (C) 17.857

    Explanation

    Option C is correct because the required calculation leads to 17.857. Applying the relevant formula to the values in the question rules out the remaining numerical alternatives.

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80. Question 80

    Which of the following conditions hold true for factor pricing when factor market is perfectly
    competitive and product market is monopolistic?
    a) VMP > MRP
    b) Both VMP and MRP decreasing
    c) VMP < MRP
    d) MRPL = W

    1. Aa, b and c only
    2. Ba, b and d only
    3. C.a, c and d only
    4. Db, c and d only

    Answer: (B) a, b and d only

    Explanation

    Option B is correct because a, b and d only matches the relevant micro economics concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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81. Question 81

    The efficiency condition in the production of pure public good requires that the production be
    carried out up to a point when:

    1. A𝑀𝐵𝑖 + ∑ MBj = MC MBi + ∑ MBj = MC𝑛−1 𝑖=1 𝑛−1 𝑗=1
    2. B𝑀𝐵𝑖 + ∑ MBj > 𝑀𝐶 /𝑀𝐵𝑖 + ∑ MBj > 𝑀𝐶𝑛−1 𝑖=1 𝑛−1 𝑗=1
    3. C𝑀𝐵𝑖 + ∑ MBj < 𝑀𝐶 /𝑀𝐵𝑖 + ∑ MBj < 𝑀𝐶 𝑀𝐵𝑖 + ∑ MBj > 𝑀𝐶𝑛−1 𝑖=1 𝑛−1 𝑖=1 𝑛−1 𝑗=1
    4. D𝑀𝐵𝑖 + ∑ MBj > 𝑀𝐶 /𝑀𝐵𝑖 + ∑ MBj > 𝑀𝐶 𝑛−1 𝑖=1 𝑛−1 𝑗=1

    Answer: (A) 𝑀𝐵𝑖 + ∑ MBj = MC MBi + ∑ MBj = MC𝑛−1 𝑖=1 𝑛−1 𝑗=1

    Explanation

    Option A is correct because 𝑀𝐵𝑖 + ∑ MBj = MC MBi + ∑ MBj = MC𝑛−1 𝑖=1 𝑛−1 𝑗=1 matches the relevant public economics concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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82. Question 82

    Which of the following statements are relevant for Gender Budgeting?
    a) Preparing a separate budget for women
    b) Gender budget is not practised by the Government of India
    c) Evaluating budgetary provisions with a gender perspective
    d) Gender budgeting is a tool for Gender Empowerment

    1. Aa and d only
    2. Ba only
    3. Ca, b, c and d
    4. Dc and d only

    Answer: (D) c and d only

    Explanation

    Option D is correct because c and d only matches the relevant public economics concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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83. Question 83

    Which of the following statements are CORRECT for welfare economics?
    a) Any competitive equilibrium leads to a Pareto efficient allocation of resources
    b) Competitive equilibrium does not lead to Pareto efficient allocation of resources
    c) Any efficient allocation can be attained by a competitive equilibrium given the market
    mechanism leading to redistribution
    d) There will be no Pareto efficient allocation of resources in the society

    1. Aa and c only
    2. Ba, b and c only
    3. Cb and c only
    4. Dc and d only

    Answer: (A) a and c only

    Explanation

    Option A is correct because the required calculation leads to a and c only. Applying the relevant formula to the values in the question rules out the remaining numerical alternatives.

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84. Question 84

    At present, for the estimation of GDP in India at constant prices, which one of the following
    years is used as the base year?

    1. A2000-01
    2. B2010-11
    3. C2011-12
    4. D2014-15

    Answer: (C) 2011-12

    Explanation

    Option C is correct because 2011-12 matches the relevant indian economy concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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85. Question 85

    Match List I with List II.

    List I	List II
    A. Carl Friedrich Gauss	I. Central Tendency
    B. Multicollinearity	II. OLS
    C. Mode	III. Karl Pearson
    D. Correlation coefficient	IV. Relationship among explanatory variables

    1. AA - II, B - IV, C - I, D - III
    2. BA - II, B - IV, C - III, D - I
    3. CA - III, B - IV, C - I, D - II
    4. DA - IV, B - I, C - II, D - III

    Answer: (A) A - II, B - IV, C - I, D - III

    Explanation

    Option A is correct because it pairs the listed concepts with their accepted counterparts: A - II, B - IV, C - I, D - III. The alternate matchings misplace one or more standard economics associations.

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86. Question 86

    Arrange the following concepts of consumer behaviour in chronological order
    a) Law of diminishing marginal utility
    b) Law of demand
    c) Revealed Preference Analysis
    d) Indifference Curve Analysis

    1. Aa, b, c, d
    2. Ba, b, d, c
    3. Cb, a, c, d
    4. Db, a, d, c

    Answer: (D) b, a, d, c

    Explanation

    Option D gives the correct order: b, a, d, c. The sequence follows the historical or logical progression asked in the question, while the other options place at least one item out of order.

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87. Question 87

    Arrange the following in chronological order in which they were introduced:
    a) SDGs
    b) MPI
    c) PQLI
    d) HDI

    1. Ac, b, a, d
    2. Bc, d, b, a
    3. Cd, c, a, b
    4. Dd, c, b, a

    Answer: (B) c, d, b, a

    Explanation

    Option B gives the correct order: c, d, b, a. The sequence follows the historical or logical progression asked in the question, while the other options place at least one item out of order.

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88. Question 88

    What type of relationship the Phillips curve postulates between the rate of unemployment
    and the rate of increase of money wages?

    1. ADirect and proportional
    2. BDirect
    3. CInverse and proportional
    4. DInverse

    Answer: (D) Inverse

    Explanation

    Option D is correct because Inverse matches the relevant macro economics concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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89. Question 89

    Human Development Index (HDI) currently, as published by the UNDP is calculated by
    using which of the following?

    1. AArithmetic Mean
    2. BGeometric Mean
    3. CHarmonic Mean
    4. DQuadratic Mean

    Answer: (B) Geometric Mean

    Explanation

    Option B is correct because Geometric Mean matches the relevant growth and development economics concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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90. Question 90

    The Net Barter terms of trade refer to:

    1. AThe excess of import expenditures over export earnings
    2. BThe ratio between export prices and import prices
    3. CThe terms and conditions on which a country is offered a loan in the event of balance of payments difficulties
    4. DTrade agreements

    Answer: (B) The ratio between export prices and import prices

    Explanation

    Option B is correct because The ratio between export prices and import prices matches the relevant international economics concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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91. Question 91

    In which of the following ways have there been structural changes in agricultural and rural
    areas in India?
    a) Crop diversification within agriculture sector
    b) Diversification from livestock to crop husbandry
    c) Diversification from non-commercial crops to commercial crops
    d) Diversification from traditional inputs to modern inputs

    1. Aa, b and c only
    2. Ba, b and d only
    3. Ca, c and d only
    4. Db, c and d only

    Answer: (C) a, c and d only

    Explanation

    Option C is correct because a, c and d only matches the relevant indian economy concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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92. Question 92

    Given Y =X3 – 12X2 + 36X + 8 identify which one of the following is correct

    1. AY is maximum at X=6 and minimum at X= 2
    2. BY is minimum at X=6 and maximum at X= 2
    3. CY has two inflexion points at X=2 and X=6
    4. DPoint of optimality is indeterminate

    Answer: (B) Y is minimum at X=6 and maximum at X= 2

    Explanation

    Option B is correct because the required calculation leads to Y is minimum at X=6 and maximum at X= 2. Applying the relevant formula to the values in the question rules out the remaining numerical alternatives.

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93. Question 93

    Which of the following functions will result in an investment multiplier of value 4?
    a) C = 50 +.25 Y
    b) C = 50 +.75 Y
    c) S = -50 +.25 Y
    d) I = 50 +.75 Y

    1. Aa and c only
    2. Ba and d only
    3. Cb and c only
    4. Dc and d only

    Answer: (C) b and c only

    Explanation

    Option C is correct because the required calculation leads to b and c only. Applying the relevant formula to the values in the question rules out the remaining numerical alternatives.

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94. Question 94

    Identify which one of the following statements is INCORRECT?

    1. AIf X ᴒ Y = ǿ,then X -Y ≠X
    2. BX - Y= X ᴒ Ȳ
    3. CComplement of a Universal set is a null set
    4. DIntersection of two disjoint sets is a null set

    Answer: (A) If X ᴒ Y = ǿ,then X -Y ≠X

    Explanation

    Option A is correct because If X ᴒ Y = ǿ,then X -Y ≠X matches the relevant public economics concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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95. Question 95

    Which of the following measures would result in an increase in the money supply in the
    economy?
    a) Purchase of government securities from the public by Central Bank
    b) Deposit of currency in Commercial Banks by the public
    c) Borrowing by the government from the Central Bank
    d) Sale of government securities to the public by the Central Bank
    e) Minting of more money by the Central Bank for circulation

    1. Aa, b and c only
    2. Ba, c and e only
    3. Cb, c and d only
    4. Db, d and e only

    Answer: (B) a, c and e only

    Explanation

    Option B is correct because a, c and e only matches the relevant indian economy concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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96. Question 96

    Consider the following statements about the rational expectations model:

    a) Monetary policy cannot affect output and employment
    b) Unanticipated changes will not affect real variables in the very short run
    c) There is equilibrium in the markets
    d) Economic agents use all relevant available information to form their expectations

    1. Aa, b and c only
    2. Ba, b, c and d
    3. Ca, c and d only
    4. Db, c and d only

    Answer: (C) a, c and d only

    Explanation

    Option C is correct because a, c and d only matches the relevant macro economics concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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97. Question 97

    Which of the following statements are CORRECT in regard to FDI in India in FY 2020?
    a) Share of services sector is highest
    b) Share of infrastructure activities is highest
    c) Share of computer hardware and software is in the second position
    d) Share of telecommunications is highest

    1. Aa and c only
    2. Bb and c only
    3. Cb only
    4. Dc and d only

    Answer: (A) a and c only

    Explanation

    Option A is correct because a and c only matches the relevant indian economy concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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98. Question 98

    Harrod-neutral technical progress is necessarily:

    1. ACapital augmenting
    2. BGrowth augmenting
    3. CLabour augmenting
    4. DResource augmenting

    Answer: (C) Labour augmenting

    Explanation

    Option C is correct because Labour augmenting matches the relevant growth and development economics concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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99. Question 99

    Which of the following statements are CORRECT for correlation analysis?
    a) Degree of linear association is measured between two variables
    b) Predictability is not part of correlation analysis
    c) Spearman has no contribution to correlation analysis
    d) Cause and effect relationship is established through correlation analysis

    1. Aa and c only
    2. Ba and b only
    3. Ca and d only
    4. Db and c only

    Answer: (B) a and b only

    Explanation

    Option B is correct because a and b only matches the relevant statistics and econometrics concept tested in the question. The other choices do not fit the standard definition, policy fact, or economic relationship being asked.

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100. Question 100

     In the short-run production function, which one of the following is CORRECT?

     1. ATechnology is assumed to be constant for a given production function relationship
     2. BTechnology is assumed to change as capital stock changes
     3. CTechnology is assumed to change as labour input changes
     4. DTechnology is assumed to change positively until diminishing returns set in

     Answer: (A) Technology is assumed to be constant for a given production function relationship

     Explanation

     Option A is correct because the required calculation leads to Technology is assumed to be constant for a given production function relationship. Applying the relevant formula to the values in the question rules out the remaining numerical alternatives.

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