Economics Part 3 Revision Test in English

Explanation: Form Utility : If the physical form of a commodity is changed, its utility may increase. E.g. Cotton increases, if it is converted into clothes.

Explanation: Examples of Tertiary Sector cover distributive traders, banking, insurance, transport and communications. Government services, such as law, administration, education, health and defense are also included.

Explanation: Adamsmithis known as Father of Economics and his Economics is wealth Economics. He wrote two classic works, "The Theory of Moral sentiments (1759)",and "An inquiry into the nature and causes of the wealth of Nations (1776)".

Explanation: Labour is not homogeneous. Skill and dexterity vary from person to person.

Explanation: The entrepreneur is also called ‘Organizer’. In, modern times, an entrepreneur is called ‘the changing agent of the society’. He is not only responsible for introducing the socially desirable output but also to increase the social welfare.

Explanation: 20 point program was introduced by Indira Gandhi. JawaharRozgarYojanais related to employment. MGNREGA is the 100 days employment scheme. Bharat NirmanYojana has 6 types of welfare schemes included in it.

Explanation: The Diamond Mortensen Pissarides Model General Talk about Employment related aspects which include above mentioned three.

Explanation: Raja chelliah is a former RBI Chairman he is the one who reduced import duties in 1991.

Explanation: Kerala tops in this list followed by Punjab and Tamilnadu.

Explanation: Indira AwasYojanawas introduced in the year 1985 for the Rural Housing.

Explanation: It was established by World Trade Organisation.

Explanation: TISCO was introduced in the year 1907 in Jamshedpur.

Explanation: Food Security Act , 2013 is an Act of the Parliament of India which aims to provide subsidized food grains.

Explanation: In Frictional Unemployment person use to change their place from one to another.

Explanation: We take the age group of 15–60 years for the computation of workforce. Persons who are less than 15 years are considered as children, and person who have crossed 60 years of age are excluded as they are not physically fit to undertake productive occupation.

Explanation: In the medieval period, Feroz Shah Thuglaq, the Sultan of Delhi, had set up an ‘Employment Bureau’ to solve the unemployment problem.

Explanation: Iruvelpattu is one such village in Villupuram district in Tamil Nadu. This village has been studied for more than 100 years by many scholars. This village is also called Slater village as Gilbert Slater was the first scholar working in the University of Madras to go with his students to study this village in 1916.

Explanation: In the medieval period, Feroz Shah Thuglaq, the Sultan of Delhi, had set up an ‘Employment Bureau’ to solve the unemployment problem.

Explanation: It provide useful and elementary education for all children in the age of 6-14 years.

Explanation: It was launched on 15 August 1983 during the Sixth Five Year Plan.

Explanation: Reserve Bank of India set up the Agricultural Refinance corporation to work as an refinancing agency in providing medium term and long term agricultural credit to support investment credit needs for agricultural Development.

Explanation: PMRY (Prime Minister RozgarYojana) started in 1993 REGP (Rural Employment Generation Program) Started in 1995 by merging this two PMEGP was started in 2008.

Explanation: Micro farmers account to around 78% of the total cultivators, while the area cultivated by these micro farmers is just 36%. Small farmers cultivating 1-2 hectares of land cover 14%, while the land cultivated by them is 26%.

Explanation: Out of this only one third of land is used for agriculture (45,44,000 hectare). 17% of the land is used for non agricultural use. Nearly the same size ( 2125 thousand hectares) of land are forests.

Explanation: In 2012-13, out of the total cultivated land, nearly 72 percent is used for food crops and the remaining for non-food crops.

Explanation: The area under irrigation is about 57 percent of the total area under cultivation.

Explanation: 2,239 canals run through Tamil Nadu covering a length of 9,750 km. There are 7,985 small lakes, 33,142 large lakes, 15 lakh open wells and there are 3,54,000borewells in the state where agriculture is carried out with the help of these water resources.

Explanation: The dams constructed across Cauvery in Tamil Nadu are Mettur Dam, Kallanai.

Explanation: River Cauvery is the 3rd largest river in South India. Its length is 765 km.

Explanation: All cultivated crops can be classified as food crops and non-food crops. 57 percentage of the total land under food grain cultivation is irrigated.

Explanation: 139 blocks in Tamilnaduare identified as excessive users of groundwater and 100 blocks as nearing the stage of excessive usage of groundwater. 11 blocks have been identified with reduced water quality. Only 136 blocks have enough quantity and quality water for usage.

Explanation: The term 'virtual water' was introduced by Tony Allen in 1990. The water consumed in the production process of an agricultural or industrial product is called 'virtual water'.

Explanation: Paddy cultivation is carried out at a large scale of 30 percent cultivated land area and other food crops in 12 percent area.

Explanation: The contribution of paddy to the total amount of food production is 62%. Maize production was 20%, corn 7%, ragi 3% and another 3% occupied by black gram, while other food crops contributed a very meager amount to the total food production in Tamil Nadu.

Explanation: Production capacity of paddy in Tamil Nadu was 4,429 kg per hectare in 2014-2015. This capacity was 3,039 kilograms in 2010-2011 revealing the increase in productivity.

Explanation: Coconut is a Plantation crop.

Explanation: Northeast monsoon (Oct-Dec) is a major source of water for Tamil Nadu.

Explanation: The term “Gross National Happiness” was coined by the fourth king of Bhutan, JigmeSingyeWangchuck, in 1972. It is an indicator of progress, which measures sustainable development, environmental conservation promotion of culture and good governance.

Explanation: Around 60% of the people in India depend upon agriculture for their livelihood. In fact, about 17% of our GDP today is contributed by the agricultural sector.

Explanation: Emerging as a top economic giant among the world economy, India bags the seventh position in terms of nominal Gross Domestic Product (GDP) and third in terms of Purchasing Power Parity (PPP).

Explanation: Population growth rate of India is very high and this is always a hurdle to growth rate. The population growth rate in India is as high as 1.7 per 1000.

Explanation: The negative growth during 1911-21 was due to rapid and frequent occurrence of epidemics like cholera, plague and influenza and also famines. The year 1921 is known as the ‘Year of Great Divide’ for India’s population as population starts increasing. During 1951, population growth rate has come down from 1.33% to 1.25%. Hence it is known as ‘Year of Small divide’. In 1961, population of India started increasing at the rate of 1.96% i.e, 2%. Hence 1961 is known as ‘Year of Population Explosion’. In the year 2001, the Population of India crossed one billion (100 crore) mark. The 2011 census reveals growth of youth population which is described as ‘demographic transition’.

Explanation: Kerala has the highest literacy ratio (92%) followed by Goa (82%), Himachal Pradesh (76%), Maharastra (75%) and Tamil Nadu (74%). Bihar has the lowest literacy ratio (53%) in 2011.

Explanation: The triple pillars of New Economic Policy are Liberalization, Privatization and Globalization (LPG)

Explanation: Joseph ChelladuraiKumarappa was born on 4 January 1892 in Tanjavur, Tamil Nadu. A pioneer of rural economic development theories, Kumarappais credited for developing economic theories based on Gandhism – a school of economic thought he coined “Gandhian Economics”.

Explanation: Sen's Poverty and Famines: An Essay on Entitlement and Deprivation” (1981) is both a theoretical and an applied work.

Explanation: This system was created by the British East India Company, when in 1793, Lord Cornwallis introduced ‘Permanent Settlement Act’.

Explanation: After introduction of this system, it was later extended to Madhya Pradesh and Punjab. The ownership of the land was maintained by the collective body usually the villagers which served as a unit of management.

Explanation: This system was initially introduced in Tamil Nadu and later extended to Maharashtra,Gujarat, Assam, Coorg, East Punjab and Madhya Pradesh.

Explanation: The Government of India recognized the significant contribution of industrialization. Therefore the Government of India declared its first Industrial Policy on 6th April 1948.

Explanation: Kerala has the lowest birth rate (14.7) and Uttar Pradesh has the highest birth rate (29.5). West Bengal has the lowest death rate (6.3) and Orissa (9.2) has the highest. Among States Bihar has the highest decadal (2001-11) growth rate of population, while Kerala has the lowest growth rate.

Explanation: The term 'virtual water' was introduced by Tony Allen in 1990. The water consumed in the production process of an agricultural or industrial product is called 'virtual water'.

Explanation: In 1965-66, the total food grain production was slightly more than 50 lakh tonnes and in 2014-15, the production increased and was slightly below one crore 28 lakh tonnes.

Explanation: The target of Second Green Revolution was to increase 400 million tons of food grain production as against about 214 million tons in 2006-07. This is to be achieved by 2020.

Explanation: Its first modernised industrial unit was established at Reshra in West Bengal in 1855.

Explanation: India is the second-largest (first being China) country in the world in producing natural silk. At present, India produces about 16% silk of the world.

Explanation: For exploration purpose, Oil and Natural Gas Commission (ONGC) was established in 1956 at Dehradun, Uttarakhand.

Explanation: Of the total banking industry in India, public sector banks constitute 72.9% share while the rest is covered by private players. In terms of the number of banks, there are 27 public sector banks and 22 private sector banks.

Explanation: Human Development Index (HDI) HDI was developed by the Pakistani Economist MahbubulHaq and the Indian Economist Amartya Kumar Sen in 1990 and was published by the United Nations Development Programme (UNDP). It is constructed based on Life Expectancy Index, Education Index and GDP Per Capita.

Explanation: India was at 3rd position after China and Japan among Asian countries. India shared 8.50% of total Asia’s GDP (nominal) in 2016.

Explanation: In 1991, the government announced a specified list of high-technology and highinvestment priority industries wherein automatic permission was granted for foreign direct investment (FDI) upto 51 percent foreign equity. The limit was raised to 74 percent and subsequently to 100 percent for many of these industries.

Explanation: The Government of India and the Ministry of Agriculture promulgated an order known as “Cold Storage Order, 1964” under Section 3 of the Essential Commodities Act, 1955.

Explanation: The Government of India, Ministry of Commerce and Industry announced New Foreign Trade Policy on 01st April 2015 for the period of 2015-2020.

Explanation: A famous British writer Sir Malcolm Darling (1925) stated that ‘An Indian farmer is born in debt, lives in debt, dies in debt and bequeaths debt’.