1. Gross Value Added (GVA) at Basic Prices is defined as:
GDP at Factor Cost + Depreciation
NNP at Factor Cost + Undistributed Profits
GDP at Market Prices + Net Product Taxes
GDP at Market Prices - Net Product Taxes
Explanation:
GVA at Basic Prices = GDP at Market Prices - (Product Taxes - Product Subsidies). Conversely, GDP at Market Prices = GVA at Basic Prices + Net Product Taxes.
2. Under the revised MSME classification (2020), a "Small Enterprise" is one where:
Investment <= ?50 Cr and Turnover <= ?250 Cr
Investment <= ?20 Cr and Turnover <= ?100 Cr
Investment <= ?10 Cr and Turnover <= ?50 Cr
Investment <= ?1 Cr and Turnover <= ?5 Cr
Explanation:
Micro: Inv<1Cr, Turn<5Cr. Small: Inv<10Cr, Turn<50Cr. Medium: Inv<50Cr, Turn<250Cr.
3. Which sector typically contributes the highest to India’s Gross Value Added (GVA)?
Industry (Manufacturing)
Construction
Agriculture, Forestry and Fishing
Services
Explanation:
The Services sector is the largest contributor to India's GVA, accounting for over 53% of the total economy.
4. What is the primary objective of the "PM-KISAN" scheme?
To waive off farm loans
To provide crop insurance to farmers
To provide subsidized fertilizers
To provide income support to landholding farmer families
Explanation:
PM-KISAN (Pradhan Mantri Kisan Samman Nidhi) provides direct income support of ?6,000 per year to landholding farmer families.
5. According to the revised MSME classification (July 2020), an enterprise is classified as "Medium" if:
Investment is = ?10 Cr and Turnover is = ?50 Cr.
Investment is = ?20 Cr and Turnover is = ?100 Cr.
Investment is = ?50 Cr and Turnover is = ?250 Cr.
Investment is = ?50 Cr and Turnover is = ?200 Cr.
Explanation:
The new composite criteria for Medium Enterprises requires Investment in Plant and Machinery or Equipment does not exceed ?50 crore and Annual Turnover does not exceed ?250 crore. Both conditions must be met. Exports are excluded from the turnover calculation.
6. Under the PMMY (Pradhan Mantri Mudra Yojana), the "Tarun" category covers loans ranging from:
Above ?10 Lakh
?5,00,001 to ?10 Lakh
Up to ?50,000
?50,001 to ?5 Lakh
Explanation:
Mudra loans have three categories: Shishu (up to ?50k), Kishore (?50k to ?5L), and Tarun (?5L to ?10L) for funding the non-corporate, non-farm small/micro enterprises.
7. The term "Gig Economy" implies:
A labor market characterized by the prevalence of short-term contracts or freelance work.
An economy dominated by large manufacturing plants.
Government employment focused economy.
An economy based on barter system.
Explanation:
The Gig Economy involves temporary, flexible jobs where companies tend to hire independent contractors and freelancers instead of full-time employees (e.g., Uber, Zomato workers).
8. The "Production Linked Incentive" (PLI) Scheme was launched by the Government of India primarily to:
Offer tax holidays to IT startups only.
Provide direct subsidies to farmers for crop production.
Boost domestic manufacturing and reduce import dependence in key sectors.
Increase the production of coal and thermal energy.
Explanation:
The PLI scheme offers financial incentives to companies based on the incremental sales of products manufactured in India. It aims to create global manufacturing champions in India across strategic sectors (like electronics, pharma, auto, textiles), create jobs, and reduce the reliance on imports, thereby strengthening the "Atmanirbhar Bharat" initiative.
9. Which initiative focuses on creating "Smart Cities" to drive economic growth and improve quality of life?
PMAY-Urban
HRIDAY Scheme
AMRUT Mission
Smart Cities Mission
Explanation:
Launched in 2015, the Smart Cities Mission aims to promote cities that provide core infrastructure and give a decent quality of life to its citizens, a clean and sustainable environment, and application of 'Smart' Solutions.
10. The "Udyam Registration" portal is meant for the registration of:
Exporters only.
Farmers selling crops.
MSMEs (Micro, Small and Medium Enterprises).
Unorganized workers.
Explanation:
Udyam Registration is the new, simplified, online, and paperless process for registering MSMEs in India, replacing the Udyog Aadhaar Memorandum (UAM).