Quiz: Development (NCERT Economics)
1. Which of the following is not a characteristic of development? a) Economic growth
b) Increase in per capita income
c) Unequal distribution of wealth
d) Improvement in living standards
2. Which indicator is most commonly used to compare the level of development between different countries? a)
Gross Domestic Product (GDP)
b) Human Development Index (HDI)
c) Per capita income
d) Literacy rate
3. The term 'sustainable development' refers to: a) Economic development that does not deplete resources
b) Rapid industrialization
c) High agricultural production
d) Increase in consumer goods production
4. What does per capita income indicate? a) Total national income
b) Income of an average person
c) Income of the richest person
d) Total expenditure of a country
5. Which of the following is not a part of the Human Development Index (HDI)? a) Life expectancy
b) Literacy rate
c) Per capita income
d) Unemployment rate
6. Which of the following countries is considered a developed country? a) India
b) Brazil
c) Germany
d) Nigeria
7. Development goals can be: a) Only economic
b) Only social
c) Only political
d) Different for different people
8. Which of the following is an example of non-renewable resources? a) Solar energy
b) Wind energy
c) Petroleum
d) Biomass
9. What is meant by ‘average income’? a) Total income of a country
b) Income per person in a country
c) Total income of the working population
d) Income of the government
10. What is the importance of literacy rate in development? a) It measures the economic performance
b) It indicates the availability of natural resources
c) It reflects the educational status and skill levels
d) It shows the level of industrial development
11. What does the term ‘National Income’ refer to? a) The total value of all goods and services produced in a country
b) The income of the government
c) The income of the population
d) The total value of exports
12. Which of the following factors can lead to an increase in the per capita income of a country? a) Decrease in
population
b) Increase in national income
c) Both a and b
d) None of the above
13. Which of the following is not a factor of production? a) Land
b) Labor
c) Capital
d) Money
14. Economic development implies: a) Increase in agricultural production
b) Growth in national income
c) Increase in per capita income along with improvement in living standards
d) Rapid urbanization
15. Which of the following is an example of a developing country? a) United States
b) Japan
c) India
d) Germany
16. What does the term 'poverty line' refer to? a) The line dividing the rich and the poor
b) The level of income below which a person cannot meet their basic needs
c) The average income of the population
d) The threshold income for taxation
17. Which of the following is not a goal of sustainable development? a) Eradicating poverty
b) Ensuring environmental sustainability
c) Reducing inequality
d) Maximizing industrial output
18. What is the full form of HDI? a) Human Development Index
b) Human Development Indicator
c) High Development Index
d) High Development Indicator
19. Which of the following does not directly affect the economic development of a country? a) Education system
b) Healthcare services
c) Historical monuments
d) Infrastructure
20. The measure of the average level of income of a country’s citizens is known as: a) GDP
b) Per capita income
c) GNP
d) HDI
21. Which sector is considered the backbone of developing economies like India? a) Primary sector
b) Secondary sector
c) Tertiary sector
d) Quaternary sector
22. The Gini coefficient is used to measure: a) Economic growth
b) Income inequality
c) Population growth
d) Literacy rates
23. Which of the following is a qualitative measure of development? a) National income
b) Per capita income
c) Literacy rate
d) GDP
24. Which organization publishes the Human Development Report annually? a) World Bank
b) International Monetary Fund (IMF)
c) United Nations Development Programme (UNDP)
d) World Economic Forum
25. A higher life expectancy indicates: a) Poor healthcare services
b) Good quality of life
c) Low literacy rate
d) High infant mortality rate
26. What is the primary focus of economic development? a) Industrial growth
b) Wealth distribution
c) Improvement in the overall well-being of people
d) Export maximization
27. Which of the following is considered a social indicator of development? a) GDP growth rate
b) Employment rate
c) Infant mortality rate
d) Inflation rate
28. Which of the following best describes economic growth? a) Increase in the value of goods and services produced by
an economy
b) Improvement in health and education services
c) Equitable distribution of wealth
d) Increase in the population
29. A country with high income inequality typically has: a) Equal wealth distribution
b) Concentration of wealth in fewer hands
c) Higher overall development
d) More equitable economic growth
30. The term ‘demographic transition’ refers to: a) Change in the population structure over time
b) Rapid urbanization
c) Increase in agricultural productivity
d) Migration from rural to urban areas
31. Which of the following is a measure of health development? a) GDP
b) Literacy rate
c) Life expectancy
d) Employment rate
32. What does ‘PPP’ stand for in economic terms? a) Purchasing Power Parity
b) Public Private Partnership
c) Per Person Product
d) Per Capita Production
33. Which of the following sectors contributes the most to India's GDP? a) Agriculture
b) Industry
c) Services
d) Manufacturing
34. What is the meaning of 'inclusive growth'? a) Growth that excludes certain sections of society
b) Growth that includes all sections of society
c) Growth in GDP only
d) Growth in industrial output
35. Which of the following statements is true about Human Development Reports? a) They only focus on economic
indicators
b) They include social, economic, and environmental indicators
c) They are published by the World Bank
d) They do not consider health and education
36. What is the role of infrastructure in development? a) It only supports industrial activities
b) It enhances overall economic activities
c) It has no significant impact
d) It is solely for transportation
37. Which country had the highest HDI ranking in 2021? a) Norway
b) Switzerland
c) Ireland
d) Germany
38. Which of the following is not an economic activity? a) Teaching
b) Farming
c) Cooking for family
d) Banking
39. Which measure is used to assess the income inequality within a country? a) GDP
b) HDI
c) Gini coefficient
d) Per capita income
40. Which of the following is a component of the Human Development Index? a) Gross National Product
b) Gross Domestic Product
c) Life expectancy
d) Poverty rate
41. Which of the following strategies can help achieve sustainable development? a) Increasing fossil fuel consumption
b) Promoting renewable energy sources
c) Deforestation
d) Industrial waste dumping
42. What is a key feature of the New Economic Policy introduced in India in 1991? a) Import substitution
b) Liberalization
c) Nationalization
d) Industrial licensing
43. Which of the following is a non-economic indicator of development? a) Per capita income
b) GDP growth rate
c) Literacy rate
d) Industrial output
44. Which sector includes activities like teaching and banking? a) Primary sector
b) Secondary sector
c) Tertiary sector
d) Quaternary sector
45. What is the primary objective of economic planning? a) Maximize industrial output
b) Ensure equitable distribution of resources
c) Increase population growth
d) Maximize exports
46. What does 'inflation' refer to? a) Decrease in the value of money
b) Increase in the general price level
c) Increase in national income
d) Decrease in unemployment
47. Which of the following best describes 'structural transformation'? a) Shift from agriculture to industry and
services
b) Rapid population growth
c) Increase in agricultural productivity
d) Decrease in literacy rates
48. What is the main objective of poverty alleviation programs? a) Increase national income
b) Reduce the number of people living below the poverty line
c) Increase industrial output
d) Promote urbanization
49. Which of the following is an economic goal? a) Higher literacy rates
b) Better healthcare services
c) Higher GDP
d) Political stability
50. Which sector is often referred to as the 'sunrise sector' in India? a) Agriculture
b) Information Technology
c) Manufacturing
d) Mining
51. Which of the following is a renewable resource? a) Coal
b) Natural gas
c) Wind energy
d) Petroleum
52. How is 'income method' of calculating GDP defined? a) Total value of goods and services produced
b) Total income earned by all factors of production
c) Total expenditure on goods and services
d) Total value of exports and imports
53. What does 'economic infrastructure' refer to? a) Educational institutions
b) Healthcare facilities
c) Roads, railways, and power
d) Sports complexes
54. Which organization is responsible for calculating India's GDP? a) Reserve Bank of India (RBI)
b) Ministry of Finance
c) Central Statistical Office (CSO)
d) NITI Aayog
55. Which of the following is a sign of underdevelopment? a) High literacy rate
b) Low life expectancy
c) High per capita income
d) High HDI
56. What is the primary source of income for the government? a) Exports
b) Taxes
c) Foreign aid
d) Loans
57. Which sector is involved in the production of raw materials? a) Primary sector
b) Secondary sector
c) Tertiary sector
d) Quaternary sector
58. Which of the following is a limitation of per capita income as an indicator of development? a) It does not account
for population size
b) It does not reflect income distribution
c) It includes non-economic activities
d) It is difficult to calculate
59. What does 'liberalization' refer to in economic terms? a) Government control over industry
b) Reduction of trade barriers
c) Increase in tariffs
d) Nationalization of industries
60. What is the primary aim of fiscal policy? a) Control money supply
b) Regulate government spending and taxation
c) Manage interest rates
d) Increase exports
61. Which of the following is an example of public goods? a) Electricity
b) National defense
c) Food grains
d) Clothing
62. What does 'foreign direct investment' mean? a) Investment by domestic firms abroad
b) Investment by foreign firms in the domestic market
c) Investment in the stock market
d) Government investment in infrastructure
63. Which of the following factors affects the economic growth of a country? a) Natural resources
b) Human capital
c) Technology
d) All of the above
64. Which of the following is not a feature of a developing economy? a) High population growth rate
b) High per capita income
c) Low level of industrialization
d) High dependency on agriculture
65. Which of the following is an example of qualitative development? a) Increase in GDP
b) Improvement in healthcare
c) Increase in industrial output
d) Increase in national income
66. What does 'economic planning' involve? a) Random economic decisions
b) Systematic allocation of resources
c) Unplanned economic activities
d) Private sector control
67. Which of the following is an example of physical capital? a) Machinery
b) Skilled labor
c) Raw materials
d) Financial capital
68. What does the term 'urbanization' refer to? a) Increase in rural population
b) Migration from urban to rural areas
c) Growth of cities
d) Decline in industrialization
69. Which of the following is a major challenge for sustainable development? a) Deforestation
b) Industrialization
c) Urbanization
d) Renewable energy use
70. Which of the following measures can reduce poverty? a) Increasing agricultural productivity
b) Providing access to education
c) Ensuring healthcare services
d) All of the above
71. What does 'economic inequality' refer to? a) Equal distribution of wealth
b) Unequal distribution of income and wealth
c) Balanced regional development
d) Equal access to resources
72. Which of the following is not a part of the tertiary sector? a) Banking
b) Education
c) Manufacturing
d) Healthcare
73. Which is the most significant factor for the development of a country? a) Natural resources
b) Human resources
c) Industrialization
d) Foreign aid
74. Which of the following best describes 'inclusive development'? a) Development that focuses only on economic
growth
b) Development that includes marginalized and vulnerable groups
c) Development that ignores environmental sustainability
d) Development that increases income inequality
75. Which of the following is an example of a social infrastructure? a) Roads
b) Schools
c) Railways
d) Factories
76. What is the primary focus of microeconomics? a) National economic policies
b) Individual and firm-level decision making
c) Global economic trends
d) Government fiscal policy
77. Which of the following is an indicator of social development? a) GDP
b) Literacy rate
c) Export rates
d) Import rates
78. What is the main objective of the World Bank? a) Reduce global poverty
b) Promote international trade
c) Control inflation
d) Manage global stock markets
79. What is a significant feature of a mixed economy? a) Complete government control
b) Complete private sector control
c) Coexistence of public and private sectors
d) Absence of economic planning
80. Which of the following is considered a part of economic infrastructure? a) Universities
b) Hospitals
c) Roads and bridges
d) Parks
81. What does 'macroeconomics' study? a) Individual consumer behavior
b) Economic performance of industries
c) Economy as a whole
d) Specific market trends
82. Which sector is referred to as the 'industrial sector'? a) Primary sector
b) Secondary sector
c) Tertiary sector
d) Quaternary sector
83. Which of the following is not a factor influencing development? a) Natural resources
b) Population size
c) Political stability
d) Artistic skills
84. What is 'globalization'? a) Increase in local businesses
b) Worldwide integration of economies
c) Isolation of national economies
d) Decrease in international trade
85. Which of the following is not a measure to ensure sustainable development? a) Overuse of natural resources
b) Conservation of biodiversity
c) Pollution control
d) Use of renewable energy
86. What does 'per capita income' mean? a) Income earned by the entire population
b) Income earned per person on average
c) Income of the government
d) Income of the industrial sector
87. What is the main goal of fiscal policy? a) Regulate money supply
b) Manage government revenue and expenditure
c) Control import and export
d) Increase foreign reserves
88. Which of the following factors is crucial for human development? a) Physical capital
b) Technological advancement
c) Education and healthcare
d) Industrial output
89. Which organization defines the parameters of Human Development Index (HDI)? a) World Bank
b) International Monetary Fund (IMF)
c) United Nations Development Programme (UNDP)
d) World Trade Organization (WTO)
90. Which of the following is an example of natural capital? a) Machinery
b) Factories
c) Forests
d) Schools
91. What is the significance of 'demographic dividend'? a) High birth rate
b) Large working-age population
c) High death rate
d) Low literacy rate
92. Which sector is known as the 'service sector'? a) Primary sector
b) Secondary sector
c) Tertiary sector
d) Quaternary sector
93. What does the term 'GDP' stand for? a) Gross Domestic Product
b) Gross National Product
c) General Domestic Product
d) General National Product
94. What is the primary goal of economic reforms? a) Reduce poverty
b) Stabilize the economy
c) Accelerate economic growth
d) Increase government control
95. Which of the following is an example of an economic activity? a) Sleeping
b) Studying
c) Teaching
d) Cooking for oneself
96. What is a significant feature of a market economy? a) Centralized planning
b) Government ownership
c) Private enterprise
d) Fixed prices by the government
97. What is the importance of 'physical capital' in development? a) It increases natural resources
b) It supports production processes
c) It reduces population growth
d) It eliminates poverty
98. What does 'environmental sustainability' imply? a) Unlimited use of natural resources
b) Balancing economic growth and environmental protection
c) Industrialization at any cost
d) Ignoring environmental concerns
99. Which of the following is an example of a public sector enterprise in India? a) Reliance Industries
b) Infosys
c) Indian Railways
d) Tata Motors
100. What does 'inclusive growth' mean? a) Growth that benefits only the wealthy
b) Growth that includes and benefits all sections of society
c) Growth that focuses on urban areas only
d) Growth that excludes rural development
Answer Key
1. c
2. b
3. a
4. b
5. d
6. c
7. d
8. c
9. b
10.c
11.a
12.c
13.d
14.c
15.c
16.b
17.d
18.a
19.c
20.b
21.a
22.b
23.c
24.c
25.b
26.c
27.c
28.a
29.b
30.a
31.c
32.a
33.c
34.b
35.b
36.b
37.a
38.c
39.c
40.c
41.b
42.b
43.c
44.c
45.b
46.b
47.a
48.b
49.c
50.b
51.c
52.b
53.c
54.c
55.b
56.b
57.a
58.b
59.b
60.b
61.b
62.b
63.d
64.b
65.b
66.b
67.a
68.c
69.a
70.d
71.b
72.c
73.b
74.b
75.b
76.b
77.b
78.a
79.c
80.c
81.c
82.b
83.d
84.b
85.a
86.b
87.b
88.c
89.c
90.c
91.b
92.c
93.a
94.c
95.c
96.c
97.b
98.b
99.c
100.b