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Industrial revolution in India - class-XI

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Value Added Method involves _______.

  1. identifying the producing enterprise and classify them into industrial sectors according to their activities

  2. estimating net value added by each producing enterprise as well as each industrial sector and adding up the net value added by all the sectors

  3. both A and B

  4. none of the above


Correct Option: C

Over the years, the value added by industrial sector in the GDP has ____.

  1. improved

  2. declined

  3. remained constant

  4. hasn't shown any specific trend


Correct Option: A

Intermediate goods means _________.

  1. minerals, fertilizers, cement , steel , iron etc.

  2. machinery, machine tools etc.

  3. chemicals, rubber, plastic, coal etc.

  4. man-made fibers, beverages, watch etc.


Correct Option: C

Consumer goods means ________.

  1. minerals, fertilizers, cement, steel, etc.

  2. machinery, machine tools etc.

  3. chemicals, rubber, plastic, coal etc.

  4. man-made fibers, beverages, watches etc.


Correct Option: D

Public sector is now of size & _______.

  1. large, diversified

  2. small, concentrated in few areas

  3. large, concentrated in few areas

  4. small but diversified


Correct Option: A

Employment in small-scale & cottage industries is next only to that of  __________ sector .

  1. agricultural

  2. industrial

  3. services

  4. none of above


Correct Option: A

The oldest large scale industry in India is _________.

  1. cotton textiles

  2. iron and Steel

  3. jute

  4. paper


Correct Option: A
Explanation:

The first cotton cloth mill in India was established in 1818 at Kolkata. And the 2nd mill established by KGN Saber in 1854 laid the base for the further development. It is since then India is involved into cotton and textile industry. Now this sector contributes 4% of the GDP, and our country is the second largest producer of fibre in the world. 

SIDCO is related to the development of ____________.

  1. sugar industry

  2. steel industry

  3. small industry

  4. soap Industry


Correct Option: C
Explanation:

Small Industries Development Corporation Limited (SIDCO) has been set up by the Govt. of Tamilnadu, with the specific objective of playing a catalytic role in the promotion and development of Small Scale Industries.

SIDO is related to the development of ___________.

  1. Soap industry

  2. Steel industry

  3. Small industry

  4. Sugar industry


Correct Option: C
Explanation:

Small Industries Development Organi-sation (SIDO) an apex body at Central level for formulating policy for the development of Small Scale Industries in the country, is playing a very constructive role for strengthening this vital sector which has been proved to be one of the pillars of the economy of the country.

The higher the prices of capital relative to the prices of labour, the more production techniques should be ____________.

  1. labour intensive

  2. capital intensive

  3. fixed

  4. labour or capital intensive and we cannot say which without additional information.


Correct Option: A
Explanation:

Beacause the prices of capital are higher than that of labour hence the technique of production used should be labour intensive. 

One major reason behind this would be the production costs would be lesser if such techniques are used.

Which of the following was the role of the state when developing India's industries?

  1. Providing industrialists with support to build industries

  2. Large amount of capital investment and promotion by the state.

  3. Forcing industrialists to invest in India's industrial ventures.

  4. All of the above


Correct Option: B

In which year the new Industrial Policy was announced? 

  1. 1997

  2. 1951

  3. 1991

  4. 1998


Correct Option: C
Explanation:

After independence, India adopted the mixed economy principle, but a high stress on the Public sector was given. The government could not manage the debt and inflation and hence we adopted the LPG i.e. Liberalization, Privatization, and Globalization under the new industrial policy in 1991. 

The industrial Policy Resolution was part of which 5 year plan? 

  1. Second Five Year Plan

  2. Third Five Year Plan

  3. First Five Year Plan

  4. Fourth Five Year Plan


Correct Option: A

Which of the following were a reason for the resistance of Indian Industrialist to invest in Industrial ventures? 

  1. No government support

  2. No profitable ventures

  3. Lack of capital

  4. All of the above


Correct Option: B,C

Which of the following is a reason for small scale industries is more labor intensive? 

  1. Small industries cant afford high amounts of capital

  2. Small industries can afford high amounts of capital

  3. Labor is very expensive

  4. All of the above


Correct Option: A

Which of the following licenses were required by industries? 

  1. To establish an industrial unit

  2. To expand production

  3. To get tax benefits

  4. All of the above


Correct Option: D

Which of the following could be a reason for promotion of small scale industries? 

  1. Economy prospers when it has only small scale industries

  2. Today's small scale industries are tomorrows large scale industries

  3. Large scale industries ruin small scale industries

  4. None of the above


Correct Option: B

How did the industrial policy promote regional equity? 

  1. The policy failed to improve regional equality.

  2. Government kept industries under strict control

  3. Industries were adapting to the market mechanism

  4. Private sector and state shared equal control over industies


Correct Option: B

How many categories did the resolution classify the industry into?

  1. Two categories

  2. Four categories

  3. No categories

  4. Three categories


Correct Option: D

State a protectionism technique used by the government to promote small scale industries. 

  1. Quotas

  2. Tariffs

  3. Reserving production of few products to small scale industries only

  4. All of the above


Correct Option: D

_______ is free from location restriction as per new industrial policy.

  1. Small scale sector unit

  2. Public sector units

  3. Polluting units

  4. Extraction industries


Correct Option: A

Other than small sector unit, how can one produce items reserved for small scale sector subject to ________.

  1. complying with reservation of jobs scheme announced by the Central Government of India

  2. owning a backward village for development.

  3. obtaining industrial license and undertaking to meet 50% export obligation.

  4. contributing 10% profit toward environmental protection fund.


Correct Option: C

As per New Industrial Policy of India, exemption from Industrial licensing is given except _______.

  1. for industries reserved for public sector

  2. for industries reserved for small scale sector

  3. for industries attracting local restrictions.

  4. All the three


Correct Option: D

Industrial resolution policy (1956) enlarged the scope of ______ participation in India.

  1. private sector

  2. joint sector

  3. public sector

  4. foreign funds


Correct Option: C

As per new Industrial Policy how many industries are required to obtain compulsory Industrial license?

  1. 5

  2. 2

  3. 4

  4. 6


Correct Option: D

First Industrial policy of 1956 was announced by _________.

  1. Pt. Jawahar Lal Nehru

  2. Dr. Lalit Narain Mishra

  3. Atal Bihari Vajpayee

  4. Dr. Vijay Kelkar


Correct Option: A

Among traditional village industries  ________ possess the highest labor productivity.

  1. cotton mills

  2. handicrafts

  3. khadi industry

  4. glass and ceramics


Correct Option: B

The opportunities in the small-scale sector are enormous due to ______.

  1. more capital intensive

  2. virtually no support by government

  3. raw material procurement

  4. none of the above


Correct Option: C

The Union Cabinet in September $2016$ approved MoU between India and which country in the field of Industrial Property Cooperation?

  1. Qatar

  2. Singapore

  3. Russia

  4. Japan


Correct Option: B

Small scale industries contributes almost _____ % of the gross industrial value added in the Indian economy.

  1. 30

  2. 40

  3. 45

  4. 50


Correct Option: B

As Industrialization grows, the role of capital goods vs-a-vis consumer goods ____________.

  1. increases

  2. decreases

  3. remains relatively constant

  4. none of the above


Correct Option: A

After independence, there was a high concentration of employment in which industries  _______.

  1. small & household industries

  2. large industries

  3. medium industries

  4. both (a) & (b) above


Correct Option: D

Retrogression is a phenomenon in which  ________.

  1. growth of elite oriented consumption goods is higher than goods which satisfy the need of mass of the people.

  2. growth of elite oriented goods is lesser than the goods which satisfy mass needs

  3. both the above rates are equal

  4. none of the above


Correct Option: A

Capital goods industries produce _______.

  1. materials, fertilizers, cement, steel, iron etc.

  2. machinery, machine tools etc.

  3. chemicals, rubber, plastic, coal etc.

  4. man-made fibers, beverages, watches etc.


Correct Option: B

Indian industry is _______.

  1. dependent on the vagaries of nature

  2. independent of vagaries of nature

  3. has no relationship with nature

  4. none of the above


Correct Option: B

Growth rate of industrial output over the planning period has been _______.

  1. satisfactory

  2. not upto the mark

  3. good

  4. excellent


Correct Option: A

Basic goods industries produce _______.

  1. materials, fertilizers, cement, steel, iron etc.

  2. machinery, machine tools etc.

  3. chemicals, rubber, plastic, coal etc.

  4. man-made fibers, beverages, watches etc.


Correct Option: A

The capital- output ratio in India is  ______.

  1. increasing

  2. decreasing

  3. remained constant

  4. not shown any specific trend


Correct Option: A

In India, industries witness _______.

  1. underutilization of capacity

  2. moderate utilization of capacity

  3. overutilization of capacity

  4. exact utilization of capacity


Correct Option: A

Since independence, dominance of monopoly business houses has _______.

  1. increased

  2. decreased

  3. remained constant

  4. fluctuated


Correct Option: A

Mahalanobis model emphasized on ______.

  1. building basic & capital goods industries

  2. building basic industries

  3. building capital goods industries

  4. building consumer goods industries


Correct Option: A

Since independence, the structure of industry has shifted in favour of _______.

  1. basic, capital & intermediate goods

  2. basic goods only

  3. capital goods only

  4. intermediate goods only


Correct Option: A

During 1951- 90 the strategy was to _______.

  1. develop consumer goods industries

  2. develop basic & capital goods industries by giving their responsibility to public sector

  3. develop intermediate goods industries

  4. none of above.


Correct Option: B

Since 1951, the number of small scale industries have witnessed _______.

  1. mammoth growth

  2. moderate growth

  3. negative growth

  4. no growth


Correct Option: A

Industrial sector has now become &_________.

  1. broad based & modernized

  2. narrow based & backward

  3. narrow based & modernized

  4. broad based but backward


Correct Option: A

For the development of cottage $7$ small scale industries _______________.

  1. Loans were provided

  2. Some production items were specially reserved

  3. Both a & b

  4. Neither a nor b


Correct Option: C

The number of products reserved for small scale industry till October $2008$ is _________.

  1. $35$

  2. $21$

  3. $81$``

  4. $106$


Correct Option: B

Foreign direct invest helped India in ___________.

  1. exports

  2. imports

  3. import of money from outside

  4. all of the above


Correct Option: D
Explanation:

Foreign direct invest helped India in exports, imports and import of money from outside. FDI stands for Foreign Direct Investment. It is also known as 'cross border investment'. It plays an important role in the global economy. It is a type of investment made by a resident in one economy in a business organisation which belongs to another country.

Which Industrial Policy Paid more attention toward the cottage industries?

  1. Industrial Policy of $1948$

  2. Industrial Policy of $1956$

  3. Industrial Policy of $1977$

  4. Industrial Policy of $1980$


Correct Option: C

Main Hurdle in steady industrial development in India is?

  1. Lack of capital

  2. insufficient basic infrastructure

  3. Limited market

  4. technical backwardness


Correct Option: C

The industrial Policy resolution $1948$ led to __________.

  1. insurance in dissect foreigner investment

  2. increase the foreigner loans

  3. decrease direct foreigner investment

  4. all of the above


Correct Option: B

Some of the characteristic feature involved with Industrial Policy development $1948-88$ were ___________.

  1. relaxation in MRTP Provision

  2. eelaxation in FERA Provision

  3. both a & b

  4. development of ago bored industries


Correct Option: C

The Atomic Energy Commission was formed in ______.

  1. 1948

  2. 1953

  3. 1962

  4. 1975


Correct Option: A
Explanation:
The Atomic Energy Commission was formed in  1948.The Atomic Energy Commission is the governing body of the department of Atomic Energy. The first chairman was Homi J. Bhabha. Its main objectives are as follows:
a) to organize research in atomic science in the country,
b) to train, atomic scientists in the country.
c) to promote nuclear research in commission's own laboratories in India. 

In ____ , a talent search and scholarship program was begun to find talented young students to train for work in nuclear power.

  1. 1955

  2. 1956

  3. 1957

  4. 1958


Correct Option: C

Industrialization involves  ___________.

  1. adoption of technologically superior techniques of production

  2. application of modern techniques of management and organization

  3. both (A) and (B)

  4. none of the above


Correct Option: C
Explanation:

Industrialization refers to a period where high growth rate in the economy can be achieved by industrial application which involves adoption of technology that supports superior techniques of production as well as use of modern techniques of management and organisation.

India also performed the "Smiling Buddha" underground nuclear test in _______.

  1. 1975

  2. 1974

  3. 1973

  4. 1972


Correct Option: B
Explanation:

On 18 May 1974, India performed its first successful nuclear bomb test "Smiling Buddha 

The bomb was detonated on the army base, Pokhran Test Range, situated in Rajasthan which was regulated by the Indian Army under the supervision of several key Indian generals.

Main objective(s) of industrial policy of Government is/are _________.

  1. to maintain a sustained growth in productivity

  2. to enhance gainful employment

  3. to achieve optimal utilization of resources

  4. all of above


Correct Option: D
Explanation:

The new industrial policy was introduced in 1991 which includes the latest industrial reforms where many requirements of industrial licensing were abolished, restrictions on investment and expansion were removed, and easy access to foreign technology and foreign direct investment was facilitated so that Sustainable growth in productivity could be maintained with greater employment and optimum utilization of resources.

Mahalanobis model, an economic development model developed by the Indian Statistician Prasanta Chandra Mahalanob is in ______.

  1. 1948

  2. 1953

  3. 1962

  4. 1975


Correct Option: B
Explanation:

Mahalanobis model, an economic development model developed by the Indian Statistician Prasanta Chandra Mahalanob is in  1953.Second five year plan was based on the Mahalanobis model. It was made for the duration of 1956 to 1961. Main objective of the second five year plan was the industrial development of the country.  The plan was successful and achieved growth ratee of about 4.1%.

At the end of the plan period in ____ , five Indian Institutes of Technology (IITs) were established as major technical institutions.

  1. 1953

  2. 1954

  3. 1955

  4. 1956


Correct Option: D
Explanation:

At the end of the plan period in 1956, five Indian Institutes of Technology (IITs) were established as major technical institutions. IIT(s) are autonomous public institutions established by the Government of India.
Main objective was to motivate technological up-gradation in the economy. 

The Atomic Energy Commission was formed in 1948 with ____ as the first Chairman.

  1. Jawaharlal Nehru

  2. Homi J. Bhabha

  3. Atal Bihari Vajpayee

  4. J. J. Irani


Correct Option: B
Explanation:

The Atomic Energy Commission was formed in  1948.The Atomic Energy Commission is the governing body of the department of Atomic Energy. The first chairman was Homi J. Bhabha. Its main objectives are as follows:
a) to organize research in atomic science in the country,
b) to train, atomic scientists in the country
c) to promote nuclear research in commission's own laboratories in India.

The latest industrial policy reforms have reduced the industrial licensing requirements, removed restrictions on investment and expansion, and facilitated easy access to foreign technology and foreign direct investment.

  1. True

  2. False

  3. Partly true

  4. None of above


Correct Option: A
Explanation:

True. 

The new industrial policy was introduced in 1991 which includes the latest industrial reforms were many requirements of industrial licensing abolished, restrictions on investment and expansion were removed, and easy access to foreign technology and foreign direct investment was facilitated.

The new industrial policy was introduced in ________.

  1. 1989

  2. 1990

  3. 1991

  4. 1992


Correct Option: C
Explanation:

The new industrial policy was introduced in 1991 which includes the latest industrial reforms were many requirements of industrial licensing abolished, restrictions on investment and expansion were removed, and easy access to foreign technology and foreign direct investment was facilitated. 

Which of the following has resulted in failure to achieve targets of industrial production?

  1. Technical complications

  2. Power, finance and labour problems

  3. Poor planning

  4. All of the above


Correct Option: D

According to Section 7 of Micro, Small and Medium Enterprises Development Act, 2006, in the case of industry specified in the First Schedule to the Industries (Development and Regulation) Act, 1951 where investment in plant & machinery does more than Rs 5 crores but does not exceed Rs 10 crores are classified as ____________.

  1. large industry

  2. micro enterprise

  3. small enterprise

  4. medium enterprise


Correct Option: D
Explanation:
According to Section 7 of Micro, Small and Medium Enterprises Development Act, 2006, in the case of industry specified in the First Schedule to the Industries (Development and Regulation) Act, 1951 where investment in plant & machinery does more than Rs 5 crores but does not exceed Rs 10 crores are classified as medium enterprise.
Medium enterprise generally employ about 100-999 number of employees. It pays an important role in the global economy. It is responsible for increasing the GDP at a greater rate.

_____ means disposal of public sector's unit's equity in the market or in other words selling of a public investment to a private entrepreneur.

  1. Liberalization

  2. Disinvestment

  3. De-regulation

  4. Globalization


Correct Option: B
Explanation:

Disinvestment means disposal of public sector's unit's equity in the market or in other words selling of a public investment to a private entrepreneur. It means transfer of ownership or management of an enterprise from the public sector to the private sector. It may result in better management of the enterprises. It also encourages entrepreneurship.

According to Section 7 of Micro, Small and Medium Enterprises Development Act, 2006, in the case of industry specified in the First Schedule to the Industries (Development and Regulation) Act, 1951 where investment in plant & machinery does not exceed Rs 25 lakh are classified as _________.

  1. large industry

  2. micro enterprise

  3. small enterprise

  4. medium enterprise


Correct Option: B
Explanation:

According to Section 7 of Micro, Small and Medium Enterprises Development Act, 2006, in the case of industry specified in the First Schedule to the Industries (Development and Regulation) Act, 1951 where investment in plant & machinery does not exceed Rs 25 lakhs are classified as micro enterprise. Micro enterprise is generally defined as a type of small business firms which can employ a few number of people.

A recession is a __________.

  1. period of declining prices

  2. period of very rapidly declining prices

  3. period of declining unemployment

  4. period during which aggregate output declines


Correct Option: D
Explanation:

A recession is a period during which aggregate output declines. Recession can be defined as a part of the business cycle contraction. In this phase, overall economy experiences downfall. Other indicators such as GDP, investment spending, capital utilization, etc also tend to decline.

Small-scale industry under IDRA, 1951, is one with an investment up to _________ in plant and machinery, excluding land and building.

  1. 10 lakhs

  2. 1 crore

  3. 5 crore

  4. 10 crore


Correct Option: B
Explanation:

Small-scale industry under Industry Development and Regulation act, 1951, is one with an investment up to 1 crore in plant and machinery, excluding land and building. Small scale industries can be defined as those industries where manufacturing activities take place in a very small scale.

Main objective(s) of industrial policy of Government is/are __________.

  1. to attain international competitiveness

  2. to transform India in to a major player in the global arena

  3. to maintain a sustained growth in productivity

  4. all of above


Correct Option: D
Explanation:

The new industrial policy was introduced in 1991 which includes the latest industrial reforms where many requirements of industrial licensing were abolished, restrictions on investment and expansion were removed, and easy access to foreign technology and foreign direct investment was facilitated so that Sustainable growth in productivity could be maintained to transform India in to a major player globally and to attain international competitiveness through globalization.

Which of the following statement is correct about the New Industrial Policy, 1991?

  1. It gave dominant position to the public sector

  2. It abolished licensing for all projects except 18 industries of strategic and security importance

  3. It made compulsory for the industry to obtain license for all projects

  4. All of above


Correct Option: B

Presently industrial licensing is not applicable for _________.

  1. cigarettes

  2. industrial explosives

  3. alcohol

  4. electronic goods


Correct Option: D
Explanation:

Presently industrial licensing is not applicable for electronic goods. Industrial license refers to the license which needs to be issued when an industry is to be set up. Industrial licensing is applicable for goods like cigarettes, industrial explosives and alcohol.

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