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National Economy and Agriculture

Description: Rashriya Arthvyvstha Avm Krishi
Number of Questions: 10
Created by:
Tags: National Economy and Agriculture Social Sector Initiatives Indian Economy
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Agricultural income tax is assigned to the state government by

  1. Finance Commission

  2. National Development Council

  3. Inter-state Council

  4. Constitution of India


Correct Option: D
Explanation:

Art. 269 of the Constitution of India states that taxes on income other than agricultural income shall be levied and collected by the Government of India and distributed between the Union and States. Entry 46 in the state list of Seventh Schedule gives power to the state government to impose agricultural income tax.

In which one of the following crops is international trade low in the context of total produce?

  1. Rice

  2. Coffee

  3. Rubber

  4. Wheat


Correct Option: A
Explanation:

Rice production is the highest in India among cereals but its quality cannot compete with other rice-producing countries. Most of the rice produced in India is meant for internal consumption. India is a major producer and exporter of Basmati rice.

In India, rural incomes are generally lower than urban incomes. Which of the following reasons account for this?

  1. A large number of farmers are illiterate and know little about scientific agriculture.
  2. Prices of primary products are lower than those of manufactured products.
  3. Investment in agriculture has been low as compared to investment in industry.
  1. 1, 2 and 3

  2. 1 and 3

  3. 1 and 2

  4. 2 and 3


Correct Option: D
Explanation:

Prevailing illiteracy in rural areas is low but it does not lower productivity. The farmer has adequate knowledge of farming techniques. Low prices of primary products compared to the manufactured products and investment in the agriculture sector compared to the industry are major factors which account for low incomes in rural economy than in urban economy.

The correct sequence in decreasing order of the four sugarcane producing states in India is

  1. Maharashtra, UP, Tamil Nadu, Andhra Pradesh

  2. UP, Maharashtra, Tamil Nadu, Andhra Pradesh

  3. Maharashtra, UP, Andhra Pradesh, Tamil Nadu

  4. UP, Maharashtra, Andhra Pradesh, Tamil Nadu


Correct Option: B
Explanation:

The decreasing order of sugarcane producing states in India is: Uttar Pradesh - 132427.6842, Maharashtra - 69648.0768, Karnataka - 35732, Tamil Nadu - 33919.17, Andhra Pradesh - 15567 (2012-13 Data).

Indian farmers are unhappy over the introduction of “Terminator Seed Technology” because the seeds produced by this technology are expected to

  1. show poor germination

  2. give low-yielding plants despite the high quality

  3. give rise to sexually sterile plants

  4. give rise to plants incapable of forming viable seeds


Correct Option: C
Explanation:

The terminator gene is a specific genetic sequence inserted into a seed’s DNA. Once activated by a synthetic chemical catalyst of the manufacturer’s choosing, the sequence renders the seed and crop it produces sterile. This means that the farmer cannot retain seeds for future crops, as is the practice in India. The farmer has to repurchase the seeds at a heavy cost.

Regional disparities in India are high and have been rising in recent years because:

  1. There is persistent investment over time only in select locates.
  2. Some areas are agro-climatically less conducive to development.
  3. Some areas continue to face little or no agrarian transformation and the consequent lack of social and economic opportunities.
  4. Some areas have faced continuous political instability.
  1. 1, 2 and 3

  2. 1, 2 and 4

  3. 1, 3 and 4

  4. 2, 3 and 4


Correct Option: A
Explanation:

The most appropriate answer is (1). Investment, weather conditions and agricultural transformation are the best indicators of agricultural development. Political stability plays a very small role in agricultural development.

Consider the following statements:

  1. Maharashtra has the highest area under jawar in India.
  2. Gujarat is the largest producer of groundnut in India.
  3. Rajasthan has the largest area of cultivable wastelands in India.
  4. Andhra Pradesh has the highest per hectare yield of maize in India.

Which of these statements are correct?

  1. 1 and 4

  2. 2 and 3

  3. 1 and 3

  4. 2 and 4


Correct Option: C
Explanation:

Maharashtra produces 52% of the total production of jawar in India. Groundnut production is the maximum in Andhra Pradesh, not in Gujarat. Maize production is the highest in Karnataka, not in Andhra Pradesh, and Rajasthan has the maximum cultivable wasteland in India.

Assertion A: India does not export natural rubber. Reason R: About 97% of India’s demand for natural rubber is met from domestic production.

  1. Both A and R are true and R is the correct explanation of A.

  2. Both A and R are true but R is not the correct explanation of A.

  3. A is true but R is false.

  4. A is false but R is true.


Correct Option: B
Explanation:

India is the fourth largest country regarding consumption of rubber with a total consumption of 631000 tons in 2001, after USA and Japan. Due to high consumption in domestic market, India does not export natural rubber. However, small quantities of natural rubber are exported to get higher prices.

Consider the following statements:

  1. Regarding the procurement of food-grains, Government of India follows a procurement target rather than an open-ended procurement policy.
  2. Government of India announces minimum support prices only for cereals.
  3. For distribution under targeted Public Distribution System (TPDS), wheat and rice are issued by the Government of India at uniform central issue prices to the states/union territories.

Which of the statements given above is/are correct?

  1. 1 and 2

  2. 2 only

  3. 1 and 3

  4. 3 only


Correct Option: C
Explanation:

The policy involves procurement of various food-grains, stock and price levels.

India continues to be dependent on imports to meet the requirement of oilseeds in the country because:

  1. farmers prefer to grow food grains with highly remunerative support prices
  2. most of the cultivation of oilseed crops continues to be dependent on rainfall
  3. oils from the seeds of free origin and rice bran have remained unexploited
  4. it is far cheaper to import oilseeds than to cultivate oilseed crops
  1. 1 and 2

  2. 1, 2 and 3

  3. 2 and 3

  4. 1, 2, 3 and 4


Correct Option: B
Explanation:

The reduction of rainfall and leak of seed preservation technology are the main causes.

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