Tag: subsidies, industrial policy and trade policy

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Questions Related to subsidies, industrial policy and trade policy

Multiple choice organisation of commerce and management the nature of the indian economy part 2 industrial revolution in india subsidies, industrial policy and trade policy cottage and small scale industries

The new industrial policy was introduced in ________.

  1. 1989

  2. 1990

  3. 1991

  4. 1992
Reveal answer Fill a bubble to check yourself
C Correct answer
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. 

Multiple choice organisation of commerce and management the nature of the indian economy part 2 industrial revolution in india subsidies, industrial policy and trade policy cottage and small scale industries

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
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

The failure to achieve industrial production targets is typically multifaceted, involving technical issues, infrastructure bottlenecks (power/finance), and poor planning, making 'all of the above' the correct choice.

Multiple choice organisation of commerce and management the nature of the indian economy part 2 industrial revolution in india subsidies, industrial policy and trade policy cottage and small scale industries

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
Reveal answer Fill a bubble to check yourself
D Correct answer
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.
Multiple choice organisation of commerce and management the nature of the indian economy part 2 industrial revolution in india subsidies, industrial policy and trade policy cottage and small scale industries

_____ 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
Reveal answer Fill a bubble to check yourself
B Correct answer
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.

Multiple choice organisation of commerce and management the nature of the indian economy part 2 industrial revolution in india subsidies, industrial policy and trade policy cottage and small scale industries

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
Reveal answer Fill a bubble to check yourself
B Correct answer
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.

Multiple choice organisation of commerce and management the nature of the indian economy part 2 industrial revolution in india subsidies, industrial policy and trade policy cottage and small scale industries

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
Reveal answer Fill a bubble to check yourself
D Correct answer
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.

Multiple choice organisation of commerce and management the nature of the indian economy part 2 industrial revolution in india subsidies, industrial policy and trade policy cottage and small scale industries

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
Reveal answer Fill a bubble to check yourself
B Correct answer
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.

Multiple choice organisation of commerce and management the nature of the indian economy part 2 industrial revolution in india subsidies, industrial policy and trade policy cottage and small scale industries

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
Reveal answer Fill a bubble to check yourself
D Correct answer
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.

Multiple choice organisation of commerce and management the nature of the indian economy part 2 industrial revolution in india subsidies, industrial policy and trade policy cottage and small scale industries

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
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

The 1991 New Industrial Policy was a landmark reform that abolished industrial licensing for most sectors, retaining it only for a small list of industries related to security, strategy, and environmental concerns.

Multiple choice organisation of commerce and management the nature of the indian economy part 2 industrial revolution in india subsidies, industrial policy and trade policy cottage and small scale industries

Presently industrial licensing is not applicable for _________.

  1. cigarettes

  2. industrial explosives

  3. alcohol

  4. electronic goods
Reveal answer Fill a bubble to check yourself
D Correct answer
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.