Test Booklet Code & Serial No.

B
ECONOMICS
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APR - 11224 (To be filled by the Candidate)
Time Allowed : 2 Hours] [Maximum Marks : 200
Number of Pages in this Booklet : 48 Number of Questions in this Booklet : 100
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will carry two marks. All questions of Paper II will be compulsory. 2.
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 APR - 11224/II—B

2
 APR - 11224/II—B
Economics
Paper II

II
Time Allowed : 120 Minutes] [Maximum Marks : 200
Note : This paper contains Hundred (100) multiple choice questions. Each question
carrying Two (2) marks. Attempt All questions.
(100) (2)

1. Who among the following advocated 1.

and active fiscal policy to reduce
unemployment ?
(A) The classical (A)
(B) The Keynesian (B)
(C) Both classical and Keynesian (C)
(D) Monetarist (D)
2. Theory of Money Supply makes 2. H
money supply a function of ........... .
(i) High-powered Money (H) (i) (H)
(ii) Currency in Circulation (ii)
(iii) Credit Money (iii)
(iv) Currency Deposit Ratio (c) (iv) (c)
(v) Time Deposit Ratio (t) (v) (t)
(vi) Reserve Deposit Ratio (r) (vi) (r)
(A) (i), (ii) and (iii) (A) (i), (ii) (iii)
(B) (i), (iii), (iv) and (vi) (B) (i), (iii), (iv) (vi)
(C) (i), (iv) (v) (C) (i), (iv) (v)
(D) (i), (iv), (v) and (vi) (D) (i), (iv), (v) (vi)
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 APR - 11224/II—B

3. According to Okun’s law, 1 extra 3.

point of unemployment costs .........
percent of GDP. (GDP)

(A) 2% (A) 2

(B) 6% (B) 6

(C) 1% (C) 1

(D) 3% (D) 3

4. Match the following : 4.

(a) Increase in Bank Rate (a)
(b) Purchase of Government
(b)
Securities by the Central Bank
(c)
(c) Reduction in CRR
(d) SLR (d)

(i) Can be used as a qualitative (i)

measure
(ii)
(ii) Increases the cost of credit
(iii)
(iii) Induces more credit creation
(iv)
(iv) Increases the availability of
money supply with the
commercial banks (a) (b) (c) (d)
(a) (b) (c) (d) (A) (iv) (i) (ii) (iii)
(A) (iv) (i) (ii) (iii)
(B) (i) (iv) (ii) (iii)
(B) (i) (iv) (ii) (iii)
(C) (ii) (iv) (iii) (i)
(C) (ii) (iv) (iii) (i)
(D) (iii) (ii) (iv) (i)
(D) (iii) (ii) (iv) (i)
4
 APR - 11224/II—B

5. Principles of Supply-side Economics 5.

focus on .................... .

(A) Shifting AS curve to the right (A) AS

(B) Shifting AD curve to the right (B) AD

(C) Shifting AS curve to the left (C) AS

(D) Shifting AD curve to the left (D) AD

6. The Baumol’s theory of transaction 6.

demand for money is definitely an

improvement over the Keynesian

theory which states that ...........

(A) The transaction demand for (A)

money is interest elastic

(B) The transaction of demand for (B)

money is interest inelastic

(C) The transaction of demand for

(C)
money is income inelastic

(D) The transaction of demand for

(D)
money is income and interest

elastic

5 [P.T.O.
 APR - 11224/II—B

7. Expansionary Monetary Policy ...... 7.

income level with ............... in

equilibrium rate of interest.

(A)
(A) increases, fall
(B)
(B) decreases, fall
(C)
(C) increases, increase

(D) decreases, increase (D)

8. As per Output Method of measuring 8.

National Income, value of output
produced by each firm equals ...... .
(A) Total Sales
(A)
(B) Total Wages
(C) Total Sales + Change in (B)

Inventories (C) +
(D) Total Inventories + Total
(D) +
Inputs

Pi , t Qi, o i
Pi , t Qi, o
9. i
100 is the 9. 100
Pi , o Qi , o i
Pi , o Qi , o
i

formula of ........................ .
(A) Paasche Price Index (A)
(B) Laspeyre’s Price Index (B)
(C) Consumer Price Index (C)

(D) GDP Deflator (D)

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 APR - 11224/II—B

10. A balanced combination of safe and 10.

risky assets relates to ................ .
(A) Keynes Liquidity Preference
Theory
(A)
(B) Tobin’s Portfolio Approach to
(B)
Demand for Money
(C) Baumol’s Inventory Theoretic
(C)
Approach
(D)
(D) Friedman’s Asset Demand for
Money

11. If consumption function is given by 11. C = 200 + 0.75Y

C = 200 + 0.75 Y, then the value

of multiplier will be ........... (A) 3

(A) 3
(B) 4
(B) 4
(C) 5
(C) 5
(D) 6
(D) 6

12. If all the elements in a set X are 12. X Y

in a set Y, but all the elements of Y X

Y are not in X, then X is : X

(A) Union set (A)

(B) Power set (B)

(C) Proper subset (C)

(D) Empty set (D)

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 APR - 11224/II—B

13. If y is a function of x, find the 13. y x

mathematical form from its inverse

function : (A) y = f(x)

(A) y = f(x) (B) y = f –1(x)

(B) y = f –1(x) (C) x = f –1(y)
(C) x = f –1(y)
(D) x = f(y)
(D) x = f(y)

14. Suppose the function you want to 14.

maximise is given as 1 2
( q) q 90 q 300
1 2 2
( q) q 90 q 300 . Obtain q
2 (q) q
that maximises (q).
(A) 90
(A) 90
(B) 390
(B) 390
(C) 300
(C) 300
(D) 210 (D) 210

15. Suppose demand for the oranges is 1

15. q 9 p
1 2
given by the function q 9 p. q'(p)
2
Find the differential coefficient q'(p).
1
(A) 1
2 (A)
2
1
(B) 1
2 (B)
2
(C) 4 (C) 4
(D) 9 (D) 9

8
 APR - 11224/II—B

7 2 3 7 2 3
16. Suppose matrix A = 4 8 1 16. A = 4 8 1
5 12 4 5 12 4

is multiplied by the identity matrix.

What you will get ?

7 2 3
7 2 3
(A) 4 8 1
(A) 4 8 1
5 12 4
5 12 4
1 0 0
1 0 0
(B) 0 1 0
(B) 0 1 0
0 0 1
0 0 1
0 0 0
0 0 0
(C) 0 0 0
(C) 0 0 0
0 0 0
0 0 0
7 4 5
7 4 5
(D) 2 8 12
(D) 2 8 12
3 1 4
3 1 4

17. Which one of the following is not the

17.
test of adequacy of index number ?

(A) Time Reversal Test (A)

(B) Factor Reversal Test (B)

(C) Circular Test (C)

(D) Bowley Test (D)

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 APR - 11224/II—B

18. Which of the following is true in case 18.

of geometric mean ?

(i) It is used to find the average

(i)
percent increase in sales,

production etc.

(ii) Used in construction of index (ii)

numbers
(iii)
(iii) Most suitable when large

weights have to be given to

small item and small weights to

large items (A) (i)

(A) Only (i) is true
(B) (i) (iii)
(B) Only (i) and (iii) are true
(C) (i), (ii) (iii)
(C) (i), (ii) and (iii) are false

(D) (i), (ii) and (iii) are true (D) (i), (ii) (iii)

19. The empirical relationship between 19.

mean, median and mode can be

expressed as follows :

(A) Mode = 3 Median – 2 Mean (A) 3 2

(B) Mode = 2 Median – 3 Mean (B) 2 3

(C) Mode = 3 Median – 3 Mean (C) 3 3

(D) Mode = 6 Median – 5 Mean (D) 6 5

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 APR - 11224/II—B

20. If three dice are thrown once, then 20.

there will be how many exhaustive

number of cases ?
(A) 18
(A) 18
(B) 108
(B) 108
(C) 216
(C) 216

(D) 72 (D) 72

21. Which of the following is not a non- 21.

parametric sampling ?

(A) Judgmental sampling (A)

(B) Convenience sampling (B)

(C) Stratified sampling (C)

(D) Quota sampling (D)

22. Which of the following is not used 22.

to test the stationarity ?

(A) Dickey-Fuller Test (A)

(B) Autocorrelation Function Test (B)

(C) Engle-Granger Test (C)

(D) Phillips-Perron Test (D)

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 APR - 11224/II—B

23. For which of the following the 2SLS 23. 2SLS

method is most appropriate method
of estimation ?
(A)
(A) Under Identified Equation
(B) Exactly Identified Equation (B)

(C) Exactly Unidentified Equation (C)

(D) Over Identified Equation (D)
24. Which of the formula is used for 24.
testing significance of the sample

correlation coefficient ?

r n 2 r n 2
(A) t (A) t
1 r2 1 r2

r n 2 r n 2
(B) t (B) t
2 r2 2 r2

r n 3 r n 3
(C) t (C) t
1 r2 1 r2

r n 2 r n 2
(D) t (D) t
1 r2 1 r2

25. If Y is dependent and X2 and X3 are 25. Y X2 X3

independent variables, then r12.3
r12.3
measures the following :
(A) Correlation between Y and X2
(B) Correlation between X2 and X3 (A) Y X2
(C) Partial Correlation between Y
(B) X2 X3
and X3
(C) Y X3
(D) Partial Correlation between Y
and X2 (D) Y X2

12
 APR - 11224/II—B

26. According to Ronald Coase, why do 26.

firms exist ?

(A) They exist to specialize in (A)

production

(B) They exist to make division of (B)

labour feasible

(C) They exist to diversity the (C)

production

(D) They exist to economize on (D)

transaction costs

27. Why is the production possibility 27.

curve concave ?
(A)
(A) There is a difference in the cost

of production of the two goods

(B) There is a difference in the price

(B)
of the two goods

(C) There is a difference in the

(C)
income of the two consumers

(D) Resources are not completely (D)

adaptable to alternative uses

because of the specificity of the

resources

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 APR - 11224/II—B

28. Why does the marginal rate of 28.

substitution of one good for another

diminish ?

(i) Satiability for a particular good (i)

(ii) Goods are imperfect substitutes

(ii)
of each other
(iii)
(iii) The income of the consumer is

fixed
(iv)
(iv) Diminishing marginal utility of
(A) (iii)
goods

(A) Only (iii) (B) (i), (ii) (iii)

(B) Only (i), (ii) and (iii)

(C) (i), (ii) (iv)
(C) Only (i), (ii) and (iv)
(D) (ii), (iii) (iv)
(D) Only (ii), (iii) and (iv)

29. In case of Giffen goods, the negative 29.

income effect is ............... the

substitution effect.
(A)
(A) equal to
(B)
(B) greater than

(C) lower than (C)

(D) the same as (D)

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 APR - 11224/II—B

30. If one person can be made better off 30.

without making any other person
worse off, it is called ............... .
(A) Maximum social welfare (A)
(B) Pareto efficiency
(B)
(C) Pareto improvement
(C)
(D) Interpersonal comparison of
utility (D)

31. What is meant by economic cost ? 31.

(A) Opportunity cost of the self- (A)
owned factors
(B)
(B) Accounting cost + Opportunity
cost of the self-owned factors
(C)
(C) Explicit cost
(D) Minimization of cost (D)

32. Which of the following statements 32.

is/are true about the Kaldor-Hicks
criterion ?
(i)
(i) Hicks has given his criterion
from the losers’ point of view
(ii)
(ii) Kaldor has given his criterion
from the gainers’ point of view
(A) Only (i) is true (A) (i)

(B) Only (ii) is true (B) (ii)

(C) Both (i) and (ii) are true (C) (i) (ii)
(D) Neither (i) nor (ii) is true
(D) (i) (ii)

15 [P.T.O.
 APR - 11224/II—B

33. Assume that there are two firms in 33.

the industry. Firm I have to choose
among five strategies and Firm II
can react by adopting any one of six
open strategies. Similarly, both
firms have counter strategies. Thus,
find how many total payoffs will be
available for both the firms.
(A) 6
(A) 6
(B) 11
(B) 11

(C) 22 (C) 22

(D) 30 (D) 30

34. In what situation, profit maximises : 34.

(A) When the difference between
(A)
total revenue and total cost is
highest

(B) When the difference between (B)

total revenue and total cost is

lowest
(C)
(C) When total revenue is less than
total cost

(D) When total revenue and total (D)

cost curve both are the same

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 APR - 11224/II—B

35. Which of the following is shown by 35.

the Grand Utility Possibility
Frontier ?
Select the correct answer from the
codes given below : (i)
(i) The distribution of welfare
(ii)
between individuals
(ii) The Pareto-efficient outputs of (iii)
two products
(iii) Pareto-efficient allocation of
(iv)
factors into two products
(iv) The Pareto-efficient outputs of
more than two products (A) (i), (iii) (iv)
(A) (i), (iii) and (iv)
(B) (i) (ii)
(B) (i) and (ii) only
(C) (ii) and (iii) only (C) (ii) (iii)

(D) (i), (ii) and (iii) (D) (i), (ii) (iii)

36. What is the reason to used
36.
stockpilling policy by entrepreneur ?
(A) To decrease the cost of
production (A)
(B) To increase the cost of
production (B)

(C) To increase the consumer (C)

surplus

(D) To increase the taxation (D)

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 APR - 11224/II—B

37. .............. refers to the action taken by 37.

central bank of the country to cancel

the impact of its foreign exchange
market intervention on money
supply. (A)
(A) Sterilization
(B)
(B) Capital outflow
(C)
(C) Acceleration
(D) Multiplier (D)

38. The basket of goods included in the 38.

GDP deflator includes ..................
(A) Only Domestically Produced
Goods
(A)
(B) Domestic Goods as well as
(B)
imported goods
(C)
(C) Only capital goods
(D) Only Consumer Goods (D)

39. For narrow measure of money, which 39.

of the following options is
incorrect ?
(A) Note in circulation (A)
(B) Deposits of institution such as
(B) UTI, IDBI, IFCI
UTI, IDBI, IFCI
(C) Cash reserves on hands with all
banks
(C)
(D) Deposits held by a bank in other
banks (D)

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 APR - 11224/II—B

40. What distinguishes a bank from a 40.

non-bank financial institution ?
(A) Accepting time deposits as a (A)
courtesy
(B)
(B) Accepting demand deposits
(C)
(C) Lending
(D) Accepting loans and borrowings (D)

41. ................. are financial 41.

intermediaries that pool the
resources of many small investors by
selling them shares and using the
proceeds to buy securities.
(A)
(A) Derivatives
(B)
(B) Insurance
(C)
(C) Mutual funds
(D) Provident funds (D)

42. Which of the statements gives an 42.

accurate picture of the effect of the
increase in the repo rate ?
(A) The money supply in the (A)
country will decrease
(B) The money supply in the (B)

country will increase

(C)
(C) The money supply in the
country will increase initially
and then decrease
(D)
(D) There is no effect on the money
supply in the country
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 APR - 11224/II—B

43. Capital market deals in lending and 43.

borrowing of .................

(A) Short term credit (A)

(B) Medium term credit (B)

(C) Long term credit (C)

(D) Both medium term credit and (D)

long-term credit

44. Which of the following services, is 44.

not provided by the capital market ?

(A) Provision of Underwriting

(A)
facilities
(B)
(B) Participation in equity market

(C) Expert advice on management (C)

of investment in industrial
securities
(D)
(D) Capital tax calculation and
consultancy based on that

45. First step in the field of mutual fund 45.

industry happened with the setup of

................. by Government of India
and the Reserve Bank. (A)
(A) LIC
(B)
(B) GIC
(C)
(C) UTI
(D)
(D) IDBI
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 APR - 11224/II—B

46. Which of the following is not 46.

included in the supply of money

measure ?
(A)
(A) Inter-bank deposits

(B) Demand deposits with financial (B)

institutions on a net basis

(C) Currency and coins are

(C)
available to the general

population

(D) Deposits with the Reserve Bank

(D)
of India (RBI) in addition to the
(RBI)
above

47. Covered interest parity theorem 47.

takes .................... into account.

(A) Spot and forward rates plus (A)

interest rates in two countries

(B) Spot and forward rates plus call

(B)
money rate

(C) Forward rate and call money

rate (C)

(D) Spot rate and interest rates in (D)

two countries
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 APR - 11224/II—B

48. (i) India adopted LERMS in 1992. 48. (i) 1992 LERMS
(ii) In 1993, dual exchange rate

system was replaced by a

unified floating exchange rate (ii) 1993

in India.

Identify the correct statements :

(A) Statement (i) is correct, (ii) is

incorrect

(B) Statement (i) is incorrect, (ii) is

(A) (i) (ii)
correct

(C) Statements (i) and (ii) both are (B) (i) (ii)

correct
(C) (i) (ii)
(D) Statements (i) and (ii) both are

incorrect (D) (i) (ii)

49. Devaluation of the domestic 49.

currency will help to eliminate the
trade deficit, if goods are ............. in
nature.

(A) Less elastic (A)

(B) More elastic (B)

(C) Completely inelastic (C)

(D) Less inelastic (D)

22
 APR - 11224/II—B

50. British Bankers Association comes 50.

up with the benchmark rates for all
different securities of different
maturities. It is commonly known
as ....................... .
(A)
(A) Mumbai Interbank offered rate
(B)
(B) London Interbank offered rate

(C) Securities Exchange offered (C)

rate
(D)
(D) Covered Interest offered rate

51. Which of the following is not 51.

included in the current account of

the Balance of Payment ?
(A)
(A) Insurance Payment
(B)
(B) Govt. not elsewhere considered
(C)
(C) Transfers
(D)
(D) Bank’s overseas deposits

52. Different prices of any homogenous 52.

commodity in two different markets,

leads to ..................

(A) Speculation (A)

(B) Hedging (B)

(C) Arbitrage (C)

(D) Dumping (D)

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 APR - 11224/II—B

53. (i) Offer curve incorporates 53. (i)

elements of both demand and
supply.
(ii)
(ii) The offer curve of a nation can
be derived from the nation’s
production frontier, its
indifference map and various
hypothetical relative commodity
prices at which trade could take
(A)
place.
(A) Both the statements are true (B) (i) (ii)
(B) (i) is true (ii) is false
(C) (i) (ii)
(C) (i) is false and (ii) is true
(D)
(D) Both the statements are false
54. Match the following : 54.
(a) Inter-industry trade (a)
(b) Intra-industry trade (b)
(c) Product life cycle (c)
(d) Factor price equalization (d)
(i) Vernon (i)
(ii) Samuelson (ii)
(iii) Acquired comparative advantage (iii)
(iv) Different factor endowment (iv)
(a) (b) (c) (d) (a) (b) (c) (d)
(A) (iv) (iii) (i) (ii) (A) (iv) (iii) (i) (ii)
(B) (i) (iii) (iv) (ii) (B) (i) (iii) (iv) (ii)
(C) (iii) (i) (ii) (iv) (C) (iii) (i) (ii) (iv)

(D) (ii) (iv) (i) (iii) (D) (ii) (iv) (i) (iii)

24
 APR - 11224/II—B

55. International Economic Theory 55.

examines :
(A)
(A) The reasons for and the effects
of trade policy and trade
restrictions
(B)
(B) The basis for and the gains from
trade (C) (B)

(C) Only (B)

(D) (A) (B)
(D) Both (A) and (B)
56.
56. In Autarky, a nation’s production
possibility frontier is also its :
(A)
(A) Opportunity cost
(B)
(B) Exchange option/frontier
(C)
(C) Consumption frontier
(D)
(D) Revenue frontier

57. Converting your local financial 57.

assets into foreign financial assets

and vice-versa at the market
determined exchange rate is .........

(A) Reserve Account

(A)
(B) American Depository Receipts
(B)
(ADRs)
(C)
(C) Capital Account Convertibility

(D) Current Account Convertibility (D)

25 [P.T.O.
 APR - 11224/II—B

58. Which of the following are the 58.

limitations of head count index of
measurement of poverty ?
(i)
(i) It doesn’t take into account the
(ii)
intensity of poverty

(ii) It doesn’t indicate how poor the

poor are (iii)

(iii) It doesn’t estimate poverty by

individuals but by households (A) (i)
(A) Only (i)
(B) (ii) (iii)
(B) Both (ii) and (iii)
(C) (iv)
(C) Only (iv)

(D) (i), (ii) and (iii) (D) (i), (ii) (iii)

59. If the production function exhibits 59.

decreasing returns to scale in the
steady state, an increase in the rate
of population would lead to :
(A)
(A) Growth in total output and
growth in output per worker
(B)
(B) Growth in total output but no
growth in output per worker
(C)
(C) Growth in total output but a
decrease in output per worker

(D) No growth in total output or in (D)

output per worker

26
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60. Which of the following options is 60.

correct when we only accomplish two
out of three pillars of sustainable
development ?

(A) Economic + Environmental

Sustainability = Viable (A) + =
(B) Social + Environmental
Sustainability = Bearable (B) + =

(C) Social + Economic

(C) + =
Sustainability = Equitable

(D) Political + Economic

(D) + =
Sustainability = Workable

61. Which of the following theories are 61.

associated with the dependency

theory ? (i)
(i) Development of under- (ii)
development
(iii)
(ii) World-systems theory
(iv)
(iii) Critical minimum effort

(iv) Theory of unequal exchange (A) (i) (iii)

(A) Only (i) and (iii) (B) (i), (ii) (iii)

(B) Only (i), (ii) and (iii)

(C) (i), (ii) (iv)
(C) Only (i), (ii) and (iv)
(D) (ii), (iii) (iv)
(D) Only (ii), (iii) and (iv)
27 [P.T.O.
 APR - 11224/II—B

62. The output elasticity of labour is : 62.

(A) equal to one at the level of (A)

output where average product
is at a maximum

(B) the percentage change in labour (B)

required to produce one more

unit of output
(C)
(C) equal to the ratio of total
product to the quantity of
labour employed

(D) a measure of the percentage (D)

change in output that can result
when the quantity of labour is
changing
63. 24%
63. If the investment rate of an economy
is 24%, capital-output ratio is 4 and 4

the growth rate of population is 1.5%, 1.5%

what would be the growth rate of

per capita income ?
(A) 4.5%
(A) 4.5%
(B) 5.5%
(B) 5.5%
(C) 6.5%
(C) 6.5%

(D) 3.5% (D) 3.5%

28
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64. According to Adam Smith, there is 64.

a mutual dependence between .......

(A) division of labour and the

(A)
extent/size of the market
(B)
(B) invisible hand and business
cycles (C)
(C) capital accumulation and
general price level
(D)
(D) division of labour and industrial
integration
65.
65. What is Palma ratio ?
(A) 1%
(A) Share of richest 1% population
in GNI/Share of poorest 99% 99%
population in GNI
(B) 10%
(B) Share of richest 10% population
in GNI/Share of poorest 10% 10%
population in GNI
(C) 1%
(C) Share of richest 1% population
in GNI/Share of poorest 10% 10%
population in GNI
(D) 10%
(D) Share of richest 10% population
in GNI/Share of poorest 40%
40%
population in GNI

29 [P.T.O.
 APR - 11224/II—B

66. In case of Schumpeter’s model of 66.

economic growth, which of the
following statements is true ?

(A) The capitalist economy (A)

ultimately reaches stationary
state

(B) The profit rate tends to become

(B)
equal to zero at the end of the
development process

(C) Cyclical swings are the cost of

(C)
economic development under
capitalism

(D) The process of economic

development is not a cyclical (D)

process but is a structural

process
67.
67. According to Harrod, a technical
change is neutral if ................. .

(A) MP K /MP L = capital-labour (A)

ratio =

(B) at a constant rate of profit, (B)

capital-output ratio also
remains constant
(C)
(C) it is labour or capital saving
(D)
(D) MPK/MPL = wage rate-interest
=
rate ratio
30
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68. Which of the following banks were 68. 2019

merged with Bank of Baroda in

2019 ? (i)

(i) Union Bank of India (ii)

(ii) Dena Bank

(iii)

(iii) Indian Bank

(iv)
(iv) Vijaya Bank
(A) (i) (ii)
(A) (i) and (ii)
(B) (ii) (iii)
(B) (ii) and (iii)

(C) (ii) (iv)

(C) (ii) and (iv)

(D) (i) and (iii) (D) (i) (iii)

69. Kisan Credit Card Scheme was 69.

introduced by :

(A)
(A) NABARD

(B)
(B) Reserve Bank of India

(C)
(C) Co-operative Banks

(D)
(D) Regional Rural Banks

31 [P.T.O.
 APR - 11224/II—B

70. Which Article in the Constitution of 70.

India deals with the Annual

Financial Statement ?
(A) 111
(A) Article 111
(B) 112
(B) Article 112
(C) 113
(C) Article 113
(D) 114
(D) Article 114

71. Which of the following are the main 71.

objectives of Agriculture Census in

India ?
(i)
(i) To describe the structure and

characteristics of agriculture

sector (ii)

(ii) To provide benchmark data

(iii)
upto village level

(iii) To provide statistical frame of

operational holding (A) (i) (ii)

(A) (i) and (ii) only

(B) (i) (iii)
(B) (i) and (iii) only
(C) (ii) (iii)
(C) (ii) and (iii) only

(D) (i), (ii) and (iii) (D) (i), (ii) (iii)

32
 APR - 11224/II—B

72. What is the main objective of 72.

Ayushman Bharat-Pradhan Mantri

Jan Arogya Yojana ?

(A)
(A) To provide financial protection

to poor and vulnerable families

for their health expenditure

(B) To promote the growth of the (B)

healthcare industry

(C) To provide subsidies to private

(C)
hospitals
(D)
(D) To create a separate healthcare

system for the poor

73. India’s first ‘National Investment 73.

and Manufacturing Zone’ is situated

in :

(A) Andhra Pradesh (A)

(B) Gujarat (B)

(C) Maharashtra (C)

(D) Uttar Pradesh (D)

33 [P.T.O.
 APR - 11224/II—B

74. Square root rule is ................. . 74.

2bY 2bY
(A) C (A) C
r r
2 bY 2bY
(B) C (B) C
r r

2b 2b
(C) C (C) C
r r

2bY 2bY
(D) C (D) C
r r

75. e-NAM scheme was started in which 75. e-NAM

of the following year ?

(A) 2014 (A) 2014

(B) 2015 (B) 2015

(C) 2016 (C) 2016

(D) 2017 (D) 2017

76. India’s Economic Freedom Index 76. 2023

score in the year 2023 was .......

(A) 61.2 (A) 61.2

(B) 52.9 (B) 52.9

(C) 51 (C) 51

(D) 53.3 (D) 53.3

34
 APR - 11224/II—B

77. Which of the following statements 77.

is false ?
(A) MGNREG
(A) MGNREGS is implemented

through an Act

(B) MGNREGS provides some (B) MGNREG

reservation to women

(C) The wage rate of Rs. 100 per

(C) MGNREG
day is provided through

MGNREGS 100

(D) MGNREGS does not provide

(D) MGNREG
wage employment where

unskilled manual work is

involved

78. Which of the following is the correct 78.

formula to calculate National Multi-

Dimensional Poverty Index in

(A) MPI = H*I
India ?

(A) MPI = H*I (B) MPI = H*A

(B) MPI = H*A

(C) MPI = H*P
(C) MPI = H*P
(D) MPI = P*A
(D) MPI = P*A

35 [P.T.O.
 APR - 11224/II—B
79.
79. India’s market capitalisation in the

year 2023 was .............. (A)

(A) Half the GDP of India

(B) 10
(B) 10th largest in the world (C)

(C) Nearby GDP of India (D)

(D) 1/4th of the GDP of India

80. Which of the following statements 80.

is true ?
(A) 2022
(A) India had the largest road

network in the world in the year

2022
(B) 2022
(B) India had the second largest

road network in the world in the

year 2022

(C) India had the largest railway (C) 2022

network in the world in the year

2022

(D) India had the second largest (D) 2022

railway network in the world in

the year 2022

36
 APR - 11224/II—B

81. As per Pollution Haven Hypothesis,

81.
Multinational Companies that

choose to physically invest in foreign

countries, tend to (re)locate to the

countries with ..................... .

(A)
(A) Greater availability of the

labour (B)

(B) The lowest environmental

standards or weakest enforcement

(C)
(C) The highest environmental

standards or the most strict

enforcement
(D)
(D) Lower availability of the labour

82. Environmental Economics involves 82.

question of ...................
(A) Excessive production of
pollution by the market (A)

(B) Insufficient protection of (B)

natural world, due to market
failure
(C)
(C) Both of the above
(D) Only (A) is true (D)

37 [P.T.O.
 APR - 11224/II—B

83. .................... method puts direct 83.

question to individuals to determine

how much they might willing to pay

for environmental resources.

(A) Contingent valuation method (A)

(B) Travel cost method (B)

(C) Hedonic pricing method

(C)
(D) Preventive expenditure

(D)
method

84. How does the government intervene 84.

in the supply and demand of demerit

goods ?

(A)
(A) By giving tax rebate

(B) By applying the sales tax on the (B)

goods
(C)
(C) By increasing production

(D)
(D) By increasing consumption

38
 APR - 11224/II—B

85. As part of National Climate Change 85.

Policy, Indian government is 2030

planning to raise the installed

capacity of renewable energy by the

year 2030 to :
(A) 175 GW
(A) 175 GW
(B) 200 GW
(B) 200 GW

(C) 250 GW
(C) 250 GW

(D) 350 GW (D) 350 GW

86. Significant factor pointing for 86.

demographic dividend is ................

(A) Low dependency ratio (A)

(B) High dependency ratio

(B)

(C) Medium dependency ratio

(C)
(D) High and medium dependency
(D)
ratio

39 [P.T.O.
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87. Consider the following specific 87. 2012

stages of demographic transition
associated with economic
development (2012) :

(1) Low birth rate with low death (1)

rate
(2)
(2) High birth rate with high death
rate (3)

(3) High birth rate with low death

rate

Select the correct order of the above

(A) (1), (2), (3)
stages using the codes given below :

(A) (1), (2), (3) (B) (2), (1), (3)

(B) (2), (1), (3)

(C) (2), (3), (1)
(C) (2), (3), (1)
(D) (3), (2), (1)
(D) (3), (2), (1)
88. NAPCC
88. Which of the following is not the
mission under NAPCC ?
(A)
(A) National Solar Mission
(B)
(B) National Mission for Enhanced
Energy Efficiency
(C)
(C) National Mission on Air

(D) National Water Mission (D)

40
 APR - 11224/II—B

89. Only in ............. state sex ratio was 89. 2011

favourable in 2011, there were 1084 1000

females per 1000 males. 1084

(A) Bihar (A)

(B) Punjab (B)

(C) Haryana (C)

(D) Kerala (D)

90. Harris Todaro model describes the 90.

interrelationship between .............. .

(A) Growth and migration

(A)

(B) Unemployment and inflation

(B)

(C) Growth and unemployment

(C)

(D) Unemployment and migration

(D)

41 [P.T.O.
 APR - 11224/II—B

91. Match the following : 91.

Types of Goods

(1) Public Goods

(1)
(2) Club Goods
(2)
(3) Common Resources

(4) Private Goods (3)

Attributes (4)

(i) Excludability and Rival

Consumption
(i)
(ii) Excludability and Non-Rival

Consumption (ii)

(iii) Non-Excludability and Non-

(iii)
Rival Consumption
(iv)
(iv) Non-Excludability and Rival

Consumption (1) (2) (3) (4)

(1) (2) (3) (4) (A) (ii) (iii) (i) (iv)

(A) (ii) (iii) (i) (iv)

(B) (i) (iii) (iv) (ii)
(B) (i) (iii) (iv) (ii)
(C) (iii) (ii) (iv) (i)
(C) (iii) (ii) (iv) (i)
(D) (iv) (i) (ii) (iii)
(D) (iv) (i) (ii) (iii)
42
 APR - 11224/II—B

92. Match the following : 92.

Principles

(1) Equal Absolute Sacrifice

(1)

(2) Equal Proportional Sacrifice

(2)

(3) Equal Marginal Sacrifice

(3)
Formulas

dU Y T
(i) same for all
d Y T dU Y T
(i)
(ii) U(Y) – U(Y – T) same for all d Y T

U(Y) U(Y T) (ii) U(Y) – U(Y – T)

(iii) same for all
U(Y)
U(Y) U(Y T)
(iii)
(1) (2) (3) U(Y)

(1) (2) (3)

(A) (iii) (ii) (i)

(A) (iii) (ii) (i)

(B) (ii) (i) (iii)

(B) (ii) (i) (iii)

(C) (iii) (i) (ii)
(C) (iii) (i) (ii)

(D) (ii) (iii) (i)

(D) (ii) (iii) (i)

43 [P.T.O.
 APR - 11224/II—B

93. According to recommendation of the 93.

15th Finance Commission, various
criteria and their weightages are
suggested for horizontal devolution
amongst states. Match the following
criteria and weightages according
to it :
(1)
Criteria
(2)
(1) Population and Area (each)
(3)
(2) Forest and Ecology

(3) Income distance (4)

(4) Tax and fiscal efforts (5)

(5) Demographic performance

Weightages (i) 45%

(i) 45% (ii) 2.5%
(ii) 2.5%
(iii) 12.5%
(iii) 12.5%
(iv) 15%
(iv) 15%
(v) 10%
(v) 10%
(1) (2) (3) (4) (5)
(1) (2) (3) (4) (5)
(A) (ii) (i) (iv) (v) (iii)
(A) (ii) (i) (iv) (v) (iii)
(B) (iv) (v) (i) (ii) (iii)
(B) (iv) (v) (i) (ii) (iii)

(C) (iii) (ii) (i) (iv) (v) (C) (iii) (ii) (i) (iv) (v)

(D) (v) (i) (iii) (iv) (ii) (D) (v) (i) (iii) (iv) (ii)

44
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94. According to the budget estimates 94. 2023-24

of union budget 2023-24, the fiscal 2023-24

deficit for the financial year

2023-24 is estimated to be .............

of GDP.
(A) 6.9%
(A) 6.9%
(B) 6.5%
(B) 6.5%
(C) 5.5%
(C) 5.5%
(D) 5.9%
(D) 5.9%

95. According to Wiseman-Peacock 95.

hypothesis, what is Displacement

Effect ?

(A) The movement of public (A)

expenditure from unproductive

to productive level

(B) Change in the source of public (B)

revenue

(C) Change in the structure of

public debt (C)

(D) The movement of public

(D)
expenditure from old lower level

to new higher level

45 [P.T.O.
 APR - 11224/II—B

96. Integration of discretion and 96.

automation into a hybrid form of

fiscal policy is called :

(A) Built in flexibility (A)

(B) Formula flexibility (B)

(C) Expansionary policy (C)

(D) Contractionary policy (D)

97. The zero base budgeting was first 97.

adopted in :

(A) India (A)

(B) Germany (B)

(C) USA (C)

(D) France (D)

98. Which of the following is likely to 98.

be the most inflationary in its

effects ?
(A)
(A) Repayment of public debt
(B)
(B) Repayment of internal debt
(C)
(C) Printing new currency to

finance the deficit

(D) Borrowing from the banks (D)

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 APR - 11224/II—B

99. The idea of ‘democratic 99.

decentralization’ in India was

popularized by :
(A) 1951

(A) A.D. Gorwala Committee, 1951

(B) 1957
(B) B.R. Mehta Committee, 1957

(C) 1978
(C) Ashok Mehta Committee, 1978

(D) 2004
(D) Kelkar Committee, 2004

100. Which of the following taxes is most 100.

likely to be regressive ?

(A) Tax on inherited property (A)

(B) Tax on income earned (B)

(C) Corporate income tax (C)

(D) Goods and Services Tax (GST) (D)

47 [P.T.O.
 APR - 11224/II—B

ROUGH WORK

48