ESI Test No.

1 (Section 1)

ESI Test No.1

Syllabus Section 1 Q.2 Consider following statements
1. Growth and Development – regarding growth and development
Measurement of growth: National and identify the incorrect statement.
Income and per capita income. 1. Economic development is a broader
2. Poverty Alleviation and concept than economic growth.
Employment Generation in India. 2. The process of development is far
3. Sustainable Development and more extensive. Apart from the rise in
Environmental issues. output, it involves changes in the
composition of output as well as a
Q.1 According to World Development shift in the allocation of productive
Report (2015), around _____ per cent resources to ensure social justice.
of world population lives in countries 3. Nowhere in the world has
which are classified as high income occupational distribution of
developed countries (like USA, population changed in the absence of
Canada, Australia, countries of growth.
Western Europe, New Zealand and A. Only 2
some of the Asian countries such as B. Only 3
Japan, Singapore, Hong Kong), _____ C. Only 2,3
percent of the population lives in D. All are correct*
countries which are in the category of
low income and middle income Q.3 There are three basic questions
developing economies. about the meaning of development,
A. 14, 86 * which of the following is not among
B. 16, 84 them?
C. 18, 82 A. What has been happening to
D. 20, 80 poverty?
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ESI Test No.1 (Section 1)

B. What has been happening to B. Only 2

unemployment? C. Only 3
C. What has been happening to D. All are correct*
growth? *
D. What has been happening to Q.6 According to Goulet, at least
inequality? three basic components as core values
should serve as a conceptual basis and
Q.4 Name the Economist who raised practical guidelines for understanding
three basic questions about the the ‘inner’ meaning of development.
meaning of development? Which of the following is not among
A. Michael Todaro them?
B. C.P Kindleberger A. Self Reliance*
C. Dudley Seers* B. Self Esteem
D. Arthur W. Lewis C. Sustenance
D. Freedom from Servitude
Q.5 According to Todaro,
development must be conceived as a Q.7 Economist _____ stressed the
multi-dimensional process involving relationship between economic
major changes in growth and freedom from servitude
1. Social Structure when he concluded that “the
2. Popular Attitudes advantage of economic growth is not
3. National Institutions that wealth increases happiness, but
4. Acceleration of Economic Growth that it increases the range of human
5. Reduction of inequality choice.”
6. Eradication of absolute poverty. A. Michael Todaro
Identify incorrect one. B. C.P Kindleberger
A. Only 1 C. Dudley Seers
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ESI Test No.1 (Section 1)

D. Arthur W. Lewis* 1. Low income countries with GNI

per capita $728 or less.
Q.8 According to _____, development 2. High income countries with per
in all societies must have at least the capita GNI of $39,812 or more.
following three objectives. 3. All high income countries are not
1. To increase availability and widen necessarily classified as developed
the distribution of basic life sustaining countries.
goods. A. Only 1
2. To raise levels of living, including, B. Only 2
in addition to higher incomes, the C. Only 1,2
provisions of more jobs, better D. All*
education, and greater attention to
cultural and human values. Q.10 Development policies become
3. To expand the range of economic more effective when combined with
and social choices available to insights into human behavior, argues
individuals and nations. the report titled min, society and
A. Michael Todaro* behavior. The report has found that
B. C.P Kindleberger policy decision informed by
C. Dudley Seers behavioral healthcare and education
D. Arthur W. Lewis in part on India. This is the annual
report by whom
Q.9 The World Bank in its World A. IMF
Development Report 2015 classified B. World Bank *
the various countries on the basis of C. Asian Development Bank
per capita GNP. Identify the correct D. UNDP
statements.

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ESI Test No.1 (Section 1)

Q.11 International financial A. Exchange rates are suitable

institutions produce a wide range of conversion factors only for goods
regional and global statistics. The traded internationally
_______, one of these institutions, B. Exchange rates frequently
publishes many of its statistics—such change*
as the growth of real gross domestic C. Exchange rates usually favor the
product (GDP), inflation, and current larger country
account balances—twice a year in D. Exchange rates are arbitrarily set
its World Economic Outlook (WEO). by the central banks.
A. World Bank
B. IMF* Q.14 Vicious Circle is a concept
C. WTO directly related to the
D. UNDP A. Employment Position
B. Distribution of income
Q.12 Cause of poverty is not C. State of Poverty*
A. Low per Capita Income D. Poverty and Wealth
B. Thriftiness*
C. Unemployment Q.15 The term ‘Real’ prefixed to
D. Low Productivity national income as one of the
determining factors of economic
Q.13 Use of an exchange rate to development relates to
convert the GNP of one country into A. Growth
the currency units of another country B. Population of the country
for purposes of comparison has its C. Enables one to reach at a true
limitations because estimate of growth*
D. Production Capacity

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ESI Test No.1 (Section 1)

Q.16 Long term estimates of per A. Real Flow*

capita output escape some of the B. Money Flow
problems of short term estimates but C. Flow of Capital
have their own D. Flow of Stock
A. Problems in calculating output,
since its composition and quality will Q.19 Identify correct statements.
change over a long period* 1. For open economy Gross Domestic
B. Problems in selecting / choosing Product and Gross National Product
the appropriate year to begin in the may be different
study since cyclical variations will 2. For closed economy Gross
often seriously change the results Domestic Product and Gross National
C. Problems in selection/choosing the Product are the same
appropriate year to begin in the study 3. For Open Economy, theoretically,
since cyclical variations will often Gross Domestic Product will never be
seriously change the results equal to Gross National Product.
D. Distortions caused by a growing A. Only 1
population B. Only 2
C. Only 1,2*
Q.17 Consumption of Fixed Capital is D. All
also known as
A. Capital Formation Q.20 Inclusive growth is an important
B. Savings objective of the development process.
C. Depreciation* In this context, which of the following
D. Investment would amount to inclusive growth?
1. Poverty Reduction.
Q.18 Flow of goods and services 2. Disinvestment.
between households are 3. Good Governance.
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ESI Test No.1 (Section 1)

4. Skill Building. B. All agricultural land and all other

Select the correct answer using the natural resources e.g. iron ore,
codes given below. uranium deposits and water power
A. 1, 2 and 3 only C. Only that part of the land that
B. 1, 3 and 4 only* enters into production of food grains,
C. 2, 3 and 4 only as in the phrase “back to the land”
D. 1 ,2, and 4 only D. Only land that is currently in
production, not that which is lying
Q.21 The Ministry of Statistics & fallow
Programme Implementation has
released the new series of national Q.23 Name a social factor, out of the
accounts, revising the base year from following that hinders economic
2004-05 to 2011-12. The base year of development.
national accounts was last revised in A. Lack of effective demand
January 2010. _________ will B. Rigid religious attachments and
henceforth be referred to as GDP. conservatism*
A. GDP at market prices* C. Lack of skilled personnel
B. GDP at constant prices D. Capital Deficiency
C. GNP at market prices
D. GNP at constant prices Q.24 Which of the following
represents important decisions that
Q.22 The “Land” when used as a developing nations must take in the
factor of production, refers to human resource field?
A. All land that is used productively, A. The proportion of its resources to
whether for agriculture or as sites for devote to human capital formation as
industrial plants, dams and bridges* opposed to material capital

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ESI Test No.1 (Section 1)

B. The proper balance between formal 1. Massive increase in investment to

education and vocational training initiate economic development in
C. The type and quality of technical LDCs.
education to be provided 2. A stagnant low level of investment
D. All of the above* 3. Simultaneous investment in all
interrelated industries.
Q.25 ‘Vicious Circle’ in economic A. a-2, b-1, c-3
development connotes B. a-1, b-3, c-2
A. The fact that there is really no C. a-2, b-3, c-1*
point in trying to solve development D. a-1, b-2, c-3
problem, since it is impossible.
B. The fact that poverty itself creates Q.27 If two economies are identical
and encourages the conditions for except for their rates of population
poverty* growth, then if both economies are in
C. The export of capital by a steady sate, the economy with the
country’s small wealthy group to higher rate of population growth will
French Bank known as Cerele- have a
Francaise. A. Higher rate of growth of total
D. None of the above output*
B. Higher rate of growth of output per
Q.26 Match the Pairs: person
List I (Concept) C. Lower rate of growth of total
a. Vicious Circle of Poverty output
b. Balanced Growth D. Lower rate of growth of output per
c. Big Push person
List II (Explanation)

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ESI Test No.1 (Section 1)

Q.28 The under developed countries, B. Only 3

also known as developing countries or C. Only 4
Third World Countries, have common D. Only 11*
characteristics. Todaro classified
these common characteristics into 10 Q. 29 Match the pairs:
broad categories. Identify incorrect List I (MDG)
one. a. MDG 1
1. Lower levels of living and b. MDG 2
productivity c. MDG 3
2. Lower levels of human capital List II (Goal)
3. High rate of population growth and 1. Achieve Universal Primary
dependency burden Education
4. Higher levels of inequality and 2. Eradicate Extreme Poverty and
absolute poverty Hunger
5. Greater social fractionalization 3. Promote Gender Equality Empower
6. Larger rural populations but rapid Women
rural to urban migration A. a-2, b-1, c-3*
7. Substantial dependence on B. a-1, b-3, c-2
agricultural production and lower C. a-2, b-3, c-1
levels of industrialization and D. a-1, b-2, c-3
manufactured exports
8. Underdeveloped financial and other Q. 30 Match the pairs:
markets List I (MDG)
9. Lingering colonial impacts a. MDG 4
10. External Dependence b. MDG 5
11. Dominance of Service Sector c. MDG 6
A. Only 2 d. MDG 7
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ESI Test No.1 (Section 1)

e. MDG 8 4. At least one member has access to

List II (Goal) means of livelihood.
1. Reduce Child Mortality A. Only 1,2,3
2. Improve Maternal Health B. Only 1,3,4
3. Combat HIV/ AIDS, Malaria and C. Only 1,2,4
other Diseases D. All*
4. Global Partnership for
Development Q.32 Arrange the following subsidies
5. Ensure Environmental in descending order.
Sustainability 1. Food Subsidy
A. a-2, b-1, c-3, d-5, e-4 2. Petroleum Subsidy
B. a-1, b-3, c-2, d-5, e-4 3. Fertilize Subsidy
C. a-2, b-3, c-1, d-4, e-5 4. Interest Subsidy
D. a-1, b-2, c-3, d-5, e-4* A. 1-2-3-4
B. 1-3-2-4*
Q.31 Which of the following are the C. 2-3-1-4
provisions of Amrut Mohotsav D. 4-1-2-3
Vision: The Year 2022, 75th Year of
Independence. Q.33 Micro Units Development
1. Housing for all – 2 Crore Houses in Refinance Agency (MUDRA) Bank,
Urnab areas and 4 Crore houses in with a corpus of Rs._____ crores, and
Rural areas. credit guarantee corpus of Rs._____
2. Basic facility of 24*7 power, clean crores to be created.
drinking water, a toilet and road A. 10,000, 2000
connectivity B. 10,000, 3000
3. Providing medical services in each C. 20,000, 2000
village and city. D. 20,000, 3,000*
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ESI Test No.1 (Section 1)

1. Rapid population growth

Q.34 Pradhan Mantri Suraksha Bima 2. Lack of capital
Yojana to cover accidental death risk 3. Illiteracy
of Rs.___ lakh for a premium of just 4. Regional Disparities
Rs.12 per year. 5. Indifferent attitude towards
A. 1 investment
B.1.5 6. Lack of proper implementation of
C. 2* PDS
D. 5 A. All except 1
B. All except 2
Q.35 According to “ Annual C. All except 4
Employment and Unemployment D. All*
Survey Report 2013-14” the rates of
unemployment on Usual Principle Q.37 Which of the following
State (UPS) in the country are as government schemes are efforts
follows: towards elimination of Rural poverty?
The state having maximum 1. Indira Awas Yojana (IAY)
unemployment rate ____ and state 2. DWCRA
having minimum unemployment rate 3. Food for Work Program
____ respectively. 4. Drought Area Development
A. Sikkim, Maharashtra Program (DPAP)
B. Sikkim, Gujarat* 5. Antyodaya Plan
C. Kerala, Maharashtra A. Only 1,2,4
D. Kerala, Gujarat B. Only 2,3,4
C. Only 1,2,3,4
Q.36 Which of the following are main D. All*
reasons for rural poverty?
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ESI Test No.1 (Section 1)

Q.38 The World Bank has set the A. The proportion of people who are
global poverty at $____ a day at undernourished.
present. But, this was calculated on B. The proportion of children under
the basis of the 2005 PPP Index. By five who are underweight.
that measure, India had about 400 C. The mortality rate of children
million poor people in 2010. The younger than age 1. *
revision of the PPP Index suggests the D. The mortality rate of children
Indian economy is much bigger and younger than age 5.
the purchasing power much higher
than estimated earlier. Q.40 If Gross Domestic Product is
A. 1.00 greater than Gross National Product,
B. 1.25* it means
C. 1.50 A. Imports are greater than Exports*
D. 2.00 B. Exports are greater than imports
C. Indirect taxes are greater than
Q.39 International Food Policy subsidies
Research Institute (IFPRI) released D. Subsidies are greater than indirect
the 2014 Global Hunger Index. taxes
Report revealed that 805 million
people were chronically Q.41 The marginal farmer in India is
undernourished across the world. The defined as a cultivator who
2014 GHI is calculated for 128 A. Does not own any land
countries, its score are based on the B. Works on a holding of less than
three equally weighted indicators. one hectare*
Which of the following is incorrect C. Works on a landholding for wages
one? D. Works on a holding of less than
two hectare
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ESI Test No.1 (Section 1)

D. The increase in the rate of capital

Q.42 The study of national income formation*
accounts is of great importance
because it Q.44 Which one of the following
1. Reveals the changes in the size and features, according to Kuznets, is the
composition of the national product most important characteristics of
2. Provides with information about Modern Economic Growth?
the distribution of national income in A. Social and ideological
the society among various groups transformation
3. Reveals the manner in which B. Structural transformation
national expenditure is divided C. High productivity of factors of
between consumption and investment production
A. Only 1 and 2 are correct D. High rate of growth of per capita
B. Only 2 and 3 are correct production*
C. Only 1 and 3 are correct*
D. All are correct

Q.43 R. F. Harrod’s natural rate of Q.45 Match the pairs.

growth is List I
A. The rate of growth which increase 1. Seasonal Unemployment
of population and technical 2. Frictional Unemployment
improvement allow 3. Overstaffing
B. The rate of growth which will 4. Family labour
satisfy profit makers that they have List II
done the right thing a. Peasant economy
C. The actual rate of growth b. Public Sector
c. Industry
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ESI Test No.1 (Section 1)

d. Agriculture C. The infrastructure is likely to be

A. 1-d , 2-b , 3-c, 4-a good
B. 1-a , 2-b , 3-c, 4-d D. Unemployment is likely to be low
C. 1-d , 2-c , 3-b, 4-a
D. 1-a , 2-c , 3-b, 4-d* Q.48 To make meaningful
international comparisons of income
Q.46 Math the pairs. and living standards, which one of the
List I following is most appropriate?
1. V.K.R.V Rao A. An index of poverty
2. S. Chakravarty B. A measure of purchasing power
3. Raja Chellaiah parity*
4. Dandekar and Rath C. An index of infrastructure
List II development
a. Poverty Estimation D. A measure of per capita income
b. National Income Estimation
c. Development Planning Q.49 Which of the following is a
d. Fiscal Policy necessary condition for the high rate
of modern economic growth?
A. 1-d , 2-b , 3-c, 4-a A. Continuous technological
B. 1-b , 2-c , 3-d, 4-a* progress*
C. 1-d , 2-c , 3-b, 4-a B. development of urban centers
D. 1-a , 2-c , 3-b, 4-d C. High rates of population growth
D. Expansion of money supply into
Q.47 In a less developed economy the economy
A. Real wages are likely to be high
B. The primary sector is likely to be Q.50 Trickledown theory ignores the
significant* impact of economic growth on
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ESI Test No.1 (Section 1)

A. Consumption D. A country which is economically

B. Savings vulnerable, with little income and a
C. Income distribution* weak human assets index. *
D. Investment
Q.53 Why Sustainable Development
Q.51 The Lorentz curve shows the is principle of paramount importance
relationship between. in international law?
A. Asset creation and income A. Because it promotes world peace
generation B. Because it is a principle which did
B. Population groups and their not exist before
respective income shares* C. Because it is a principle recognized
C. Unemployment and inflation by the International Court of Justice
D. Wage, labour hours and leisure as well as by a number of leading
international organizations
Q.52 Least developed countries are a D. Because non-governmental
key area in international development organizations support this principle*
law. What is at least developed
country under the approach which Q.54 The World Bank’s
most of the leading international environmentally sustainable
organizations take? development division had developed
A. A country which has a weak Green Index. Which one of the
economy and exports little. following is not a constituent of this
B. A country which has a low tertiary index?
Education Index. A. Product Assets
C. A country which has a deficit in its B. Natural Resources
current account of balance of C. Human Resource
payments D. Social Assets*
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A. also known as Index of Sustainable

Q.55 The United Nations Sustainable Economic Welfare per Capita*
Development Summit for the B. GDP plus resource depletion and
adoption of the post-2015 environmental cost
development agenda was held from C. Resource depletion and
25 to 27 September 2015, in ______ environmental cost divided by GDP
and convened as a high-level plenary per Capita
meeting of the General Assembly. D. Increasing from 1976 to 2000.
A. New York*
B. Washington Q.58 There are _____ separate
C. Geneva indicators that comprise the Genuine
D. Kyoto Progress Indicator. 
A. 20
Q.56 The United Nations Sustainable B. 22
Development Summit for the C. 24
adoption of the post-2015 D.26*
development agenda was held in
September. It has proposed ___ Q.59 Dr. Amartya Sen’s Welfare

Sustainable Goals to be achieved till Theory relies on

2030. A. Individuals’ accomplishments

A. 8 B. Individuals’ capabilities*

B. 10 C. Individuals’ wealth

C. 15 D. Individuals’ education

D. 17*
Q.60 Sustainable Development is
described as the development that
Q.57 The Genuine Progress Indicator
meets the needs of the present without
is
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ESI Test No.1 (Section 1)

compromising the ability of future C. Giving everyone chance to

generations to meet it’s the concept. participate in public life.
In this perspective, inherently the D. All of the above*
concept of sustainable development is
intertwined with which of the Q.63 Which of the following follow

following concepts? the concept of Sustainable

A. Inclusive Growth Development?

B. Carrying Capacity* 1. Fishing the mature fish instead of

C. Social Justice and Empowerment the young fish.

D. Globalization 2. Using wind power instead of

burning coal to generate electricity.
Q.61 What is the value of the Gini 3. The prohibition of trading
coefficient for an income distribution endangered species.
characterized by complete equality of A. 1 and 2
incomes? B. 1 and 3
A. 0* C. 2 and 3*
B. 1 D. 1,2 and 3
C. 0.5
D. Infinity Q.64 Which of the following forms
can be assumed by the
Q.62 Which of the following is interrelationship between economic
objective of Sustainable growth and human development?
Development? 1. High human development is
A. Bettering people’s health and possible at low level of economic
education opportunities. growth.
B. Ensure a clean environment.

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ESI Test No.1 (Section 1)

2. High economic growth and high

economic development are Q.66 Math the pairs.
impossible. List I (Type of Unemployment)
3. High economic growth may not get 1. Frictional
translated into high human 2. Structural
development. 3. Seasonal
4. High economic growth and high 4. Disguised
human development are possible List II (Associated Fact)
depending on the policy choices of a. Non availability of job
the country. b. Marginal productivity id zero.
A. 1,2 and 4 c. Use of obsolete technology for
B. 2 and 3 production
C. 1, 3 and 4* d. Population pressure on hand
D. 1,2 and 3
A. 1-d , 2-b , 3-c, 4-a
Q.65 Consider the following B. 1-b , 2-c , 3-d, 4-a
statements: C. 1-a , 2-c , 3-d, 4-b*
1. Countries with high per capita D. 1-a , 2-c , 3-b, 4-d
income do have high physical quality
of life index (PLQI). Q.67 Which of the following is / are
2. Countries with high PQLI need not among those gases that absorb infra-
necessarily have high per capita red radiations?
income. 1. Carbon Dioxide
A. Only 1 2. Water Vapour
B. Only 2 3. Ozone
C. Both 1 and 2* A. 1 and 2
D. Neither 1 nor 2 B. a and 3
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ESI Test No.1 (Section 1)

C. Only 3
D. a, 2 and 3* Q.70. Which of the following
methods cannot be used for coping
Q.68 Gold mining in Amazon had with oil spills?
produced wastes that can pollute A. Use of micro-organisms to break
waterways. These include down or remove oil
1. Mercury B. Controlled burning to reduce the
2. Cyanide amount of oil in water
A. Only 1 C. Dredging
B. Only 2 D. Use of anti-dispersant*
C. Only 1 and 2*
D. Neither 1 nor 2 Q.71 Eight missions have been
identified with respect to India’s
Q.69 Coal mining can cause National Action Plan on Climate
environmental damage. This could Change. These do not include
happen because of A. The National Mission on
1. Land subsidence Sustainable Habitat
2. The metal rich water formed from B. The National Water Mission
the chemical reaction between water C. The National Mission on Strategic
and rocks containing Sulphur -bearing Knowledge for Climate Change
minerals D. The National Mission for
3. The methane that is released from Promotion of Renewable Energy
the coal seams Technologies*
A. 1 and 2
B. 2 and 3 Q.72 Which of the following can be
C. 1 and 3* said concerning the Bt cotton variety
D. a, 2 and 3 in India?
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1. Bt cotton is the first and only A. Tackle greenhouse gas emission

transgenic crop approved by the from deforestation and land
Genetic Engineering Approval degradation
Committee for commercial cultivation B. Stabilise the greenhouse gas
2. Two Bt cotton varieties have been concentrations in the atmosphere at a
approved high level that would prevent damage
A. Only 1 * to the climate system*
B. Only 2 C. Evolve a financial mechanism that
C. Both 1 and 2 provides grants and low interest loans
D. Neither 1 nor 2 for programmes to relieve pressure on
global ecosystems.
Q.73 What is the Ecomark Scheme D. Study the climate effects of
launched in 1991? greenhouse gases and prevent
A. It aims to encourage consumers to greenhouse gas emissions.
buy products of less environmental
impact. * Q.75 Consider the following
B. It aids manufacturers in producing statements.
goods of less environmental effects. 1. GDP is a better measure of national
C. It is a mark placed on products to income than GNP.
certify their quality 2. GNP is always higher than GDP.
D. It is a scheme that encourages use A. Only 1
of sustainable resources for producing B. Only 2
goods. C. Both 1 and 2
D. Neither 1 nor 2*
Q.74 What is the main objective of
the UN Convention on Climate
Change?
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Q.76 Which of the following is not B. B P Pai

included in the estimated of national C. Amrita Patel
income? D. V Kurien*
A. Sale of collector’s item* Q.80 Who introduced HYV varieties
B. Addition of inventory, but not sale of seeds in India?
of the company’s products A. Pandit Nehru
C. Market rent of sell owned house B. Mahalnobis
D. Cost of government services C. N Borlaud*
D. V Kurien
Q.77 Which of the following
institution prepares the national Q.81 Which of the following
income estimates in India? statements are correct about NRLM?
A. NITI Aayog 1. The SGSY has been restructured
B. MOSPI* and launched as the National Rural
C. Reserve Bank of India Livelihood Mission.
D. Indian Statistical Institute, Kolkata 2. NRLM was recently renamed as
Ajeevika.
Q.78 Green Revolution in India has A. Only 1
contributed to B. Only 2
A. Inter Regional Inequality C. Both 1 and 2
B. Inter Class Inequality D. Neither 1 nor 2
C. Inter Crop Inequality
D. All of these* Q.82 Which of the following
statements are correct about NULM?
Q.79 Who is known as the Father of 1. The centrally sponcered scheme of
White Revolution in India? Swarna Jayanti Shahari Rozgar
A. Dr. M S Swaminathan Yojana has been restructured as the
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National Urban Livelihood Mission Q.85 What is Poverty Gap Index?

(NULM) to be implemented in the 1. It is the difference between the
12th Plan. poverty line and the average income
2. It will be implemented in two of all households living Below
phases, Phase I (2013-2017) and Poverty Line (BPL).
Phase II (2017-2022). 2. It indicates the depth and severity
A. Only 1 of poverty.
B. Only 2 3. IT is expressed in absolute terms.
C. Both 1 and 2 A. Only 1
D. Neither 1 nor 2 B. Only 2
C. Only 1 and 2*
Q.83 SR Hashim Committee was D. All
established for what purpose?
A. For BPL families in Urban Areas* Q.86 What is Sen Index (S) of
B. For BPL families in Rural Areas Poverty?
C. To identify methodology of 1. It was developed by Professor
estimating poverty in India. Amartya Sen.
D. None of the above 2. It is based on the head count ratio
(h), poverty gap index (I) and the Gini
Q.84 NC Saxena Committee was coefficient (G).
established for what purpose? 3. It takes into account the extent and
A. For BPL families in Urban Areas severity of poverty as well as
B. For BPL families in Rural Areas* inequality.
C. To identify methodology of 4. It is expressed as
estimating poverty in India. S = H [ I + (1-I)G)]
D. None of the above A. Only 1
B. Only 1 and 3
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ESI Test No.1 (Section 1)

C. Only 1, 2 and 3 C. Population

D. All* D. Unemployment

Q.87 Which of the following Index Q.90 The inverted U hypothesis is

update poverty line on the basis of related to which of the following
actual consumption data? economic concepts?
A. HPI A. Per Capita Income and
B. FPI* Unemployment
C. MPI B. Per Capita Income and Inequality*
D. HDI C. Unemployment and Inequality
D. Growth Rate and Inequality
Q.88 Among the following who are
eligible to benefit from MGNREGA? Q.91 Consider following statements
A. Adult members of only SC and ST with respect to effect of inequality on
households savings and growth and identify
B. Adult members of BPL households correct statements.
C. Adult members of households of 1. In an extremely poor country,
all backward communities redistributive policies may bring
D. Adult members of any down the rate of savings and the rate
households* of growth in the medium or even in
long run.
Q.89 The Dalton Principle is related 2. Without redistribution, there is a
to which of the following economic fraction of the population who possess
concept? Select the most appropriate the desire and the means to
option. accumulate wealth.
A. Poverty 3. With distribution, no person saves
B. Inequality* anything of any significance.
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A. Only 1 B. Only 2*
B. Only 1 and 3 C. Both 1 and 2
C. Only 1, 2 and 3 D. Neither 1 nor 2
D. All*
Q.92 Consider the following: Q.94 Gini coefficient is derived by:
1. Unemployment is defined as 1. Area between the line of perfect
underutilization of labour force. equality and the Lorenz curve.
2. Underemployment is a problem of 2. Area between the line of perfect
much larger magnitude in India than equality and the line of perfect
conventionally measured inequality.
unemployment. Which of the following are correct?
A. Only 1 A. Only 1*
B. Only 2 B. Only 2
C. Both 1 and 2* C. Both 1 and 2
D. Neither 1 nor 2 D. Neither 1 nor 2

Q.93 Consider the following Q.95 Which of the following is /are

statements: causes of poverty in India?
1. Frictional unemployment involves 1. Under Employment
people being temporarily out of job 2. Overpopulation
due to change in technology. 3. Lack of education and skills
2. It arises because unemployment or A. Only 1
workers quit, usually because the B. Only 1 and 3
individual characteristics of the C. Only 1, 2 and 3
workers don’t fit the characteristics of D. All*
the job.
A. Only 1
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Q.96 Consider the following A. Ministry of Environment

statements. B. Ministry of Environment and
1. Philips Curve is a relationship Forests
between inflation and unemployment. C. Ministry of Environment, Forest
2. Casual employment refers to and Climate Change*
workers who are hired by the day or D. Ministry of Environment and
week or for a particular project. Climate Change
Which of the following are correct?
A. Only 1 Q.99 The United Nations 
B. Only 2 Conference  on Environment and
C. Both 1 and 2* Development (UNCED), also known
D. Neither 1 nor 2 as the Rio Summit, Rio Conference,
and Earth Summit , was a major
Q.97 The salient features of CAPART United Nations conference held
includes: in Rio de Janeiro from 3 to 14 June
1. It was set up on September 1, 1986. ______ .
2. It is a registered body under the A. 1990
ministry of Rural Development. B. 1991
Which of the following are correct? C. 1992*
A. Only 1 D. 1993
B. Only 2
Q.100 Sustainable development is
C. Both 1 and 2* development that meets the needs of
D. Neither 1 nor 2 the present without compromising the
ability of future generations to meet
their own needs. Identify correct
Q.98 Which of the following is statements.
correct name of Ministry related to 1. The concept of needs, in particular
Environment? the essential needs of the world's

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poor, to which overriding priority

should be given

2. The idea of limitations imposed by

the state of technology and social
organization on the environment's
ability to meet present and future
needs.

A. Only 1
B. Only 2
C. Both 1 and 2*
D. Neither 1 nor 2

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