Growth and Development Solved Mcqs set 2

26. Scarcity of capital, technological backwardness and unemployment are

generally found in
A. developed countries

B. underdeveloped countries

C. both

D. none of the above

Answer: B

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27. Which of the following denotes an underdeveloped economy?
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A. high level of inequalities
.c
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B. low level of capital productivity
a
C. a relatively closed economy
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D. all the above
c
Answer: D M
28. The concept of PQLI was developed by
A. morris d morris

B. uno

C. undp

D. oxford poverty and human development initiative

Answer: A

29. The parameter/s of the PQLI is/are

A. life expectancy index

B. standard of living index

C. infant mortality rate

D. a and c

Answer: D

30. The concept of HDI was popularized by

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 Growth and Development Solved Mcqs set 2

A. morris d morris

B. adam smith

C. keynes

D. mahbub ul haq

Answer: D

31. The component/s of HDI is/are

A. life expectancy index

B. infant mortality rate

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C. population growth rate .c
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D. all the above
a
Answer: A
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c Index has been developed by
32. The Multidimensional Poverty
A. the undp
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B. oxford hdi

C. the uno

D. morris d morris

Answer: B

33. Which of following is not a component of Multidimensional Poverty

Index?
A. health

B. education

C. occupation

D. standard of living

Answer: C

34. Which of the following is not an indicator to measure Multidimensional

Poverty Index?
A. electricity

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 Growth and Development Solved Mcqs set 2

B. nutrition

C. cooking fuel

D. profession

Answer: D

35. Economic growth in India will happen necessarily if there is

A. population growth

B. capital formation

C. technical progress in the global economy

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D. all the above .c
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Answer: D
a
36. The financial year in India is
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A. april 1 to march 31 c
B. january 1 to december 31
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C. march 1 to april 30

D. march 16 to march 15

Answer: A

37. A multi-dimensional measure of poverty include includes which of the

following elements?
A. health level

B. education level

C. living standards

D. all of these answer

Answer: D

38. Which of the following is a goal of economic development?

A. economic growth

B. reduction of poverty

C. improvement of human development (education, health, etc).

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 Growth and Development Solved Mcqs set 2

D. all of these answers

Answer: D

39. In the Solow model, if capital is in the steady state, output:

A. will continue to grow.

B. is also in the steady state.

C. will continue to grow, but its rate of growth will slow down.

D. will decline, but its rate of growth will be positive.

Answer: B
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off? te
40. For Rostow, which of the following constitute pre-conditions for take-

a
A. investment rate of at least 5% of gnp
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B. universal primary education
c
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C. development of one or more manufacturing sectors with a high growth rate

D. both a and b

Answer: A

41. Which of the following is not an important objective of development?

A. increases in per capita income

B. the expansion of available choices

C. increases in individual and national self-esteem

D. all of the above are important objectives of d

Answer: D

42. The Harrod-Domar growth model is based on the relationship of what

two economic elements?
A. raw materials and technology

B. savings and investment

C. educational enrolment and number of teachers

D. tariff and tax levels

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 Growth and Development Solved Mcqs set 2

Answer: B

43. Rate of growth of an economy is measured in terms of:

A. per capita income

B. industrial development

C. number of people who have been lifted above the poverty line

D. national income

Answer: D

44. Sen’s welfare theory relies on

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.c
A. individuals’ accomplishments.
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B. individuals’ capabilities.
a
C. individuals’ wealth.
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D. individuals’ education. c
Answer: A
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45. How does Sen define poverty?
A. the lack of material well-being

B. the deprivation of basic capabilities for an individual

C. the lack of supportive social institutions to ensure one’s basic livelihood

D. the lack of a cultural or religious identity

Answer: B

46. Harrod’s definition of rate of growth of an economy do not include

A. warranted (required) rate of growth

B. actual rate of growth

C. sustainable rate of growth

D. natural rate of growth

Answer: C

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 Growth and Development Solved Mcqs set 2

47. The rate of growth of output which is required to fully employ the entire
growing labour force is the
A. warranted (required) rate of growth

B. actual rate of growth

C. sustainable rate of growth

D. natural rate of growth

Answer: D

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48. The instability of equilibrium in the Harrod model was used by him to
o
c
explain the business cycles above and below the trend path of --------
.
A. warranted (required) rate of growth
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a
B. actual rate of growth

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C. sustainable rate of growth
c
D. natural rate of growth

Answer: A
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49. Harrod explained the peaks and troughs of the business cycles
through the use of
A. warranted (required) rate of growth of output

B. actual rate of growth of output

C. sustainable rate of growth of output

D. natural rate of growth of output

Answer: D

50. Harrod argues that in an economy with constant capital-labour ratio,

the ------------ can never be more than the natural rate of growth of output.
A. warranted (required) rate of growth of output

B. actual rate of growth of output

C. sustainable rate of growth of output

D. natural rate of growth of output

Answer: B

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