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This set of Growth and Development Multiple Choice Questions & Answers (MCQs) focuses on Growth And Development Set 1
Q1 | Economic development refers to
- economic growth.
- economic growth plus changes in output distribution and economic structure.
- improvement in the well-being of the urban population.
- sustainable increases in gross national product.
Q2 | The Physical Quality of Life Index (PQLI) combines three indicators. They are
- infant mortality, life expectancy and adult literacy rate.
- crime rate, clean environment and quality of housing.
- air pollution rate, water pollution rate and sanitation.
- health, education and environment.
Q3 | The Human Development Index (HDI) summarizes a great deal of social performance in asingle composite index, combining
- disparity reduction rate, human resource development rate and the composite index.
- longevity, education and living standard.
- minimum schooling, adult literacy and tertiary educational attainment.
- human resource training, development and r&d.
Q4 | As economic development proceeds, income inequality tends to follow a(n) __________curve
- convex.
- inverted u-shaped.
- l-shaped.
- s-shaped.
Q5 | The Harrod-Domar growth model suggests that growth is
- directly related to savings and inversely related to the capital/output ratio.
- directly related to the capital/output ratio and inversely related to savings.
- indirectly related to savings and the capital/output ratio.
- directly related to savings and the capital/output ratio
Q6 | Rostow’s economic stages are
- the preconditions for take-off, the take-off, the drive to maturity, and the age of creative destruction.
- the traditional society, the preconditions for take-off, the take-off, the drive to maturity, and the age of high mass consumption.
- the preconditions for consumption, the replication, the drive to maturity, and the age of high mass consumption.
- the learning curve, the age of high mass consumption, post-take-off, and the drive to maturity.
Q7 | A value of 1 in Gini index represents
- low inequality.
- maximum inequality.
- 100% inequality.
- 1% inequality.
Q8 | The Lorenz curve shows
- patterns of poverty between developed and developing countries.
- the change in gdp per capita over time.
- the poorest’s income shares fall in the early stages of growth.
- income concentration relative to a 45-degree line.
Q9 | Progress that meets the needs of the present without compromising the ability of futuregenerations to meet their own needs is
- the tragedy of commons.
- sustainable development.
- net primary productivity (npp).
- the impossibility theorem.
Q10 | Economic growth can be measured by:
- the cpi
- the cbi
- gdp
- mpc
Q11 | Economic growth can be seen by an outward shift of:
- the production possibility frontier
- the gross domestic barrier
- the marginal consumption frontier
- the minimum efficient scale
Q12 | The concept of economic growth is:
- identical with the concept of economic development
- narrower than the concept of economic development
- wider as compared to that of economic development
- unrelated to the concept of economic development
Q13 | The rate of growth of an economy mainly depends upon:
- the rate of growth of the labour force
- the proportion of national income saved and invested
- the rate of technological improvements
- all of the above
Q14 | The stationary state as envisaged by Adam Smith, is marked by:
- low rate of profit
- subsistence level wages
- high rents
- all of the above
Q15 | Which growth model inspired the use of capital-output ratio for development planning?
- the harrod-domar model
- solow’s model
- kaldor’s model
- feldman’s model
Q16 | With economic growth, the proportion of labour-force engaged in agriculture:
- increases
- decreases
- remains unaffected
- changes in an uncertain manner
Q17 | Which of the following models makes the assumption of constant saving-income ratio?
- kaldor model
- leontief model
- harrod-domar model
- joan robinson model
Q18 | Identify the model which is concerned with the ‘golden age’ equilibrium:
- kaldor model
- joan robinson model
- keynesian model
- domar model
Q19 | India’s First Five Year Plan was based on:
- mahalanobis model
- feldman model
- harrod-domar model
- leontief model
Q20 | The number of deaths of children under one year of age per 1000 live births is the:
- child mortality rate
- infant mortality rate
- toddler mortality rate
- neo-natal mortality rate
Q21 | The Gini coefficient is a technique frequently used to show:
- variations in life expectancy
- income inequality
- differences in infant mortality
- the education gap
Q22 | A graphical technique that can be used to show the degree of inequality that existsbetween two variables is the:
- lorenz curve
- median-line bar graph
- kuznets curve
- semantic differential profile
Q23 | Which of the following explains the term economic growth?
- increase in per capita production
- increase in per capita real income
- structural change in the economy
- all the above are right
Q24 | Which of the following explains the term economic development?
- improvement in the technology involved
- improvement in production
- improvement in distribution system
- all the above
Q25 | An underdeveloped economy is characterized by
- high per capita real income
- large proportion of labour force in the tertiary sector
- state of deprivation of large proportion of population
- all the above