100 Important MCQs of Indian Economy on the Eve of Independence Class 12

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Looking for Important MCQs (Multiple Choice Questions) of Chapter 1 (Indian Economy on the Eve of Independence) of Indian Economic Development of Class 12 CBSE, ISC, UPSC.

We have made a list of very important MCQs of Chapter 1 of the Indian Economic Development Book of Class 12.

Multiple Choice Questions of chapter 1 of Indian Economic Development Book Class 12

Following are the very important MCQs

Which one belongs to the primary sector:-

a) Fishing
b) Water Supply
c) Exports of agricultural products
d) None of the above

Ans – a)

Which one belongs to the tertiary sector:-

a) Growing wheat
b) Making biscuits using wheat flour
c) Trading in wheat
d) None of the above

Ans – c)

Which one belongs to the secondary sector:-

a) Electricity generation
b) Electricity distribution
c) Both a) and b)
d) None of the above

Ans – a)

Indian Economy under British rule was:

a) Developed economy
b) Developing economy
c) Underdevloped economy
d) Growing economy

Ans – c)

Most of India’s population during British rule was dependent on which sector for a living?

a) Primary sector
b) Secondary sector
c) Tertiary sector
d) Nearly equally in all the above sectors

Ans – a)

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Which factor caused low productivity in agriculture?

a) System of land settlement
b) Low level of technology
c) Lack of investment
d) All the above

Ans – d)

British rulers policy towards industrialization in India was to make India mainly:

a) Importer of primary products from Britain and exporter of finished products to Britain
b) Importer of finished products from Britain and exporter of primary products to Britain
c) Exporter of both primary products and finished products
d) Importer of both primary products and finished products

Ans – b)

One of the following was high during the British rule over India:

a) Literacy rate
b) Female literacy rate
c) Infant mortality rate
d) Life expectancy

Ans – c)

The occupational structure of India during the British rule revealed that the Indian economy was:

a) Underdeveloped
b) Developed
c) Stagnant
d) Underdeveloped and stagnant both

Ans – d)

Whose estimate of national income was considered very significant?

a) Debadhai Naroji
b) William Digby
c) RC Desai
d) VKRV Rao

Ans – d)

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The Indian economy on the eve of Independence was:

a) developed
b) Underdeveloped
c) stagnant
d) b) and c)

Ans – d)

_________ is one of the main positive contributions made by the British in India.

a) Construction of all-weather roads
b) Introduction of railways
c) Development of inland trade and sea lanes
d) None of these

Ans – b)

The opening of the _______ Canal significantly reduced the cost of transportation of goods between Britain and India.

a) Agra
b) Munak
c) Suez
d) Conolly

Ans – c)

The main interest of the Zamindar was:

a) to collect rent
b) to improve the condition of agriculture
c) to produce food crops
d) to produce cash crops

Ans – a)

Farming in which crops are produced to provide for the basic needs of the family is called:

a) stagnant agriculture
b) subsistence agriculture
c) commercial agriculture
d) None of these

Ans – b)

India entered the ________ stage of Demographic Transition after the year 1921.

a) Fourth
b) Second
c) Third
d) First

Ans – b)

Read the following statements relating to the industrial sector during British rule and choose the correct sequence of these statements.

a) Cheap imports of British manufactured goods increased in the country.
b) The growth rate of the Industrial sector was very small.
c) India was reduced to be a mere exporter of raw material
d) India faced a shortage of locally made goods

Ans – d)

Despite being the major source of livelihood, the agriculture sector continued to experience stagnation and deterioration during the British rule in India because of:

a) decline of handicraft
b) land tenure system
c) drain of India’s wealth
d) none of the above

Ans – b)

Decay of handicrafts was caused by:

a) British tariff policy
b) competition from man-made machines
c) new patterns of demand
d) all of these

Ans – d)

Read the following statements relating to foreign trade during British rule and choose the correct sequence of these statements.

i) India was an exporter of products like raw silk, cotton, etc.
ii) Britain maintained monopoly control over India’s foreign trade.
iii) India generated a large export surplus
iv) Exports did not result in any flow of wealth into the country

Alternative:

a) i), ii), iii), iv)
b) iv), iii), ii), i)
c) ii), i), iii), iv)
d) iv), i), ii), iii)

Ans – c)

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Initially, the industrial development was confined to the setting up of:

a) Cotton textile mills
b) Jute textile mills
c) Cotton and Jute textile mills
d) Capital goods industry

Ans – c)

Read the following statements relating to the demographic condition of India during British Rule and choose the correct sequence of these statements.

i) Overall mortality rate was very high
ii) Water and airborne diseases were rampant
iii) Public health services were either unavailable or were inadequate
iv) Infant mortality was at an alarming level

Alternatives:

a) i), ii), iii), iv)
b) iii), ii), i), iv)
c) ii), i), iii), iv)
d) iv), i), ii), iii)

Ans – b)

Suez Canal was opened in:

a) 1867
b) 1868
c) 1869
d) 1870

Ans – c)

The major contribution to the GDP of the country on the eve of independence was from:

a) tertiary sector
b) secondary sector
c) primary sector
d) both primary and secondary sector

Ans – c)

Arrange the following events of India before the independence in chronological order:

i) The opening of the Suez Canal
ii) Introduction of the railways
iii) Second stage of demographic transition
iv) Incorporation of the Tata Iron and Steel Company

Alternatives:

a) i), ii), iii), iv)
b) iii), ii), i), iv)
c) ii), i), iv), iii)
d) iv), i), ii), iii)

Ans – c)

On the eve of independence, India was a net exporter of:

a) Primary products
b) Industrial products
c) capital goods
d) agricultural goods

Ans – a)

In the history of demographic transition, which year is regarded as the year of great divide?

a) 1901
b) 1902
c) 1921
d) 1923

Ans – c)

The opening of the Suez Canal in 1869:

a) Raised the cost of transportation between Britain and India.
b) Intensified British control over India’s foreign trade.
c) Reduced the cost of transportation and made access to the Indian market easier.
d) Both b) and c)

Ans – d)

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Gender bias in the society on the level of independence was indicated by:

a) mortality rate
b) literacy rate
c) death rate
d) life expectancy

Ans – b)

One of the significant drawbacks of the industrial policy pursued by the British colonial administration
was the very limited area of operation of the public sector. This sector remained confined only to the _ .

a) railways
b) power generation
c) communications
d) All of these

Ans – d)

India’s demographic condition on the eve of independence was characterised by:

a) High level of literacy, high mortality rates, high life expectancy and high level of poverty.
b) Low level of literacy, low mortality rates, low life expectancy and Low level of poverty.
c) Low level of literacy, low moratlity rates, high life expectancy and high level of poerty.
d) Low level of literacy, high mortality rates, low life expectancy and high level of poverty.

Ans – d)

Detail about the population of British India was first collected in:

a) 1871
b) 1881
c) 1891
d) 1901

Ans – b)

During the colonial period, India’s demographic profile showed:

a) high birth rate
b) high death rate
c) high infant mortality
d) all of these

Ans – d)

The notable economist whose estimates India’s per capita income during the colonial period was considered very
significant:

a) Dadabhai Naoroji
b) William Digby
c) VKRV Rao
d) R.C Desai

Ans c)

Which of the following industries were in operation in our country at the time of independence?

a) Cotton and Jute textile industries
b) Iron and steel industries
c) Sugar, cement and paper industries
d) All of these

Ans – d)

Which of the following statement is true regarding the demographic profile of India during the colonial rule?

a) Life expectancy was 63 years
b) Infant mortality rate was around 70 per thousand live births
c) Overal literacy level was less than 16 percent
d) Both birth rate and death were quite low

Ans – c)

Which of the following are ‘land tenure systems?

a) Zamindari system
b) Mahalwari system
c) Rotwari system
d) All of the above

Ans – d)

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What is ‘per capital income’.

a) Gross income
b) Net income
c) Average income
d) None of the above

Ans – c)

When was India’s first official census operation undertaken?

a) 1850
b) 1869
c) 1881
d) 1921

Ans – c)

The economic policies pursued by the colonial government in India were concerned with the protection and promotion
of the economic interests of their home country. How did these policies affect the Indian Economy?

a) Higher rate of growth of industries, especially Handicraft Industries
b) It transformed the country into supplier of raw materials
c) The country became consumer of finished products from Britain
d) Both b) and c)

Ans – d)

On the eve of independence, the bulk of the population was engaged in:

a) agriculture sector
b) trade and commerce
c) mining sector
d) industrial sector

Ans – a)

Which service remained inadequate under the colonial regime?

a) Law and order
b) Postal services
c) Railways
d) Ports

Ans – b)

Which of the following is the cause of India’s agricultural stagnation and low productivity?

a) Various systems or terms of revenue settlement
b) Low levels of technology and lack of irrigation facilities
c) Lack of resources to investing terracing flood control, drainage and desalinisation of soil
d) All of the above

Ans – d)

Various details about the population of British India was first collected through a census in __ .

a) 1881
b) 1911
c) 1921
d) 1931

Ans – a)

One of the following statements about the Indian economy is not true. Identify the false statement.

a) Indian agriculture was flourishing before the advent of the British.
b) India’s foreign trade throughout the colonial period was marked by a large export
surplus
c) India had a sound industrial base under the British.
d) British developed the Railway System in India for their own benefit.

Ans – c)

The Tata Iron and Steel Company (TISCO) was incorporated in:

a) 1807
b) 1870
c) 1907
d) 1970

Ans – c)

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Which of the following parameters indicated India’s derived healthcare status during the colonial period?

a) Low life expectancy rate
b) High infant mortality rate
c) Low level of literacy
d) Both a) and b)

Ans – d)

_ is considered as one of the most important contributions of the British.

a) Construction of all weather roads
b) Introduction of the railways in 1850
c) Introduction of electric telegraph in India
d) The postal services

Ans – b)

What percent of India’s population was dependent on agriculture on the eve of independence?

a) 75%
b) 50%
c) 85%
d) 65%

Ans – c)

Britishers followed ‘discriminatory tariff policy, what were the main objectives of the same?

a) To have administrative control over India
b) To establish a monopoly over foreign trade
c) To make India industrialized
d) All of the above

Ans – b)

The main intention of the British rulers behind the introduction of railways in India was:

a) to earn profit through foreign trade
b) to break geographical and cultural barriers.
c) cheap and rapid movement of people from one place to another
d) to develop India’s cotton and jute industry

Ans – a)

Which of the following statements is not true about India’s economic development during British Rule?

a) Handicraft products were well known worldwide
b) Agriculture was the main source of livelihood
c) India transformed into supplier and consumer of finished industrial products
d) Per capita income grew by half percent in the first half of twentieth century.

Ans – c)

Commercialisaton of agriculture during British rule led to:

a) More prodcution of food crops
b) Improvement in the economic condition of farmers
c) More production of cash crops used by Britishers as raw material
d) Thea aggregate area under cultivation expanded

Ans – c)

Which of the following is not a true statement?

a) On the eve of Independence, agriculture was the principal occupation of the people in India.
b) Mining is the main secondary occupation.
c) Indian manufactured products enjoyed a worldwide market before the British established themselves in India.
d) The role of the public sector under British rule was confined only to a few industries.

Ans – b)

What was the overall literacy rate during the British period?

a) 10%
b) 12%
c) 14%
d) 16%

Ans – d)

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The occupational structure of India was biased towards

a) agriculture
b) industry
c) foreign trade
d) None of the above

Ans – a)

Which one of the following statements does not characterise the condition of Indian Agricultural condition
on the eve of independence?

a) Agricultural sector was experiencing stagnation
b) Aggregate area under cultivation was contracting
c) Agricultural productivity becam low in absolute terms
d) Cash crops were more produced

Ans – b)

Most of the studies disclosed that India’s growth of aggregate real output during the first half of the 20th
century was less than

a) 0.5%
b) 5%
c) 2%
d) 1.5%

Ans – c)

How did India convert into raw material supplier under British rule?

a) Discriminatory tariff policy
b) By attracting farmers through cash advance payments
c) De-industrialisation
d) All of these

Ans – d)

The fines variety of muslin is called _

a) Malmal
b) Malmal shahi
c) Malmal Khas
d) All of these

Ans – d)

Cotton and jute textile mils begin to take root under British rule in _______.

a) second half of the nineteenth century
b) beginning of the twentieth century
c) after second world war
d) None of these

Ans – a)

Which type of industry was lacking during the British rule?

a) Handicraft
b) capital goods
c) Consumer goods
d) None of the above

Ans – b)

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During British rule productivity of agriculture was low due to

a) low level of technology
b) lack of irrigation
c) low uses of fertilizers
d) All of the above

Ans – d)

The main reason for stagnation in the agricultural sector during British rule was:

a) Land settlement system
b) De-industrialisation
c) Lack of technology
d) Commercialization of agriculture

Ans – a)

The first official Census was conducted in the year ___________.

a) 1891
b) 1921
c) 1781
d) 1881

Ans – d)

Which of the following shows a decline in the workforce in the agriculture sector under British rule?

a) Rajasthan
b) Odisha
c) Punjab
d) Bengal

Ans – d)

Some states witnessed a decline in the independence of the workforce on the agricultural
sector during the British period, which were the states?

a) Tamilnadu
b) Maharashtra
c) West Bengal
d) All of the above

Ans – d)

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The British government used Indian foreign exchange surplus in which of the following ways?

a) Pay for war expenses
b) Pay for the deficit of the British Government
c) Payment of salaries
d) All of the above

Ans – d)

The export surplus during the British rule was used:

a) To make payments for expenses incurred by an office set up by the
colonial government in Britain
b) To meet expenses on the war fought by the British government
c) To export invisible items
d) To import invisible items

Ans – a), b), d)

The foundation of the British Empire in India was laid by the Battle of Plassey fought in ________.

a) 1757
b) 1857
c) 1763
d) 1747

Ans – a)

Introduction of railways by Britisher served the following purposes?

a) It broke the geographical and cultural barriers
b) Enhanced commercialisation of agriculture
c) Enhanced economic condition of some sections of society
d) All of the above

Ans – d)

In general, there are three phases in a demographic profile of a country. Which of the following signifies the second stage of the profile.

a) High birth rate
b) Low death rate
c) High death rate
d) Both a) and b)

Ans – d)

What was the sole purpose of British rule in India?

a) To reduce the country to the status of raw material supplier
b) Industrialisation
c) Discriminatory tariff policy
d) To introduce railway

Ans – a)

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Economic development of a country is said to be low when:

a) its agriculture sector is backward
b) its per capita income does not rise
c) its population growth increase
d) All of these

Ans – d)

The colonial government systematically industrialized Indian handicrafts. What was the outcome of the same?

a) Increase in unemployment
b) Increase in demand for British goods
c) Increase in demand for imports
d) Both a) and b)

Ans – d)

Which industry received the major setback during the colonial rule?

a) Cement
b) Handicraft
c) Paper
d) Iron and Steel

Ans – b)

India’s jute industry suffered heavily due to _______ after partition.

a) Lack of raw material
b) Famines
c) Earthquakes
d) None of these

Ans – a)

Agricultural productivity was low under the British rule due to________.

a) various systems of land settlement
b) low level of technology
c) poor irrigation facility
d) All of these

Ans – d)

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Which of the following country was not the major part of India’s trade under British rule?

a) Britain
b) China
c) Iran
d) Russia

Ans – d)

British rule introduced railways in India in the year _________.

a) 1849
b) 1850
c) 1851
d) 1852

Ans – b)

More than half of India’s foreign trade was restricted to:

a) China
b) Britain
c) Korea
d) Sri Landa

Ans – b)

Which of the following was not the reason for the drain of Indian wealth under the British rule?

a) Administrative expenses in the office
b) War fought by Britishers
c) Import of invisibles
d) None of these

Ans – d)

Which of the following is not a social development indicator?

a) Literacy level
b) Mortality rate
c) Life expectancy
d) Per capita income

Ans – d)

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The decline of handicraft industries led to:

a) Massive unemployment
b) Import of Finished Goods
c) Export of Finished Goods
d) All of these

Ans – a), b)

Which industry was adversely affected due to partition?

a) Silk
b) Cotton
c) Jute
d) Nylon

Ans – c)

When did the British introduce railways in India?

a) 1857
b) 1850
c) 1852
d) 1907

Ans – b)

What were the benefits of the introduction of Indian railways under British rule?

a) Enables people to take long distance
b) Break geographical and cultural barriers
c) Commercialisation of India agriculture
d) All fo these

Ans – d)

_________ was the main source of livelihood for most of the people during the colonial rule.

a) Industries
b) Agriculture
c) Both a) and b)
d) Neither a) nor b)

Ans – b)

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The opening of the Suez canal served as a direct route for ships operating between:

a) India and America
b) India and Sri-Lanka
c) India and Pakistan
d) India and Britain

Ans – d)

Which one of the following is not the impact of almost two centuries long British rule?

a) Agriculture sector has surplus labor and low productivity.
b) Infrastructure facilities need up-gradation and expansion
c) Occupational structure show signs of improvement as people started to shift from
agriculture to industries.
d) Industries crying for diversification

Ans – c)

Which of the following is not a positive contribution of Britishers to Indian economy?

a) Introduction of Proper monetary system
b) Control over famine
c) Effective administration
d) None of these

Ans – d)

Which year is described as a “Year of Great Divide”?

a) 1931
b) 1921
c) 1941
d) 1911

Ans – b)

__________ was the most important infrastructure developed during the British rule.

a) Airways
b) Railways
c) Waterways
d) None of these

Ans – b)

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Stagnation in agriculture is mainly caused due to:

a) Land settlement system
b) De-industrialisation
c) Lack of technology
d) Production for market

Ans – a)

Suez Canal was the direct route for ships between and _.

a) India, Paksitan
b) India, America
c) India, Sri Lanka
d) India, Britain

Ans – d)

Occupational structure refers to

a) Distribution of working force among the different occupations
b) Nature of different occupations
c) Size of the working force in a country
d) Number of people living in a country

Ans – a)

Which of the following statement is false in the context of the industrial sector during British rule?

a) There was a decline in handicraft industries
b) The British government promoted capital goods industries
c) Public sector played a significant role
d) There was the low contribution of industries to GDP

Ans – b), C)

Which of the following was not the characteristic of roads under the British rule?

a) Serve the purpose of mobilizing army
b) Drawing our raw material to the nearest railway station
c) All-weather roads were developed
d) None of these

Ans – c)

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Occupational structure shows:

a) Workforce in different sectors
b) gross domestic product from different sectors
c) Either a) or b)
d) Neither a) nor b)

Ans – a)

Identify the statement which is not true in the context of the demographic condition of India during British rule:

a) High Birth Rate
b) Low Death Rate
c) Low Infant Mortality Rate
d) High Literacy Rate

Ans – b), C), d)

During the British rule, the condition of India’s foreign trade was:

a) Exporter of raw material
b) Surplus on account of foreign trade was spent on war expenses
c) Importer of finished goods produced in the British Industries
d) All of these

Ans – d)

_______ coast canal was abandoned under British rule due to failure in competition
with railways.

a) Gujarat
b) Goa
c) West Bengal
d) Odisha

Ans – d)

Dates for depositing a specified sum of revenue were fixed under __ system.

a) Zamindari
b) Revenue Settlement
c) Land Settlement
d) None of these

Ans – b)

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Birth rate and death rate during the colonial rule was:

a) Both birth rate and death rate were high
b) Both birth rate and death rate were low
c) Birth rate was high, while the death rate was low
d) Birth rate was low, while the death rate was high

Ans – a)

From 1881 onwards, census operations in India were carried out after every _____ years.

a) 5
b) 15
c) 10
d) 20

Ans – c)

Muslin is a cotton textile that had its origin in _________.

a) Uttar Pradesh
b) Bengal
c) Bihar
d) Gujarat

Ans – b)

About _ percentage of India lived in villages under British rule.

a) 60
b) 70
c) 80
d) 85

Ans – d)

The main reason for the decline of the Handicraft Industry was:

a) Heany tariff on the export of raw materials from India
b) Heavy-duty on Indian handicrafts products
c) Heavy tariff on import of finished goods from Britain
d) All of these

Ans – b)

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Occupational structure refers to:

a) Quantum of the working force in a country
b) Nature of different occupations
c) Distribution of working persons across different industries and sectors
d) Age group of the working force in a country

Ans – c)

_________ sector experience growth due to expansion of aggregate area under cultivation.

a) Agricultural
b) Industrial
c) Tertiary
d) Both b) and c)

Ans – a)

Commercialization of agriculture means:

a) production of cash crops instead of food crop
b) selling of food crop after self-consumption
c) Either a) or b)
d) Neither a) nor b)

Ans- a)

The first train on Indian soil was run in 1853 between?

a) Bombay to Thane
b) Thane to Bombay
c) Bombay to surat
d) None of these

Ans – a)

India entered the _ stage of Demographic Transition after the year 1921.

a) Fourth
b) Second
c) Third
d) First

Ans – b)

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Zamindari system was first implemented in __________ presidency under British rule.

a) Bihar
b) Goa
c) Madras
d) Bengal

Ans – d)

What was the motive of the systematic de-industrializing Indian economy by Britishers?

a) Mere exporter of raw material for Britain
b) Market for finished products made in Britain
c) Forgiving Indians better job opportunities
d) Mere exporter of raw material for Britain and market for finished products made in
Britain.

Ans – d)

Sugar, paper, and cement industries came up under British rule after the:

a) second world war
b) first world war
c) third world war
d) None of these

Ans – a)

The reason for the bleak growth of the industrial sector under British rule was the limited role of _________ sector.

a) public
b) private
c) semi-public
d) semi-private

Ans – a)

The second stage of demographic transition began after _______.

a) 1921
b) 1947
c) 1881
d) 1932

Ans – a)

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The female literacy level was less than __ percent under the British rule.

a) 6%
b) 7%
c) 8%
d) 9%

Ans – b)

______ sector account for the largest share in the workforce under the British rule.

a) Primary
b) Secondary
c) Tertiary
d) None of these

Ans – a)

When production of the crop is done for sale in the market rather than self-consumption then this term is known as:

a) marketable loss
b) marketable surplus
c) marketable profit
d) None of these

Ans – b)

India’s direction of trade was mostly restricted to _

a) Russia
b) South Africa
c) Britain
d) China

Ans – c)

The year of _______ is known as the year of the great divide.

a) 1910
b) 1920
c) 1921
d) 1925

Ans – c)

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Most of the employment was found in _ sector under British rule.

a) industry
b) agriculture
c) services
d) All of these

Ans – b)

The foundation of the British empire in India was laid by the Battle of Plassey fought in ____.

a) 1765
b) 1750
c) 1760
d) 1757

Ans – d)

Which of the following industries received the major setback during the
colonial rule?

a) Jute industry
b) Handicraft industry
c) Cement industry
d) All of these

Ans – b)

Which of the following statement was true in the context of the demographic condition of India under British rule?

a) High literacy rate
b) Low infant mortality rate
c) High birth rate
d) High life expectancy

Ans – c)

The infant mortality rate under British rule was __ per thousand.

a) 215
b) 214
c) 218
d) 112

Ans – c)

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Infant mortality rate and illiteracy were _ and _ under British rule.

a) low, low
b) high, high
c) low, high
d) high, low

Ans – b)

Economic development of a country is said to be low when:

a) its agriculture sector is backward
b) its per capita income does not rise
c) its population growth increase
d) All of these

Ans – d)

Which of the following is India’s trade characteristic during the colonial period?

a) Export of raw material and import of finished goods
b) High tax of exports from India
c) the United States of America was the primary trade partner
d) All of these

Ans – a)

Which of the following was not the estimator of national income under British rule?

a) Dadabhai Naroji
b) VKRV Rao
c) Amartya Sen
d) RC Desai

Ans – c)

In 1850, _ was the most important contribution of Britishers in Indian economy.

a) Development of waterways
b) Starting of paper industries
c) Introduction of railways
d) Introduction of communication system

Ans – c)

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Before 1921, India was under ___ stage of demographic transition.

a) First
b) Second
c) Third
d) None of these

Ans – a)

The contribution of the secondary sector in the national income of India at the time
of independence was _ percent.

a) 20
b) 17
c) 40
d) 10

Ans – c)

Landholdings at the time of independence were ____.

a) large
b) small
c) fragmented
d) small and fragmented

Ans – d)

When farming is done to focus on the need of the family, it means:

a) Stagnant farming
b) Subsistence farming
c) Commercial farming
d) Subsistence and commercial farming

Ans – b)

The high infant mortality rate is the sign of:

a) extreme poverty
b) poor healthcare
c) Both of these
d) None of these

Ans – c)

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_________ Shows gender biasness in Indian society at the time of independence.

a) Mortality rate
b) Literacy rate
c) Death rate
d) Life expectancy

Ans – b)

Foreign travelers defined the finest quality of muslin, a type of cotton textile with its origin in Bengal as __________.

a) Malmal shahi
b) Malmal Khas
c) Malmal Kapda
d) Both a) and B)

Ans – d)

British enabled India to be an importer of raw materials and an exporter of finished goods.

a) True
b) False
c) Partially true
d) partially false

Ans – b)

The opening of the Suez Canal in 1869 decreased the cost of transportation and made the Indian market accessible.

a) True
b) False
c) Can’t say
d) Partially true

Ans – a)

Life Expectancy during British India was _______ .

a) 66 years
b) 70 years
c) 44 years
d) 50 years

Ans – c)

The number of deaths of children less than one year of age per 1000 live births is referred to as ________.

a) Maternal Mortality rate
b) Infant Mortality rate
c) Infant Mortality ratio
d) Maternal Mortality ratio

Ans – b)

What was India’s growth rate of aggregate real output and per capita output during the first half of the twentieth century?

a) Lenn than 1 percent and 0.2 percent respectively
b) Less than 2 percent and 0.5 percent respectively
c) Less than 3 percent and 0.2 percent respectively
d) Less than 3 percent and 0.5 percent respectively

Ans – b)

Whose estimates are considered as more reliable with regard to estimation of national income and per capita income during the colonial period?

a) Dadabhai Naroji
b) William Digby
c) Findlay Shirras
d) V.K.R.V Rao

Ans – d)

Indian economy on the eve of independence is characterized as

a) Stagnant economy
b) Backward economy
c) Colonial economy
d) All of the above

Ans – d)

The main objective of the Zamindars during the land settlement system was to

a) Improve the economic condition of the cultivators
b) Improve the crop yield by making significant contributions in technology and fertilizers usage
c) Collection of rent with no interest in the economic condition of the cultivators
d) Cooperating with colonial government to improve the condition of agriculture.

Ans – c)

The main reason for the stagnation of Indian agriculture during British Rule was

a) Technological Deceleration
b) Problems of Irrigation facilities
c) Land settlement system
d) De-industrialisation

Ans – c)

The main reason for food shortage in India after partition was

a) Low productivity in Indian agriculture
b) Food surplus areas of west Punjab and Sindh went to Pakistan
c) Consideration use of fertilizers
d) All of the above

Ans – b)

Which of the given unemployment is predominant in the context of Indian agriculture?

a) Structural unemployment
b) Frictional unemployment
c) Disguised unemployment
d) All of the above

Ans – c)

Which of the given statements are correct with regard to commercialisation of agriculture?

i) Production for self-consumption
ii) Production of cash crops instead of food crops
iii) Production of crops for sale in the market
iv) Commercialisation improved the economic status of the farmers

Options

a) i) and iv)
b) ii) and iii)
c) ii) and iv)
d) iii) and iv)

Ans – b)

Indian farmers voluntarily agreed to switch from subsistence farming towards commercialization of agriculture. The
given statement is

a) True
b) False
c) Partially true
d) Partially false

Ans – b)

Which two industries were adversely affected as a result of partition?

a) Cotton and sugar
b) Cotton and Jute
c) Jute and Sugar
d) Sugar and Food processing industries

Ans – b)

De-industrialization acted as a major setback to which Indian Industry?

a) Coal
b) Iron and Steel
c) Handicrafts
d) Cotton textiles

Ans – c)

The Opening of the Suez Canal in 1869:

a) Raised the cost of transportation between Britain and India.
b) Intensified British control over India’s foreign trade.
c) Reduced the cost of transportation and made access to the Indian market easier.
d) Both b) and c)

Ans – d)

Which one of the following was high during British rules in India?

a) Literacy Rate
b) Female literacy
c) Infant Mortality Rate
d) Life Expectancy

Ans – c)

The chief causal factor responsible for the decline of the handicrafts industry in India was

a) Heavy duties on Indian handicrafts products
b) High tariff on the export of raw materials from India
c) High tariff on import of British goods into India
d) All of the above

Ans – a)

Which of the following statements does not characterise demographic condition of India on the eve of independence?

a) Literacy level was less than 16%
b) Water and air borne disease were rampant
c) Mortality rate was low
d) Life expectancy was 44 years

Ans – c)

Choose the statements which truly state about infrastructure condition on the eve of India’s independence.

a) Roads were constructed by Britishers primarily for movement of army.
b) Railways were introduced in 1820.
c) Indian exports expanded during this period.
d) Britishers took measures to develop inland trade and sea routes

Ans – a), c) and d)

Industries that can produce machine tools that are in turn used for producing articles for current consumption are
called

a) Consumer goods industry
b) Intermediate goods industry
c) Capital goods industry
d) Finished goods industry

Ans – c)

Before the advent of the British rule, India was well known for its handicraft industries in the fields of
cotton and silk textiles, metal and precious works etc. These products enjoyed a worldwide market due to:

a) reputation of the fine quality of material used.
b) high standards of craftsmanship seen in all imports from India
c) Both a) and b)
d) wide exports market

Ans – c)

The British rule led to the collapse of India’s world famous handicraft industries. What was its effect on Indian
economy.

a) Massive unemployment in India
b) Increasing imports of cheap manufactured goods from Britain
c) Both a) and b)
d) Neitehr a) not b)

Ans – c)

Which of the following does not highlight the status of the industrial sector during the colonial period?

a) Capital goods industries were lacking
b) British followed equi-proportional tariff policy
c) Conversion of India as a sprawling market for British finished goods
d) Indian handicraft industries declined.

Ans – b)

Which of the following industry was covered under the public sector during the colonial period?

a) Railways
b) Animation
c) Information technology
d) All of the above

Ans – a)

Growth rate of _ sector was very small in GDP>

a) agriculture
b) industrial
c) serice
d) All of these

Ans – b)

The Tata Iron and Steel Company was incorporated in __ .

a) 1907
b) 1910
c) 1921
d) 1850

Ans – a)

The main focus of the Industrial Policy was pursued during the colonial period.

a) Strengthen the Indian industrial base
b) Strengthen the flourishing industrial base of Britain
c) Strengthening the industrial base of India along with Britain
d) Can’t comment, the goals of the industrial policy during the colonial period wan not clear.

Ans – b)

The major intention behind the de-industrialisation move by the colonial government in India was to promote capital goods
industry and domestic production of finished goods.

a) True
b) False
c) Partially true
d) Partially false

Ans – b)

The major characteristic of India’s foreign trade during the colonial period was

a) It maintained a huge export surplus
b) It maintained an overall deficit
c) It maintained the trade balance
d) Imports were always greater than imports

Ans – a)

Which of the given statements characterize the status of the Indian economy during British rule?

i) A vibrant economy with well-developed infrastructure
ii) Stagnant economy with a heavy reliance on the agricultural sector
iii) A flourishing market and integration with the global economy
iv) Prevalence of rampant poverty and unemployment

options

a) i) and iii)
b) i) and iv)
c) ii), iii) and iv)
d) ii) and iv)

Ans – d)

During the colonial period, there was regional variation in the occupational structure. Parts of the then Madras Presidency,
Bombay and Bengal witnessed a decline in the dependence of the workforce on the agriculture sector with a
commensurate increase in the manufacturing and the services sectors. However, there had been an increase in the share
of workforce in agriculture in states such as __ .

a) Orissa
b) Rajasthan
c) Punjab
d) All of these

Ans – d)

The second state of demographic transition began after _ .

a) 1907
b) 1921
c) 1930
d) 1850

Ans – b)

Arrange the following events in chronological order in the context of the Indian economy and choose the correct alternative:

i) Establishment of TISCO
ii) First census data collected during British India
iii) Opening of the Suez Canal
iv) Introduction of railways by the British

Options

a) ii, iv, iii, i
b) iv, ii, iii, i
c) iv, iii, ii, i
d) i, ii, iii, iv

Ans – c)

What was the condition of foreign trade during British rule?

a) net exporter of raw materials
b) net importer of finished goods produced in Britain
c) Surplus on account of foreign trade was spent on war expenses
d) All of the above

Ans – d)

British restricted India’s foreign trade with which of these nations?

a) Britain, China, Americans, and Sri Lanka
b) Britain, China, the Americas, and Iran
c) Britain, Americas, Sri Lanka, and Iran
d) Britain, China, Sri Lanka, and Iran

Ans – d)

During the British colonial rule, Life expectancy was also very low _ in contrast to the present
69 years.

a) 33 years
b) 44 years
c) 55 years
d) 66 years

Ans – b)

During the colonial period, the occupational structure of India showed little sign of change. The agricultural sector accounted for the largest share of the workforce, which usually remained at a high of i) percent. While the manufacturing and the service sectors accounted for only ii) _ and iii) __ percent
respectively.

a) i) 55 – 60 ii) 8 iii) 5 – 10
b) i) 60 – 65 ii) 9 iii) 10 – 15
c) i) 65 – 70 ii) 10 iii) 15 – 20
d) i) 70 – 75 ii) 10 iii) 15 – 20

Ans – d)

Which of the given statement is incorrect with regard to the demographic status of India on the eve of independence?

a) The first census year of British India was 1881
b) India entered the second stage of demographic transition post-1941
c) Female literacy rate was as low as 7%
d) Infant Mortality rate started at 218 per thousand live births

Ans – b)

India entered the _ stage of demographic transition after the year 1921.

a) fourth
b) second
c) third
d) first

Ans – b)

The major reason (s) for the alarming mortality rate during British India include

a) Occurrence of frequent natural calamities
b) Lack of public health facilities
c) famines
d) All of the above

Ans – d)

During the British colonial rule, the various social development indicators were not quite encouraging. The
overall literacy level was _ .

a) Less than 16%
b) About 7%
c) About 1%
d) Less than 5%

Ans – a)

During the British colonial rule, the overall mortality rate was very high and in that, particularly, the infant
mortality rate was quite alarming about __ per thousand in contrast to the present rate of 40 per
thousand.

a) 118
b) 218
c) 40
d) 68

Ans – b)

The reason for the Great Bengal Famine of 1943-44 as per Amartya Sen was

a) Depression preceding the World War II
b) District barriers of procurement, speculation, and hoarding
c) All-time low level of rice production
d) Cyclone that destroyed the autumn crop

Ans – b)

The total number of children of age group 14 and 15 years attending school as a percentage of a total number of children in the same age group is referred to as _______.

a) Net student Ratio
b) Net attendance Rate
c) Net Attendance Ratio
d) Net Literacy Rate

Ans – c)

During the British rule, the iron and steel industries began coming up in the beginning of the 20th century.
__ was incorporated in 1907.

a) Cotton and Jute Textile Mills Ltd
b) Tata Iron and Steel Company
c) AN Steels India Ltd
d) Sharan Iron Steel Industries Ltd

Ans – b)

Before 1921, India was in the first stage of __ . The sencond stage began after 1921. However,
neither the total population of India nor the rate of population growth at this stage was very high.

a) Population Growth
b) Development
c) Demographic transition
d) Economic Growth

Ans – c)

The demographic status of British Indians can be highlighted through

a) Alarming mortality rate 218 per thousand
b) Low literacy rate close to 16%
c) Low level of life expectancy close to 44 years
d) All of the above

Ans – d)

The main reason for the introduction of the telegraph during the colonial period was to maintain law and order

a) True
b) False
c) Partially true
d) Partially false

Ans – a)

During the British colonial rule, though agricultural productivity became low, there was some evidence of a relatively
higher yield of cash crops in certain areas of the country due to _ .

a) Commercialisation of agriculture
b) Government support
c) Irrigation facilities
d) Increased resources

Ans – a)

During the second half of the 19th century, the cotton textiles mills, mainly dominated by Indians, were located
in __ .

a) the western parts of the country, namely Maharashtra and Gujrat
b) Bengal
c) Orissa
d) None of these

Ans – a)

Which of the given statement is true regarding the condition of Infrastructure?

a) Balanced regional development in infrastructure in all the areas
b) Development in the areas of transport and communication
c) No development in the area of road and railways
d) Barter system was still prevailing

Ans – b)

Which of the following is false regarding the positive contribution by the British Ruel?

a) Provision of post and telegraph services
b) Provision of transport facilities
c) Monopolising the foreign trade
d) Development of ports

Ans – c)

The stagnation in the agricultural sector during the colonial rule was caused mainly because of __ .

a) Lack of irrigation facilities
b) Land settlement systems
c) Low levels of technology
d) Lack of resources

Ans – b)

Under the zamindari system, the main interest of the Zamindars was only to collect rent regardless of the
economic condition of the cultivators. To a very great extent, the terms of __ were responsible
for the Zamindars adopting such an attitude.

a) Rent
b) Revenue settlement
c) Cropping pattern
d) None of these

Ans – b)

________ refers to the relative distribution of a country’s workforce among various sectors of economic activity.

a) Demographic structure
b) Occupational structure
c) Income structure
d) None of the above

Ans – b)

The sole purpose of the British colonial rule in India was _____ .

a) To reduce the country to being a raw material supplier for Great Britain’s own rapidly
expanding modern industrial base.
b) To transform the country into consumer of finished industrial products from Britain
c) To turn India into a sprawling market for the finished products of those industries so that their continued
expansion could be ensured to the maximum advantage of their home country – Britain
d) All of the above

Ans – d)

The country’s growth rate of aggregate real output during the first half of the 20th century was only
i) ___ and per capital real output was ii) _ .

a) i) less than 1% per year ii) about 1% per year
b) i) less than 2% per year ii) about 0.5% per year
c) i) less than 3% per year ii) about 0.25% per year
d) i) less than 4% per year ii) about 5% per year

Ans – b)

The share of the workforce engaged in industrial and service sector respectively during the colonial rule

a) 10% and 20-25% respectively
b) 20-25% and 10% respectivley
c) 15% and 20% respectively
d) 5-8% and 20-25% respectively

Ans – a)

Which of the given statement explain the occupational structure of India during British rule?

i) Agriculture sector accounted for a major proportion of the workforce
ii) There was a regional variation in the engagement of the workforce across different sectors
iii) Manufacturing sector contributed nearly 10% of the workforce
iv) There has been a shift from agriculture towards manufacturing in the states of Orissa, Punjab, and Rajasthan

Options

a) i, ii, and iv
b) i, iii, iv
c) ii, iii, and iv
d) i, ii, and iii

Ans – d)

Railways were introduced in India in:

a) 1947
b) 1868
c) 1850
d) 1821

Ans – c)

During the British rule, the agricultural sector experienced stagnation mainly due to the:

a) Land settlement systems
b) Foreign trade
c) Infrastructure
d) Industries

Ans – a)

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Anurag Pathak

Anurag Pathak is an academic teacher. He has been teaching Accountancy and Economics for CBSE students for the last 18 years. In his guidance, thousands of students have secured good marks in their board exams and legacy is still going on. You can subscribe his youtube channel and can download the Android & ios app for free lectures.

Articles: 2015

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