This quiz works best with JavaScript enabled. Home > General Knowledge > Indian Economy > Global > Globalisation And The Indian Economy – Quiz 3 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Globalisation And The Indian Economy Quiz 3 (60 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. In the past few years, WTO has influenced important decisions relating to trade and investments. Why? A) Demonstrated organised by asian countries. B) Massive campaigns and representation by people's organisations. C) Developing countries have created alternative solutions against MNCs. D) None of above. Show Answer Correct Answer: B) Massive campaigns and representation by people's organisations. 2. Selling of goods to any other country is called ..... A) Export. B) Import. C) Collateral. D) None of above. Show Answer Correct Answer: A) Export. 3. Globalisation leads to rapid movements of the following between countries: A) Goods and services. B) Investments. C) People. D) All the above. Show Answer Correct Answer: D) All the above. 4. The past two decades of globalisation has seen rapid movements in: A) Goods, services and people between countries. B) Goods, services and investments between countries. C) Goods, services and people between countries. D) None of the above. Show Answer Correct Answer: B) Goods, services and investments between countries. 5. An MNC is a company that owns or controls production in A) Only developing countries. B) One country. C) More than one country. D) Only developed countries. Show Answer Correct Answer: C) More than one country. 6. ..... technology has played a major role in spreading out production of services across countries. A) Transport. B) Information and communication. Show Answer Correct Answer: B) Information and communication. 7. SEZs are related from- A) Export Promotion. B) Education Promotion. C) Health Infrastructure. D) Defence Equipment. Show Answer Correct Answer: A) Export Promotion. 8. Which Indian company was bought over by Cargill Foods-a large American MNC? A) Britannia. B) Amul. C) Agro Tech Foods Ltd. D) Parakh Foods. Show Answer Correct Answer: D) Parakh Foods. 9. Ford Motors entered the Indian automobile business in collaboration with which Indian manufacturer? A) Mahindra and Mahindra. B) Tata Motors. C) Maruti Suzuki. D) Hindustan Motors. Show Answer Correct Answer: A) Mahindra and Mahindra. 10. Choose the incorrect statement. A) MNCs have increased their investments in India over the past 20 years, which means investing in India has been beneficial for them. B) Globalisation and greater competition among producers-both local and foreign producers-has been of advantage to consumers, particularly the well-off sections in the urban areas. C) Government has also allowed flexibility in the labour laws to attract foreign investment. D) Several of the top Indian companies have been able to drawback from the increased competition. They have invested in newer technology and production methods and raised their production standards. Show Answer Correct Answer: D) Several of the top Indian companies have been able to drawback from the increased competition. They have invested in newer technology and production methods and raised their production standards. 11. What are the positive impact of Liberalisation? A) Increase in GDP. B) Increase in Production. C) Technological Advancement. D) Increase in foreign Investment. E) All of these. Show Answer Correct Answer: E) All of these. 12. This aspect of globalization focuses on the exchange of goods and services. A) Economic. B) Political. C) Socio-cultural. D) None of above. Show Answer Correct Answer: A) Economic. 13. The main aim of World Trade Organisation is ..... A) To increase the unity between the countries. B) To liberalise international trade. C) To increase the import. D) To increase the export. Show Answer Correct Answer: B) To liberalise international trade. 14. What was the main channel connecting countries in the past? How is it different now? A) By sea routes; By air routes. B) By land routes; By sea routes. C) By air routes; By land routes. D) By rail routes; By sea routes. Show Answer Correct Answer: A) By sea routes; By air routes. 15. A SECONDARY Industry is ..... A) An industry that converts raw materials into commodities and products for the consumer. B) An industry that is concerned with obtaining or providing natural raw materials. C) An industry that is concerned with the provision of services. D) An industry concerned with providing information services. Show Answer Correct Answer: A) An industry that converts raw materials into commodities and products for the consumer. 16. Removing barriers or restrictions set by the government is known as A) Globalisation. B) Privatisation. C) Liberalisation. D) None of above. Show Answer Correct Answer: C) Liberalisation. 17. Small Scale industries face competition from A) Rising prices. B) Exports. C) Cheap imports. D) Subsidy. Show Answer Correct Answer: C) Cheap imports. 18. This aspect of globalization focuses on the distribution of ideas and way of life. A) Economic. B) Political. C) Socio-cultural. D) None of above. Show Answer Correct Answer: C) Socio-cultural. 19. Which one of the following has benefited least because of globalisation in India?. A) Industrial Sector. B) Secondary Sector. C) Agriculture Sector. D) Service Sector. Show Answer Correct Answer: C) Agriculture Sector. 20. New Economic policy was initiated in the year. A) 1980. B) 1990. C) 1991. D) 1988. Show Answer Correct Answer: C) 1991. 21. Ehich benefits enjoyed by a local company in a joint production with a MNC- A) Additional investment. B) Latest technology. C) International market. D) All of these. Show Answer Correct Answer: D) All of these. 22. 'The impact of Globalisation has not been fair.' Who among the following people have not benefitted from globalisation? A) Well off consumers. B) Small producers and workers. C) Skilled and educated producers. D) Large wealthy producers. Show Answer Correct Answer: B) Small producers and workers. 23. Foreign trade connects the markets A) Among neighbouring countries. B) Between two countries. C) In the country. D) In different countries. Show Answer Correct Answer: D) In different countries. 24. A law firm is an example of ..... A) Quaternary Industry. B) Primary Industry. C) Secondary Industry. D) Tertiary Industry. Show Answer Correct Answer: D) Tertiary Industry. 25. BPOs have benefited growth of: A) Local companies. B) National companies. C) MNCs. D) None of these. Show Answer Correct Answer: C) MNCs. 26. Which one of the following organizations lay stress on liberalization of foreign trade and foreign investment? A) International Labour Organisation. B) World Trade Organization. C) International Monetary Fund. D) World Health Organisation. Show Answer Correct Answer: B) World Trade Organization. 27. This helps to create an opportunity for the producers to reach beyond the domestic market A) Trade barrier. B) Internal trade. C) Foreign trade. D) Domestic trade. Show Answer Correct Answer: C) Foreign trade. 28. Assertion(A):Leela works five days a week, receives her income on the last day of each month and gets medical facilities from her firm.Reason(R):Leela is working in the organized sector. A) Both A and R are true and R is the correct explanation of A. B) Both A and R are true and R is not the correct explanation of A. C) Assertion is true, but reason is false. D) Assertion is false, but reason is true. Show Answer Correct Answer: A) Both A and R are true and R is the correct explanation of A. 29. MNCs are investing in India because of ..... A) The cheaper production costs. B) Plenty of raw materials. C) Good government policies. D) None of above. Show Answer Correct Answer: A) The cheaper production costs. 30. Which factor might attract a multinational corporation to a country? A) Good tourist attractions. B) Cheap raw materials. C) High average monthly wage. D) None of above. Show Answer Correct Answer: B) Cheap raw materials. 31. True or False Globalisation is created by TRADE. A) True. B) False. Show Answer Correct Answer: A) True. 32. What function do the World Bank and International Monetary Fund serve? A) Give loans to developing countries. B) Subsidize global corporations. C) Act as a slush fund for international politicians. D) Finance refugee operations and relief efforts. Show Answer Correct Answer: A) Give loans to developing countries. 33. Why did the Indian Government restricted foreign trade after independence? A) To protect domestic producers. B) To increase competition. C) To know the international level of quality. D) All of the above. Show Answer Correct Answer: A) To protect domestic producers. 34. Which one among the following is a far reaching change in the policy made in India in 1991? A) Removing barriers or restrictions set by the government which is known as liberalisation. B) Put barriers to foreign trade and foreign investments. C) Restrictions set by the government to protect the producers within the country from foreign competition. D) By giving protection to domestic producers through a variety of means. Show Answer Correct Answer: A) Removing barriers or restrictions set by the government which is known as liberalisation. 35. What is the aim of World Trade Organisation (WTO)? A) Domestic infrastructure. B) To liberalize International Trade. C) To promote Health facilities. D) To Increase Literacy. Show Answer Correct Answer: B) To liberalize International Trade. 36. Benefits enjoyed by companies who set up production units in the SEZs are: A) They do not have to pay taxes for some years. B) Reduction in excise duty. C) Reduced tariffs and barriers. D) None of the above. Show Answer Correct Answer: A) They do not have to pay taxes for some years. 37. Which one of the following refers to investment? A) The money spent on religious ceremonies. B) The money spent on social customs. C) The money spent to buy assets such as land. D) The money spent on household goods. Show Answer Correct Answer: C) The money spent to buy assets such as land. 38. Which organisations strain on the liberalisation of foreign investment and foreign trade? A) International Labour Organisation. B) International Monetary Fund. C) World Health Organisation. D) World Trade Organisation. Show Answer Correct Answer: D) World Trade Organisation. 39. Globalisation by connecting countries leads to: A) Lesser competition among producers. B) Greater competition among producers. C) No competition between producers. D) None of these. Show Answer Correct Answer: B) Greater competition among producers. 40. In which year Indian Government announced New Economic Policy (NEP) A) 2011. B) 1991. C) 2001. D) 1981. Show Answer Correct Answer: B) 1991. 41. What factor is considered by MNC before establishing the plant in another nation A) Skilled and semi skilled labours at low cost. B) Availability of resource such as raw materials. C) Governmental Policies. D) All of these. Show Answer Correct Answer: D) All of these. 42. Which of the following is a barrier on international trade? A) Tax on local trade. B) Quality control tax. C) Tax on import. D) Sales tax. Show Answer Correct Answer: C) Tax on import. 43. Which one of the following categories refers to investment? A) The money that is spent to buy assets such as land, building, machines, etc. B) The money that is spent on religious ceremonies. C) The money that is spent on social customs. D) The money that is spent on household goods. Show Answer Correct Answer: A) The money that is spent to buy assets such as land, building, machines, etc. 44. 'Increase in GNP' is a positive impact of liberalisation A) True. B) False. Show Answer Correct Answer: A) True. 45. Globalisation has led to degradation of living conditions: A) Of all the people. B) Of people in the developed countries. C) Of workers in the developing countries. D) None of the above. Show Answer Correct Answer: C) Of workers in the developing countries. 46. Globalisation is a process of rapid ..... or ..... between the countries. A) Integration or interconnection. B) Intersection or interrelation. C) Interaction or intermingling. D) None of above. Show Answer Correct Answer: A) Integration or interconnection. 47. Cargill Food's is the largest producer of which of the following in India? A) Medicines. B) Garments. C) Edible oil. D) Asian Paints. Show Answer Correct Answer: C) Edible oil. 48. Which among the following are factors that enabled globalisation? A) Improvement in transport technology. B) Development of information and communication technology. C) Liberalisation. D) All of the above. Show Answer Correct Answer: D) All of the above. 49. What will happen if the government fails to provide 100 days employment under MGNREGA? A) No extra benefit will be given. B) The officer-in-charge will be punished. C) Unemployment allowance will be given. D) Food grains will be provided. Show Answer Correct Answer: C) Unemployment allowance will be given. 50. How do MNCs spread their production to other countries? A) By setting up partnerships with local companies, using local companies for supplies, competing with local companies, or buying them up. B) By dividing the production process into small parts and spreading it across the globe. C) By placing orders for production with small producers in developing countries. D) By investing in foreign countries and setting up factories and offices for production. Show Answer Correct Answer: A) By setting up partnerships with local companies, using local companies for supplies, competing with local companies, or buying them up. 51. ..... have been a Major force in the globalisation process connecting distant regions of the world? A) International companies. B) Business houses. C) MNCs. D) Traders. Show Answer Correct Answer: C) MNCs. 52. Infosys (IT) and TATA Motors (Automobile) are examples of Indian- A) Multinational Corporations (MNCs). B) Multi Sectoral Companies. C) Domestic Companies. D) Local Companies. Show Answer Correct Answer: A) Multinational Corporations (MNCs). 53. Globalization has led to a ..... variety of goods. A) Lesser. B) Smaller. C) Wider. D) Restricted. Show Answer Correct Answer: C) Wider. 54. A commodity, article or service brought in from abroad for sale is known as ..... A) Export. B) Import. Show Answer Correct Answer: B) Import. 55. What is the principle of comparative advantage best described as governing? A) International trade. B) The WTO. C) Multinational conglomerates. D) Developed countries. Show Answer Correct Answer: A) International trade. 56. Which has played a big role in spreading globalisation? A) A-Information technology (IT). B) B-Transport technology. C) Both (a) and (b). D) None of the above. Show Answer Correct Answer: C) Both (a) and (b). 57. What is monopoly? A) Being rich. B) Control of supply of or trade of commodity or service. C) Taking control. D) Board game. Show Answer Correct Answer: B) Control of supply of or trade of commodity or service. 58. Special economic zones are being set up to attract A) Foreign tourists. B) Foreign investment. C) Foreign goods and services. D) Foreign policies. Show Answer Correct Answer: B) Foreign investment. 59. What has contributed to the rise in the global flow of information? A) Capital. B) Natural Resources. C) Money. D) New technology. Show Answer Correct Answer: D) New technology. 60. Which of the following is a cost of international trade? A) Lower Prices. B) New Jobs. C) More Products. D) Loss of Jobs. Show Answer Correct Answer: D) Loss of Jobs. ← PreviousNext →Related QuizzesIndian Economy QuizzesGeneral Knowledge QuizzesGlobalisation And The Indian Economy Quiz 1Globalisation And The Indian Economy Quiz 2Globalisation And The Indian Economy Quiz 4India S Foreign Policy QuizIndustries Infrastructure And Foreign Trade QuizInternational Organisations And Human Development Quiz 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books