This quiz works best with JavaScript enabled. Home > General Knowledge > Indian Economy > Global > Industries Infrastructure And Foreign Trade – Quiz 2 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Industries Infrastructure And Foreign Trade Quiz 2 (60 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. The famous traveler "Megasthenes" belonged to which of the following country? A) GERMANY. B) FRANCE. C) ROME. D) GREECE. Show Answer Correct Answer: D) GREECE. 2. Types of goods and services we export and import is called: A) Composition of trade. B) Balance of trade. C) Direction of trade. D) None of these. Show Answer Correct Answer: A) Composition of trade. 3. Which city was famous for 'Gold silk cloth'? A) Tamralipti. B) Ujjain. C) Varanasi. D) Mithila. Show Answer Correct Answer: C) Varanasi. 4. The students of class XI were asked to describe the various types of intermediaries who played a prominent role in the promotion of trade. Arun, one of the student, spoke in particular, about the members of the wealthy business, banking and money lender family institution that exercised great influence during the Mughal period and the days of the East India Company. Identify the type of intermediaries being highlighted by Arun. A) Distributors. B) Jagat Seths. C) Commission Agents. D) Brokers. Show Answer Correct Answer: B) Jagat Seths. 5. In India, maximum number of workers are employed in : A) Textile industry. B) Iron and steel industry. C) Petrochemical industry. D) Automobile industry. Show Answer Correct Answer: A) Textile industry. 6. India earns maximum foreign exchange from the export of: A) Garments. B) Jute. C) Gems and jewellery. D) Cotton. Show Answer Correct Answer: C) Gems and jewellery. 7. Repayment of a foreign loan A) Is recorded as a debit in primary income. B) Decreases foreign liabilities. C) Increases foreign assets. D) Is recorded as a debit in the financial account. Show Answer Correct Answer: D) Is recorded as a debit in the financial account. 8. How much of one country's money is worth compared to another country? A) Currency. B) Foreign trade. C) Exchange rate. D) Exchange control. Show Answer Correct Answer: C) Exchange rate. 9. Who played special role in banking and financing in ancient time in india A) Bankers. B) Sahukar. C) Seth/lending institution. D) Above all. Show Answer Correct Answer: C) Seth/lending institution. 10. Which of the following is the largest (in terms of' turnover) Public Sector organisation in India? A) Bharat Petroleum. B) Steel Authority of India. C) Indian Oil Corporation. D) Oil and Natural Gas Commission. Show Answer Correct Answer: C) Indian Oil Corporation. 11. Find the incorrect match A) Jokhmi-Muddati. B) Sahjog-Muddati. C) Dhanijog-Darshani. D) Firmanjog-Muddati. Show Answer Correct Answer: B) Sahjog-Muddati. 12. Who is the head of the World Trade Organisation A) Ministerial conference. B) Director general. C) Deputy director general. D) None of these. Show Answer Correct Answer: B) Director general. 13. From ..... part of India, Chatts were the important business traders. A) East India. B) North India. C) South India. D) West India. E) North East India. Show Answer Correct Answer: C) South India. 14. Which of the following authority sanctions foreign exchange for the import of goods? [UP PCS 2011] A) Ministry of Finance. B) Exchange Bank. C) Reserve Bank of India. D) Any Nationalised Bank. Show Answer Correct Answer: C) Reserve Bank of India. 15. "Sunrise Industries" are Industries: A) Which are well-developed and have ample scope for further development. B) Which improve export performance of the country. C) Which are small-scale industries. D) Which have high growth potential and meet further requirements of the economy. Show Answer Correct Answer: D) Which have high growth potential and meet further requirements of the economy. 16. What is Foreign direct investment? A) This is when a country makes an investment into a company. B) This is when a company makes an investment into a foreign country and has the right to control. C) When a domestic country invest into its own companies. D) When a foreign individual invest in domestic stock markets. Show Answer Correct Answer: B) This is when a company makes an investment into a foreign country and has the right to control. 17. Reduction of value of currency due to market forces A) Appreciation. B) Depreciation. C) Devaluation. D) Revaluation. Show Answer Correct Answer: B) Depreciation. 18. Removing barriers or restrictions by the government policy is called A) Liberalisation. B) Favourable trade. C) FDI. D) Free trade. Show Answer Correct Answer: A) Liberalisation. 19. Which of the following industries was started first in India? A) Tea. B) Cotton. C) Paper. D) Jute. Show Answer Correct Answer: A) Tea. 20. India got connected to adjoining foreign countries through the network of which route A) Spice route. B) Black route. C) Coal route. D) None of above. Show Answer Correct Answer: A) Spice route. 21. Which industry earns the second highest, net foreign exchange from the trade? A) Gems and ornaments. B) Textile industry. C) Steel industry. D) Engineering goods industry. Show Answer Correct Answer: D) Engineering goods industry. 22. Which is not included in major export from India. A) Horse. B) Furs. C) Copper. D) Silver. Show Answer Correct Answer: A) Horse. 23. Which of the following committees was assigned to recommend reforms in the insurance sector? A) Malhotra Committee. B) Nadkarni Committee. C) Rekhi Committee. D) Chelliah Committee. Show Answer Correct Answer: A) Malhotra Committee. 24. Among the following famous travelers, who belonged to country "MOROCCO" ? A) Frenchman Francois. B) Faxian (Fa Hien). C) Ibn Battuta. D) Al Beruni. Show Answer Correct Answer: C) Ibn Battuta. 25. Which industry in India was worst affected because of the partition? [PCS 1994] A) Paper and Iron. B) Jute and Cotton. C) Cotton and Sugar. D) Engineering and Cement. Show Answer Correct Answer: B) Jute and Cotton. 26. International trade free of government control and trade barriers A) Voluntary trade. B) Trade barrier. C) Tariff. D) Free trade. Show Answer Correct Answer: D) Free trade. 27. The largest importer country of Indian textile is : A) Singapore. B) Germany. C) USA. D) Italy. Show Answer Correct Answer: C) USA. 28. Invisible Export means export [Corporation Bank PO 2011] A) Services. B) Prohibited goods. C) Unrecorded goods. D) Goods through smuggling. E) All the above. Show Answer Correct Answer: A) Services. 29. When does the problem of unfavourable balance of payment arise? A) When exports increase. B) When imports are greater than exports. C) When imports increase. D) When exports decrease. Show Answer Correct Answer: B) When imports are greater than exports. 30. Which of the following best defines a multinational corporation (MNC)? A) A company that exports to many countries. B) A large company that import from many countries. C) A company that operates in more than two different countries. D) A company that produces goods and services for a large market. Show Answer Correct Answer: C) A company that operates in more than two different countries. 31. The difference between visible exports and visible imports is defined as [Corporation Bank PO 2011] A) Balance of trade. B) Balance of payment. C) Balanced terms of trade. D) Gains from trade. E) All the above. Show Answer Correct Answer: A) Balance of trade. 32. 8th Uruguay round A) 1947. B) Enforce international trade. C) Infosys. D) 1986. Show Answer Correct Answer: D) 1986. 33. Foreign Direct Investment or FDI occurs when a company from one country invests in another country as an effort to secure lasting interest in the other country's enterprises to produce and/market a product or service. A) True. B) False. Show Answer Correct Answer: A) True. 34. The biggest Public Sector undertaking in the country is .... [Corporation Bank PO 2011] A) Iron & steel plants. B) Roadways. C) Railways. D) Airways. E) None of these. Show Answer Correct Answer: C) Railways. 35. ..... canal provided a direct trade route for ships operating between Britain and India. A) Suez canal. B) Panama canal. Show Answer Correct Answer: A) Suez canal. 36. Both Foreign Direct Investment (FOI) and Foreign Institutional Investor (FII) are related to investment in a country. Which one of the following statements best represents an important difference between the two? [CSAT 2011] A) FII helps bring better management skills and technology, while FDI only brings in capital. B) FII helps in increasing capital availability in general, while FDI only targets specific sectors. C) FDI flows only into the secondary market, while FII targets primary market. D) FII is considered to be more stable than FDI. Show Answer Correct Answer: B) FII helps in increasing capital availability in general, while FDI only targets specific sectors. 37. India's oldest iron and steel plant is : [Intelligence Bureau 1991] A) TISCO at Jamshedpur. B) TISCO at Burnpur. C) Durgapur Iron and Steel Plant. D) Rourkela Iron and Steel Plant. Show Answer Correct Answer: A) TISCO at Jamshedpur. 38. The main argument advanced in favour of small scale and cottage industries in India is that: A) Cost of production is low. B) They require small capital investment. C) They advance the goal of equitable distribution of wealth. D) They generate a large volume of employment. Show Answer Correct Answer: D) They generate a large volume of employment. 39. Which is not related to our foreign policy A) World peace. B) Racial equality. C) Colonialism. D) World co operation. Show Answer Correct Answer: C) Colonialism. 40. What is the current account of balance of payments? A) It is the account showing difference of total exports and imports in one year. B) It is the account showing transactions in invisible account like tourism, shipping, insurance etc. C) It is the account showing transactions like net external assistance, NRI deposits, etc. D) It is the account showing trade balance plus invisible balance. Show Answer Correct Answer: D) It is the account showing trade balance plus invisible balance. 41. UTI has been divided into two parts UTI-I and UTI-II. Which part has been kept under the control of the government? A) UTI-I. B) UTI-II. C) Both the above. D) None of the above. Show Answer Correct Answer: A) UTI-I. 42. BoP (Balance of Payment) refers to : A) Transactions in the flow of capital. B) Transactions relating to receipts and payment of invisibles. C) Transactions relating only to exports and imports. D) Systematic record of all its economic transaction with the rest of the world. Show Answer Correct Answer: D) Systematic record of all its economic transaction with the rest of the world. 43. Decreased government spending would result in A) Lower taxes. B) Higher reserve amount. C) Higher prices. D) A lower discount rate. Show Answer Correct Answer: A) Lower taxes. 44. Muziris is an ancient harbour and urban centre on the ..... Coast. A) Calicut. B) Malabar. C) None of the above. D) None of above. Show Answer Correct Answer: B) Malabar. 45. Which one of the following statements is not correct? [IAS 2005] A) Rourkela Steel Plant, the first integrated steel plant in the Public Sector of India was set up with the Soviet Union collaboration. B) Maharashtra Elektrosmelt Ltd. is a subsidiary of the Steel Authority of India Ltd. C) Visakhapatnam Steel Plant is a unit of the Rashtriya Ispat Nigam Ltd. D) Salem Steel Plant is a premier producer of stainless steel in India. Show Answer Correct Answer: A) Rourkela Steel Plant, the first integrated steel plant in the Public Sector of India was set up with the Soviet Union collaboration. 46. It was the capital of the Pandayas who controlled the pearl fisheries of the Gulf of Mannar. It attracted foreign merchants, particularly Romans, for carrying out overseas trade. A) Tamralipti. B) Madura. C) Surat. D) Mathura. Show Answer Correct Answer: B) Madura. 47. Present Industrial policy in India aims at : A) Accelerating the performance of mixed economy. B) Discourage the performance of the private sector. C) Increasing the production of public sector units. D) Promoting the private sector units. Show Answer Correct Answer: A) Accelerating the performance of mixed economy. 48. Inward looking trade strategy relies on: A) Export promotion. B) Import substitution. C) Both (a) and (b). D) None of these. Show Answer Correct Answer: B) Import substitution. 49. What was the condition of foreign trade under British rule? A) Net exporter of raw materials. B) Net importer of finished goods reproduced by British India. C) Surplus on account of foreign trade was spent on war expenses. D) All of these. Show Answer Correct Answer: D) All of these. 50. Core industries include: A) Basic industries. B) Industries catering to defence requirements. C) Critical industries. D) All the above. Show Answer Correct Answer: D) All the above. 51. During british rule, more than 50% of India's foreign trade was confined to USA A) TRUE. B) FALSE. Show Answer Correct Answer: B) FALSE. 52. One of the main factors that led to rapid expansion of Indian exports is : A) Recession in other countries. B) Liberalisation of the economy. C) Imposition of import duties. D) Diversification of exports. Show Answer Correct Answer: B) Liberalisation of the economy. 53. Which of the following countries is the largest trading partner of India? A) US. B) Uk. C) China. D) UAE. Show Answer Correct Answer: D) UAE. 54. Which of the following methods would NOT attract FDI into a country? A) Tax breaks and subsidies. B) Grants and low interest loans. C) Relaxed regulations and reduced restrictions. D) Political instability and uncertainty. Show Answer Correct Answer: D) Political instability and uncertainty. 55. The exports of India: A) Are confined to a few items. B) Are spread over several commodity groups. C) Have not shown much of a change since 1960-61. D) Comprise mainly of agro-based products. Show Answer Correct Answer: B) Are spread over several commodity groups. 56. India's largest FDI as of 2020 is from A) Mauritius. B) China. C) Singapore. D) UK. Show Answer Correct Answer: C) Singapore. 57. Which coast are used for trade of black pepper A) Malabar. B) Goa. C) Mumbai. D) None of these. Show Answer Correct Answer: A) Malabar. 58. Who granted the English "golden fireman" in 1632 A) Sultan of Golconda. B) Aurangzeb. C) Jahangir. D) Akbar. Show Answer Correct Answer: A) Sultan of Golconda. 59. Indian Railways revenue from: A) Freight. B) Passenger fare. C) Passenger tax. D) Traffic tax. Show Answer Correct Answer: A) Freight. 60. Which of the following agencies has the power to declare any industrial unit as a potentially sick unit? [CDS 2000] A) MRTPC. B) IRBI. C) FICCI. D) BIFR. Show Answer Correct Answer: D) BIFR. ← PreviousNext →Related QuizzesIndian Economy QuizzesGeneral Knowledge QuizzesIndustries Infrastructure And Foreign Trade Quiz 1Industries Infrastructure And Foreign Trade Quiz 3Globalisation And The Indian Economy QuizIndia S Foreign Policy QuizInternational Organisations And Human Development Quiz 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books