CGPSC 2024 Practice Test – Prelims Paper 1 – Part 1 – Topic 4 – Set 5 (Questions in English)

CGPSC 2024 Practice Test. Free test in English, Part 1 – General Studies: Economy of India

Part 1 – General Studies: Economy of India

CGPSC Practice test 2024 English
QuestionCorrect Answer
Which city is known as the financial capital of India?Mumbai
What does the term ‘NITI Aayog’ stand for?National Institution for Transforming India
What is the main objective of the Pradhan Mantri Jan Dhan Yojana?Financial inclusion
Which sector contributes the most to India’s GDP?Services
What is the main purpose of the Reserve Bank of India?Monetary policy and banking regulation
What does the term ‘MUDRA’ stand for in the Indian financial sector?Micro Units Development and Refinance Agency
What is the primary commodity traded on the Multi Commodity Exchange of India?Commodities
Which Indian state is the largest producer of cotton?Gujarat
What is the main objective of the Goods and Services Tax (GST) in India?Simplifying the tax structure
What is the primary focus of the Digital India campaign?Enhancing digital infrastructure
Which is the apex bank responsible for rural credit in India?NABARD
What does the term ‘MSME’ stand for?Micro, Small and Medium Enterprises
What is the main purpose of the Insolvency and Bankruptcy Code, 2016 in India?Resolving insolvency
Which Indian state is known for its significant IT industry?Karnataka
What is the primary objective of the Pradhan Mantri Kisan Samman Nidhi (PM-KISAN)?Direct income support to farmers
What does the term ‘SEZ’ stand for in the context of the Indian economy?Special Economic Zone
Which is the largest public sector bank in India?State Bank of India
What is the main aim of the Pradhan Mantri Mudra Yojana?Financing small businesses
What is the primary focus of the Start-up India initiative?Supporting entrepreneurship
What does the term ‘CPI’ stand for in the Indian economy?Consumer Price Index



Choose the correct answer

Question 1: Which city is known as the financial capital of India?
Option 1: New Delhi
Option 2: Bangalore
Option 3: Mumbai
Option 4: Kolkata

Correct Answer: Mumbai

Question 2: What does the term ‘NITI Aayog’ stand for?
Option 1: National Institution for Transforming India
Option 2: National Investment and Trade Initiative
Option 3: National Information Technology Agency
Option 4: National Institute of Traditional Industries

Correct Answer: National Institution for Transforming India

Question 3: What is the main objective of the Pradhan Mantri Jan Dhan Yojana?
Option 1: Promoting digital transactions
Option 2: Providing insurance
Option 3: Financial inclusion
Option 4: Subsidizing agricultural loans

Correct Answer: Financial inclusion

Question 4: Which sector contributes the most to India’s GDP?
Option 1: Agriculture
Option 2: Services
Option 3: Manufacturing
Option 4: Construction

Correct Answer: Services

Question 5: What is the main purpose of the Reserve Bank of India?
Option 1: Regulating the stock market
Option 2: Promoting foreign trade
Option 3: Monetary policy and banking regulation
Option 4: Managing government debt

Correct Answer: Monetary policy and banking regulation

Question 6: What does the term ‘MUDRA’ stand for in the Indian financial sector?
Option 1: Micro Units Development and Refinance Agency
Option 2: Money Utilization and Development for Rural Areas
Option 3: Market Upgradation and Development Regulatory Authority
Option 4: Micro Urban Development and Reinvestment Association

Correct Answer: Micro Units Development and Refinance Agency

Question 7: What is the primary commodity traded on the Multi Commodity Exchange of India?
Option 1: Stocks
Option 2: Bonds
Option 3: Commodities
Option 4: Currencies

Correct Answer: Commodities

Question 8: Which Indian state is the largest producer of cotton?
Option 1: Punjab
Option 2: Gujarat
Option 3: Maharashtra
Option 4: West Bengal

Correct Answer: Gujarat

Question 9: What is the main objective of the Goods and Services Tax (GST) in India?
Option 1: Increasing export
Option 2: Reducing fiscal deficit
Option 3: Simplifying the tax structure
Option 4: Promoting small industries

Correct Answer: Simplifying the tax structure

Question 10: What is the primary focus of the Digital India campaign?
Option 1: Promoting online education
Option 2: Enhancing digital infrastructure
Option 3: Encouraging digital payments
Option 4: Boosting IT exports

Correct Answer: Enhancing digital infrastructure

Question 11: Which is the apex bank responsible for rural credit in India?
Option 1: RBI
Option 2: NABARD
Option 3: SBI
Option 4: ICICI

Correct Answer: NABARD

Question 12: What does the term ‘MSME’ stand for?
Option 1: Medium and Small Market Enterprises
Option 2: Micro, Small and Medium Enterprises
Option 3: Major Sector Market Entities
Option 4: Medium Scale Manufacturing Entities

Correct Answer: Micro, Small and Medium Enterprises

Question 13: What is the main purpose of the Insolvency and Bankruptcy Code, 2016 in India?
Option 1: Promoting foreign investment
Option 2: Resolving insolvency
Option 3: Encouraging entrepreneurship
Option 4: Regulating stock markets

Correct Answer: Resolving insolvency

Question 14: Which Indian state is known for its significant IT industry?
Option 1: Kerala
Option 2: Karnataka
Option 3: Tamil Nadu
Option 4: Andhra Pradesh

Correct Answer: Karnataka

Question 15: What is the primary objective of the Pradhan Mantri Kisan Samman Nidhi (PM-KISAN)?
Option 1: Providing pension to farmers
Option 2: Subsidizing farm equipment
Option 3: Direct income support to farmers
Option 4: Promoting organic farming

Correct Answer: Direct income support to farmers

Question 16: What does the term ‘SEZ’ stand for in the context of the Indian economy?
Option 1: Special Economic Zone
Option 2: State Economic Zone
Option 3: Sectoral Economic Zone
Option 4: Sustainable Economic Zone

Correct Answer: Special Economic Zone

Question 17: Which is the largest public sector bank in India?
Option 1: HDFC Bank
Option 2: ICICI Bank
Option 3: State Bank of India
Option 4: Punjab National Bank

Correct Answer: State Bank of India

Question 18: What is the main aim of the Pradhan Mantri Mudra Yojana?
Option 1: Providing affordable housing
Option 2: Promoting women entrepreneurs
Option 3: Financing small businesses
Option 4: Encouraging foreign investment

Correct Answer: Financing small businesses

Question 19: What is the primary focus of the Start-up India initiative?
Option 1: Promoting foreign startups
Option 2: Boosting large industries
Option 3: Supporting entrepreneurship
Option 4: Encouraging import substitution

Correct Answer: Supporting entrepreneurship

Question 20: What does the term ‘CPI’ stand for in the Indian economy?
Option 1: Consumer Price Index
Option 2: Central Profit Indicator
Option 3: Corporate Performance Index
Option 4: Consumer Product Innovation

Correct Answer: Consumer Price Index

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