UPSC IAS Prelims 2021: Important Questions on Economics - Topic 7 (Industrial Policy)

In this article, get 10 most important questions on the Industrial Policy topic of Indian Economy Aspirants of UPSC Civil Services Prelims 2021 exams can solve these questions to test their knowledge on this topic of Economics. 

Created On: Feb 10, 2021 17:57 IST
 UPSC IAS Prelims Important Questions on Economics Industrial Policy
UPSC IAS Prelims Important Questions on Economics Industrial Policy

The Government of India undertakes various measures to enhance and strengthen the Industrial Policy of India. These measures can prove to be of great impact to the national economy.  Every year many questions from different topics of the economy are asked in the Prelims exam. Hence, a clear understanding of each topic is required to solve such questions. To help the aspirants in their preparation, we have provided the 10 most important questions from the Industrial Policy topic of Economics for UPSC Prelims 2021.

Also Check: Topic-wise Important Questions on Economics

Ques 1: Consider the following statements regarding the Industrial Policy Resolution of 1948:

  1. It delineated the role of the State in industrial development both as an entrepreneur and authority.
  2. 8 industries were designated as “Key Industries” or “Basic Industries”.

Which of the given statement is/are correct?

(a) 1 only

(b) 2 only

(c) Both 1 and 2

(d) Neither 1 nor 2

Ans: a

Explanation:

6 industries viz. coal, iron & steel, aircraft manufacturing, ship-building, manufacture of telephone, telegraph & wireless apparatus, and mineral oil were designated as “Key Industries” or “Basic Industries”.

Ques 2: Consider the following statements regarding the recently launched Khadi Prakritik Paint:

  1. The paint India’s first cow dung paint
  2. The paint was launched by the Ministry of Commerce and Industry
  3. It is developed by Khadi and Village Industries Commission at his residence.

Which of the following statements is/are correct?

(a) 1 and 2 only

(b) 2 and 3 only

(c) 1 and 3 only

(d) 1, 2 and 3 only

Ans: c

Explanation:

Union Minister for MSMEs has launched an innovative new paint called Khadi Prakritik Paint – India’s first cow dung paint. The eco-friendly, non-toxic paint, called “Khadi Prakritik Paint” is a first-of-its-kind product, with anti-fungal, anti-bacterial properties.

Ques 3: Consider the following statements:

  1. Bangladesh is the second-largest apparel exporter after China.
  2. India accepts all Bangladesh products duty-free (except alcohol and textiles).

Which of the given statement is/are not correct?

(a) 1 only

(b) 2 only

(c) Both 1 and 2

(d) Neither 1 nor 2

Ans: b

Explanation:

India, as a good neighbour, accepts all Bangladesh products duty-free except alcohol and tobacco.

Ques 4: Which of the following brings out the ‘Consumer Price Index Number for Industrial Workers?

(a) The Reserve Bank of India

(b) The Department of Economic Affairs

(c) The Labour Bureau

(d) The Department of Personnel and Training

Ans: c

Explanation:

2. Labour Bureau brings out these Index Numbers every month and makes them available to the people through Press Release, “Monthly Index Letter” and “Indian Labour Journal” etc.

Ques 5: Consider the following statements regarding National Productivity Council:

  1. NPC is a national level organization to promote productivity culture in India.
  2. The NPC comes under the Department for Promotion of Industry and Internal Trade (DPIIT), Ministry of MSE.

Which of the given statement is/are correct?

(a) 1 only

(b) 2 only

(c) Both 1 and 2

(d) Neither 1 nor 2

Ans: a

Explanation:

The NPC comes under the Department for Promotion of Industry and Internal Trade (DPIIT), Ministry of Commerce & Industry.

Ques 6: The Production Linked Incentive (PLI) Scheme often seen in news is related to-

(a) Electronics manufacture

(b) Khadi and Village Industries

(c) MSMEs

(d) None of these

Ans: a

Explanation:

As a part of the National Policy on Electronics, the IT ministry had notified the PLI scheme on April 1, 2020. The scheme will, on one hand, attract big foreign investment in the sector, while also encouraging domestic mobile phone makers to expand their units and presence in India.

Ques 7: The SPICe+ Portal sometimes seen in news is related to which of the following Ministry?

(a) Ministry of Environment, Forest and Climate Change

(b) Ministry of Commerce and Industry

(c) Ministry of Corporate Affairs

(d) Ministry of Agriculture & Farmers’ Welfare

Ans: c

Explanation:

It offers 10 services by three Central Government Ministries and Departments (Ministry of Corporate Affairs, Ministry of Labour & Department of Revenue in the Ministry of Finance), one State Government (Maharashtra) and various Banks.

Ques 8: Consider the following statements regarding ARISE-ANIC Initiative:

  1. The program is a national initiative to promote research & innovation and increase the competitiveness of Indian startups and MSMEs.
  2. The program will be driven by DRDO and two other ministries.

Which of the given statement is/are correct?

(a) 1 only

(b) 2 only

(c) Both 1 and 2

(d) Neither 1 nor 2

Ans: a

Explanation:

The programme will be driven by ISRO, four ministries—Ministry of Defence; Ministry of Food Processing Industries; Ministry of Health and Family Welfare; and Ministry of Housing and Urban Affairs.

Ques 9: The recently launched ASPIRE Portal deals with:

(a) Aspirational Districts

(b) Primary Education

(c) Industrial Clusters

(d) Automotive Technology

Ans: d

Explanation:

The key objective of this portal is to facilitate the Indian Automotive Industry to become self-reliant by assisting in the innovation and adoption of global technological advancements.

Ques 10: Consider the following statements regarding the CHAMPIONS portal:

  1. It is a technology-packed control room-cum-management information system.
  2. It was launched by Ministry of HRD.

Which of the given statement is/are correct?

(a) 1 only

(b) 2 only

(c) Both 1 and 2

(d) Neither 1 nor 2

Ans: a

Explanation:

It is also fully integrated on a real-time basis with GOI’s main grievances portal CPGRAMS and MSME Ministry’s own other web-based mechanisms.

We sincerely hope that the given questions would have helped you in your Prelims preparation. You can also check the below link to keep yourself updated on the latest GK quiz and events. 

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