Economy and Development MCQ Quiz - Objective Question with Answer for Economy and Development - Download Free PDF

The correct answer is 1.8 times

Key Points

• Budget 2025-26:
• Telangana government presented a buget with an total estimation of ₹3.04 lakh crore.
• Gross State Domestic Product (GSDP): Estimated at ₹16.12 lakh crore for 2024-25, showing a growth rate of 10.1%, exceeding the national GDP growth of 9.9%.
• Per Capita Income: ₹3.79 lakh, approximately 1.8 times higher than the national average of ₹2.05 lakh.

The correct answer is 4 Lakh

Key Points

• The Rajiv Yuva Vikasam Scheme aims to provide financial assistance to youth from marginalized communities to foster self-employment opportunities.
• It offers concessional loans of up to ₹4 lakh with varying subsidies depending on the loan amount.
• The scheme is focused on empowering youth from SC, ST, BC, MBC, Minority, and Christian Minority communities in Telangana.
• A total of ₹8,000 crore has been allocated for this scheme, with ₹1,800 crore set aside for bank linkages to help finance entrepreneurial ventures.

Important Points

• The scheme targets youth from marginalized backgrounds such as SC, ST, BC, MBC, Minority, and Christian Minority communities.
• It offers financial assistance to help set up small businesses or mini industries to promote economic independence.
• The scheme has set income limits for beneficiaries: ₹1.5 lakh per annum for rural areas and ₹2 lakh for urban areas.
• The maximum subsidy offered varies based on the loan amount, ranging from 100% subsidy for loans up to ₹50,000 to 70% subsidy for loans of ₹2 lakh to ₹4 lakh.

Additional Information

• Eligibility Criteria: Beneficiaries must be permanent residents of Telangana aged between 21 to 55 years for non-agricultural schemes and up to 60 years for agricultural schemes. Annual family income should not exceed the specified limit.
• Scheme Implementation: The scheme is part of a broader initiative by the Telangana government to reduce unemployment and promote self-sufficiency through small businesses.
• Beneficiary Contribution: Depending on the loan amount, beneficiaries are required to contribute a certain percentage toward the cost of setting up their business, with subsidies ranging from 100% to 70% based on the loan size.

Key Points

• The income of the Life Sciences sector in Telangana was valued at $50 billion in the year 2022, showcasing its significant contribution to the state's economy.
• Telangana has emerged as a major hub for the Life Sciences industry in India, with a focus on pharmaceuticals, biotechnology, and healthcare services.
• The state is home to Genome Valley, which is India's first and largest organized cluster for life sciences research and development, manufacturing, and commercialization.

Additional Information

• Genome Valley:
  • Genome Valley, located in Telangana, is a cluster dedicated to life sciences research and development.
  • It houses numerous pharmaceutical, biotechnology, and contract research organizations (CROs).
  • The cluster provides state-of-the-art infrastructure and facilities, making it a preferred destination for global and domestic life sciences companies.
• Pharmaceutical Industry in Telangana:
  • Telangana is known as the "Pharma Capital of India," producing over 35% of the country's pharmaceutical output.
  • It is a hub for the production of generic medicines and active pharmaceutical ingredients (APIs).
  • Several multinational pharmaceutical companies have set up operations in the state due to its favourable ecosystem.

Key Points

• Telangana, the 29th state of India, was formed on June 2, 2014.
• The state is administratively divided into 73 revenue divisions.
• Revenue divisions are sub-divisions of a district and play a critical role in the administration of land revenue and governance.
• Each revenue division is headed by a Revenue Divisional Officer (RDO) or Sub-Collector who oversees revenue administration and ensures effective governance.

Additional Information

• Revenue Division:
  • A revenue division is a geographical administrative unit within a district in India.
  • It is responsible for the collection of land revenue, resolving land disputes, and implementing government schemes.
  • Each revenue division is further divided into mandals or tehsils, which are smaller administrative units.
• Telangana State Overview:
  • Telangana was carved out of the northwestern part of Andhra Pradesh and became a separate state in 2014.
  • Its capital city is Hyderabad, which serves as a major IT and cultural hub in India.
  • Telangana has a total of 33 districts, each of which is further divided into revenue divisions and mandals.

Key Points

• The government of Telangana initiated the T-Fiber project to establish infrastructure for affordable, high-speed broadband connectivity and digital services to all districts of the state.
• T-Fiber aims to provide connectivity to over 10 million households, government institutions, and private enterprises.
• The project is part of the state’s vision to create a digitally empowered society and knowledge economy.
• The main objective is to bridge the digital divide and ensure that digital services reach even the remotest areas of the state.

Additional Information

• T-Fiber Project:
  • T-Fiber (Telangana Fiber Grid) is a flagship project of the Telangana government aimed at providing broadband connectivity to the entire state.
  • The project is designed to ensure high-speed internet access to every household, government institution, and private enterprise in all 31 districts.
  • T-Fiber is part of the BharatNet program initiated by the central government to provide broadband connectivity to all gram panchayats in India.
  • The project also aims to support various digital initiatives, such as e-governance, telemedicine, online education, and e-commerce, thereby improving the quality of life for residents.
• Investment and Funding:
  • The claim that the state will be investing nearly 10,000 crores into the project in 2018-19 is incorrect.
  • The actual investment in the T-Fiber project is significantly lower and is spread over several years.
  • Funding for the project comes from both the state government and central government initiatives like BharatNet.
• Digital Initiatives:
  • The T-Fiber project is part of a larger effort by the Telangana government to promote digital literacy and inclusion.
  • Other initiatives include the T-Hub, a startup incubator, and the TASK (Telangana Academy for Skill and Knowledge), which provides digital training to students and professionals.
  • These initiatives are aimed at creating a robust digital infrastructure and ecosystem in the state.

The correct answer is Project Approval.

Key Points

• Telangana State Industrial Project Approval and Self-Certification System (TS-iPass) was statutorily enacted in 2014.
• Time limits range from 1 to 30 days, depending on the complexity of the approval.
• All departments involved in the establishment and operation of an enterprise are brought under the purview of TS-iPASS.
• Telangana State Industrial Project Approval and Self-Certification System (TS i-PASS) is a self-certification-based single-window clearance system for industries.
• Telangana is the only state that allows industrial clearances based on selfcertification.

Additional Information

• TS-iPASS approval allows for the opening of more than 15,000 industries.
• Through TS-iPASS, Telangana attracted investments of Rs. 2,32,311 Cr., creating 16.48 lakh jobs.

The correct answer is Lalith kumar committee.

Key Points

•  The all-party agreement happened on January 19, 1969.
• The government set up a committee on Telangana surplus funds headed by Lalit Kumar.
• He was a CAG official.

• This committee examined all the allocations from November 1, 1956 to March 31, 1968 and submitted a report.

Additional Information

•  In this report, from November 1, 1956 to March 31, 1968, including excise duty, there was a surplus of 102 crores in the revenue account of Telangana, out of which the net surplus was 63.92 crores.

The correct answer is Telangana Industrial policy

Key Points

• Innovate, Incubate, Incorporate is the motto of Telangana State's Industrial Policy Framework in 2015.
• Telangana's industrialization is envisioned by the Telangana State Government as Research to Innovation, Innovation to Industry, and Industry to Prosperity"
• The policy framework aims to create a regulatory climate for business where conducting business would be as simple as shaking hands.
• The industries of the Telangana State will be led by innovation and technology.

Additional Information

• Telangana's government issued its first Information and Communication Technology (ICT) Policy in 2016.
• To boost the rate of growth in the IT sector, the government introduced sectoral policy frameworks in 2016 for Electronics, Innovation and Rural Technology, Data Centres, Open Data, Cyber Security, Data Analytics, Internet of Things (IoT), and eWaste
•  Allowing the state to become a national hub for technology entrepreneurship and innovation..
• The first ICT policy's success is reflected in the state's exports and employment trends in the IT/ITeS sector.
• Telangana's Second ICT Policy focuses on digital empowerment of citizens, innovation, and entrepreneurship as drivers of sector growth.
• It intends to increase exports from this sector from Rs.1.45 lakh crore in 2020-21 to Rs.3 lakh crore by the year 2026. 

The correct answer is Land pooling is voluntary and acquisition is involuntary.

Key PointsLand pooling

• According to this policy, individual or group land ownership is combined by transferring ownership rights.to the specified land pooling policy.
• Later, it returns ownership of a portion of the land to the original landowner so that they can proceed with the development of the region as instructed.
• Land pooling is voluntary.

Land acquisition

• Land acquisition in India refers to the procedure through which the central or state governments purchase private area in order to construct infrastructure, industrialise, or urbanise the land.
• It offers impacted landowners compensation.
• Land acquisition involuntary.

The correct answer is 42.59% and 24.07% respectively.

Key Points

• Telangana is the twelfth biggest state in India regarding geological region with 112.08 lakh hectares, of which around 60% of it is arable.
• In the rural year 2016-17, around 47.74 lakh hectares region was under net region planted and the gross edited region is around 59.70 lakh hectares.
• Woodland involves 26.98 lakh hectares, bookkeeping for 24.07% of the all-out geological region of the State.
• Around 8.52 lakh hectares of land put to non-agrarian utilizations and decrepit grounds (counting currently neglected and other neglected land) was spread over more than 15.03% of the aggregate geographical region in the State

The correct answer is Services sector.

Key Points

• As per the advanced estimates, the GSDP grew at 5.3% in 2014-15 as compared to 4.8% recorded in 2013-14 at constant prices of 2004-05.
• The GSDP at current prices for 2014-15 is estimated at Rs 4.30 lakh crore as against Rs 3.91 lakh crore for 2013-14 with a growth rate of 9.9%.
• The sectoral analysis shows the growth is highest in the services sector at 9.7% for 2014-15, followed by industry (4.1%) and a negative growth of (-) 10.3% in the agriculture sector.
• The growth estimate of 5.3% would have been higher but for the agriculture and allied activities which recorded a negative growth due to poor seasonal conditions.
• The contribution of agriculture sector to GSDP declined to 12.8% in 2014-15 from 15.1% in the previous year.
• The contribution of Industry sector is estimated to be 24.3% without much variation compared to the past year, while services had chipped in with a higher percentage of 62.9% (2014-15) as against 60.3% in 2013-14.

The correct answer is 17 %.Key Points

• In Telangana, Agriculture sector contributed 17% to GSDP at current prices for the year 2014-15.
• The shares of Agriculture and Industrial sectors were 17% and 22.5% respectively in the same period.
• The shares of Agriculture and Industrial sectors were 17% and 22.5% respectively in the same period.
• 74% of rural population is still depending on agriculture sector in Telangana State.
• The Industrial sector share at 22.5% of GVA of Telangana is lower than the national level (29.7%) and the share of manufacturing sector is only 15% of GVA. 

Additional Information

• Major Manufacturing Industries in Telangana:
  • Manufacture of pharmaceuticals, medicinal, clinical and botanical products constitute about 29% of the GVA within the manufacturing sector, followed by
  • manufacture of electrical equipment (11%),
  • manufacture of other non-metallic mineral products (9 %) and
  • manufacturing of food products (9 %) .
  • In terms of investment, manufacture of pharmaceuticals, other non-metallic mineral products, rubber and plastic products, electrical equipment and food products account for about 54 percent of total investment (fixed capital) within total manufacturing sector in the State .

The correct answer is Karimnagar.

Key Points

• The Mulkanoor Cooperative Rural Bank and Marketing Society Ltd, located in Telangana's Karimnagar district.
• It is a role model in many aspects and is responsible for several PhD theses, among other things.
• Few people are aware that Mulkanoor is home to one of the biggest paddy seed production and sales enterprises in the nation.

Additional Information

• Mulkanoor, a name well-known in the north Telangana region for its cooperative movement.
• The women members of the unit launched Swakrushi milk products.
• The Milk Shed Area activity, promoted by the National Dairy Development Board of Anand, is currently covering 72 villages in and around Mulkanoor.
• The co-operative society expects to cover 11,000 women by the end of its fifth year of operation.
• The project will cost Rs. 4.01 crore.

 Key Points

• ICRA ranked the state of Telangana as A+ because Telangana has very good State’s own tax revenue.

 Additional Information

• ICRA Limited (formerly Investment Information and Credit Rating Agency of India Limited) was established in 1991 as an independent and professional investment Information and Credit Rating Agency by leading financial/investment institutions, commercial banks, and financial services companies.
• ICRA and its subsidiaries now form the ICRA Group of Companies (Group ICRA). 
• ICRA is a Public Limited Company, and its shares are traded on the Bombay and National Stock Exchanges.
• Being an early entrant in the business of credit rating, the ICRA limited is one of the most experienced credit rating agencies in our country.
• ICRA rates rupee-denominated debt instruments which are issued by the manufacturing companies, commercial banks, non-banking finance companies, financial institutions, public sector undertaking and municipalities, etc.
• It also rates structured obligations and sector-specific debt obligations such as instruments which are issued by telecom, power and infrastructure companies.
• Other services which are offered by the ICRA include credit risk rating of debt mutual funds, and independent credit evaluation of the residual debt in entities which are under the RBI’s framework for resolution of stressed assets.
• It also provides rating of security receipts which are issued by the Asset Reconstruction Companies as mandated by the Reserve Bank of India.

Correct answer is: Sugarcane
Key Points

•  Ratooning is a farming method that allows for two harvests in a single cropping season by growing a second crop from the first stubble, which has the potential to be more resource-efficient and profitable than direct-sown crops. 
• This is also referred to as "stubble cropping". 
• During the first harvest, the sugarcane is cut using the Ratooning method, leaving a small portion of the stalk in the soil with the roots. 
• The stalk quickly produces new shoots or ratoons. 
• Ratoon refers to the second or any other successive crop grown from the roots of the previous crop.

 Additional Information

• Sugarcane, pineapple, and banana are grown using the ratooning method. 
• Ratooning cannot be used forever because the yield and quality of each cycle decreases. 
• Two or three ratooning crops of sugarcane, for example, are possible before new planting is required.
• Ratooning is a common practice on plants that will be used to produce essential oils, fibre, and pharmaceuticals. Crops that produce a consistent yield over three years are the most popular for ratooning.
• For example, the woody desert shrub guayule, a natural rubber substitute, is harvested for the first time when it is two years old and then ratooned every spring until a final crop of tops and roots is produced.