AP 10th Class Social Economics Bits 4th Lesson Globalisation and the Indian Economy
Select and write the most appropriate option:
Question 1.
Which of the following is a major force driving globalisation?
A) Growth in exports
B) Outsourcing of services
C) Expansion of MNCs
D) Improvement in technology
Answer:
C) Expansion of MNCs
Question 2.
How do MNCs take advantage of setting up production in other countries?
A) Access local resources and markets
B) Use capital intensive techniques
C) Employ temporary workers
D) Import skilled staff
Answer:
A) Access local resources and markets
Question 3.
Which of the following is a benefit of globalisation for Indian companies?
A) Collaboration with foreign firms
B) Lower scale of production
C) Loss of domestic brands
D) Fall in exports
Answer:
A) Collaboration with foreign firms
Question 4.
Which of the following is a reason developing countries liberalised foreign trade and investment policies?
A) Pressure from WTO
B) Increase in bilateral trade
C) High domestic savings
D) Surplus foreign exchange
Answer:
A) Pressure from WTO
Question 5.
How has rising competition impacted small manufacturers in India?
A) Forced many companies to shut down
B) Led to greater mechanisation
C) Lowered production costs
D) Outdated technology
Answer:
B) Led to greater mechanisation
Question 6.
What is the impact of FDI on domestic companies?
A) Results in increased productivity
B) Lowers the bargaining power of suppliers
C) Limits the expansion of MNCs
D) Raises prices for consumers
Answer:
D) Raises prices for consumers
Question 7.
How does globalisation benefit well-off urban consumers in India?
A) Access to cheaper products
B) Reduced purchasing capacity
C) Mainly services like health
D) Limited1 brand choices
Answer:
B) Reduced purchasing capacity
Question 8.
What drives MNCs to locate operations in other countries?
A) Vast pools of skilled labour
B) Lower labour and resource costs
C) Desire to expand research capabilities
D) Presence of supplier industries
Answer:
B) Lower labour and resource costs
Question 9.
How does lowering trade barriers help domestic producers as per WTO?
A) Better access to world markets
B) Need to upgrade technology and skills
C) Inability to tap export markets
D) Protection from foreign competition
Answer:
B) Need to upgrade technology and skills
Question 10.
have been the most important force shaping globalisation.
A) Foreign investors
B) Small companies
C) Developed nations
D) Multinational corporations
Answer:
D) Multinational corporations
Question 11.
Food products, garments, sports Items are examples of Industries where .
A) outsourc1ðg Is not possible
B) small producers operate
C) raw materials dominate costs
D) technology changes rapidly
Answer:
B) small producers operate
Question 12.
___________ Is the process of rapid Integration between countries.
A) Uberalisatlon
B) Privatisation
C) Globalisation
D) Industrialisation
Answer:
C) Globalisation
Question 13.
Developing countries like India liberalised foreign trade due to pressure from
A) Russia
B) OPEC
C) World Bank
D) Unction
Answer:
C) World Bank
Question 14.
______ help MNCs to keep costs low by shifting operations wherever cheap resources are available.
A) Trade barriers
B) Technological Improvements
C) Labour laws
D) Subsidiaries
Answer:
D) Subsidiaries
Question 15.
Choose the correct pair _______
A) WTO – trade coopetIpn
B) MNC – flexibility in operations
C) FDI – reduced competition
D) imports – self-relIance
Answer:
B) MNC – flexibility in operations
Question 16.
Choose the correct pair
A) Outsourcing – emppyment generation
B) Small producers – gain from trade reforms
C) Exports – higher prices
D) Corn petition – lack of incentives
Answer:
C) Exports – higher prices
Question 17.
Choose’the correct pair ______
A) SEZs – prevent land acquisition
B) Trade barriers – promote globalisation
C) Collaboration – access to technology
D) Quotas – increase consumer welfare
Answer:
C) Collaboration – access to technology
Question 18.
Choose the correct pair ______
A) MNCs – create monopolies
B) integration – choIce of goods
C) Globalisation – greater competition
D) Labour laws promote fair working conditions
Answer:
D) Labour laws promote fair working conditions
Question 19.
Choose the correct pair:
A) Developing nations – hIgh savings
B) Services – strengthen manufacturing sector
C) Foreign trade – generates employment
D) Imports – low costs for consumers .
Answer:
C) Foreign trade – generates employment
Question 20.
Choose the odd one out.
A) Trade barriers
B) Foreign investment
C) MNCs
D) WTO
Answer:
D) WTO
Question 21.
Choose the odd one out.
A) Tata Motors
B) Suzuki
C) Infosys
D) Oracle
Answer:
B) Suzuki
Question 22.
Choose the odd one out.
A) China
B) USA
C) India
D) Britain
Answer:
D) Britain
Question 23.
Choose the odd one out.
A) Labour laws
B) Outsourdng
C) Collaboration
D) Quotas
Answer:
D) Quotas
Question 24.
Choose the odd one out.
A)SEZs
B)FDI
C) Technology
D) Small prodwers
Answer:
D) Small prodwers
Question 25.
Arrange In correct sequence.
i) Exports
ii) Production
iii) Distribution
iv) Employment
A) ii, iii,i,iv
B) iii, iii,iv
C) iv,i,iii,ii
D) i,ii,iv,iii
Answer:
B) iii, iii,iv
Question 26.
Arrange In correct sequence.
i) Resources
ii) Markets
iii) Suppliers
iv) Technology
A) ii,iii,i,iv
B) ii,i,iii,iv
C) iii,ii,i,iv
D) i,ii,iv,iii
Answer:
C) iii,ii,i,iv
Question 27.
Which of the following pairs is incorrect?
A) Globalisation: Integration through foreign trade and investments by multinational corporations (MNCs)
B) MNCs: Spread their production to other countries ,
C) Technological advancements: Barrier to foreign trade and investments
D) Liberalisation of trade arid investment policies: Fariftitating globalisation
Answer:
C) Technological advancements: Barrier to foreign trade and investments
Question 28.
Which of the following pairs is incorrect?
A) MNCs: Set up new factories
B) Foreign trade: Integration of markets in different couhtries
C) Living conditions: Improved for all people
D) Developed countries: Want developing countries to liberalise trade and investment
Answer:
C) Living conditions: Improved for all people
Question 29.
Which of the following pairs is incorrect?
A) Ravi’s small production unit: Affected by rising competition
B) Flexibility in labour laws: Help companies
C) Liberalisation of trade and investment policies: Hindering the globalisation process
D) Foreign trade: Integration of markets across countries
Answer:
C) Liberalisation of trade and investment policies: Hindering the globalisation process
Question 30.
Which of the following pairs is incorrect?
A) Small producers in India: Need better infrastructure and technology to compete in the market
B) MNCs: Interested in investing in facilities that support small producers
C) US government: Provides massive sums of money to proiriote environmentally friendly goods
D) Government: Has a role in making facilities available to support small producers
Answer:
C) US government: Provides massive sums of money to proiriote environmentally friendly goods
Question 31.
Which of the following is an advantage of foreign investment for domestic companies in India?
A) Increased competition
B) Access to cheaper raw materials
C) Advanced technology and skills
D) Decline in exports
Answer:
C) Advanced technology and skills
Question 32.
How does (Outsourcing IT services to India benefit foreign conipanies?
A) Highly skilled workforce at low cost
B) Limited internet connectivity
C) Scarcity of educated workers
D) Language barriers
Answer:
A) Highly skilled workforce at low cost
Question 33.
What enables the goods and services produced in India to be exported worldwide?
A) High transportation costs
B) Import tariffs in India
C) Advanced infrastructure
D) Lack of trade agreements
Answer:
C) Advanced infrastructure
Question 34.
How does globalisation impact jobs in export oriented industries in India?
A) Better terms of employment and wages
B) Lack of job security
C) Less pressure on workers
D) Modernisation of technology
Answer:
B) Lack of job security
Question 35.
How does access to global markets help domestic companies in India?
A) Inability to tap export demand .
B) Need to improve efficiency and competitiveness
C) Economies of scale
D) Low quality standards
Answer:
C) Economies of scale
Question 36.
What is an advantage of Special Economic Zones for foreign investors?
A) Flexible government policies
B) High tax rates
C) Costly land acquisition
D) Unreliable infrastructure
Answer:
A) Flexible government policies
Question 37.
How does greater foreign investment in manufacturing benefit India?
A) Transfer of low cost, production abroad
B) Sophisticated R&D centres
C) Competition for skilled labour
D) Reduced domestic investment
Answer:
B) Sophisticated R&D centres
Question 38.
Trade reforms in India were initiated due to pressure from:
A) China and Russia
B) IMF and World Bank
C) OPEC countries
D) Developed nations
Answer:
B) IMF and World Bank
Question 39.
Which of the following is a benefit of globalisation for the Indian economy?
A) Strengthening of small enterprises
B) Dominance of agriculture
C) Increase in foreign exchange reserves
D) Fall in GDP growth rate
Answer:
C) Increase in foreign exchange reserves
Question 40.
Rise in demand for exports leads to:
A) Lower production capacity
B) Less employment generation
C) Under utilisation of resources
D) Creation of jobs in export sectors.
Answer:
D) Creation of jobs in export sectors.
Question 41.
Match the following producers with their respective industries:
| a) Nike | i) Automobiles |
| b) Honda | ii) Garments, footwear, sports items |
| c) Nokia | iii) Electronics |
A) a – ii, b – i, c – iii
B) a – i, b – ii, c – iii
C) a – iii, b – ii, c – i
D) a – i, b – iii, c – ii
Answer:
| a) Nike | ii) Garments, footwear, sports items |
| b) Honda | i) Automobiles |
| c) Nokia | iii) Electronics |
Question 42.
Match the following conditions of work with the industry:
| a) Batteries, capacitors, plastics, toys, tyres, dairy products and vegetable oil | i) Small manufacturers facing competition |
| b) Automobiles | ii) Major MNCs dominating production |
| c) Garments, footwear, sports items | iii) Small industries employing a large workforce |
A) a – i, b – ii, c – iii
B) a – ii, b – i, c – iii
C) a – iii, b – ii, c – i
D) a – iii, b – i, c – ii
Answer:
C) a – iii, b – ii, c – i
| a) Batteries, capacitors, plastics, toys, tyres, dairy products and vegetable oil | iii) Small industries employing a large workforce |
| b) Automobiles | ii) Major MNCs dominating production |
| c) Garments, footwear, sports items | i) Small manufacturers facing competition |
Question 43.
Match the following aspects of the industry with their descriptions:
| a) Various producers/companies | i) InformatIon about competition |
| b) Export of the product to other countries | ii) Global market reach |
| c) Presence of MNCs among the producers | iii) Industry growth and modernization |
| d) Changes in the industry in the past 15 years | iv) Impact on local producers |
| e) Problems faced by people In the industry | v) Working conditions and job security |
A) a – i, b – ii, c – iii, d – iv, e – v
B) a – i, b – ii, c – iv, d – iii, e – v
C) a – i, b – iv, c – iii, d – ii, e – i
D) a – ii, b – i, c – iv, d – iii, e – v
Answer:
| a) Various producers/companies | i) InformatIon about competition |
| b) Export of the product to other countries | ii) Global market reach |
| c) Presence of MNCs among the producers | iv) Impact on local producers |
| d) Changes in the industry in the past 15 years | iii) Industry growth and modernization |
| e) Problems faced by people In the industry | v) Working conditions and job security |
Question 44.
Match the following reasons for putting barriers to foreign trade with their
| a) Protection of domestic industries | i) Increase in consumer choices and competitive prices |
| b) RedUction of dependence on imported goods | ii) Developing self-reliance and economic stability |
| c) Promoting domestic production and employment | iii) Shielding domestic industries from foreign competition |
| d) National security concerns | iv) Secure access to essential resources |
A) a – iii, b – ii, c – i, d – iv
B) a – ii, b – iii, c – i, d – iv
C) a – i, b – ii, c – iii, d – iv
D) a – iv, b – iii, c – ii, a – i
Answer:
A) a – iii, b – ii, c – i, d – iv
| a) Protection of domestic industries | iii) Shielding domestic industries from foreign competition |
| b) RedUction of dependence on imported goods | ii) Developing self-reliance and economic stability |
| c) Promoting domestic production and employment | i) Increase in consumer choices and competitive prices |
| d) National security concerns | iv) Secure access to essential resources |
Question 45.
Assertion : Outsourcing reduces costs for MNCs.
Reason : Workers in developing countries are highly paid.
A) Assertion is true but reason is false.
B) Assertion is false but reason is true.
C) Both assertion and reason are true.
D) Both assertion and reason are false.
Answer:
A) Assertion is true but reason is false.
Question 46.
Assertion : Trade barriers promote exports.
Reason : They make imported goods more expensive.
A) Assertion is true but reason is false.
B) Assertion is false but reason is true.
C) Both assertion and reason are true.
D) Both assertion and reason are false.
Answer:
B) Assertion is false but reason is true.
Question 47.
Assertion : India attracted more foreign investment after 1991.
Reason : India liberalised trade and investment policies.
A) Assertion is true but reason is false.
B) Assertion is false but reason is true.
C) Both assertion and reason are true.
D) Both assertion and reason are false.
Answer:
C) Both assertion and reason are true.
Question 48.
Assertion : Exporters gain from a weaker currency.
Reason : Their products become cheaper abroad.
A) Assertion is true but reason is false.
B) Assertion is false but reason is true.
C) Both assertion and reason are true.
D) Both assertion and reason are false.
Answer:
B) Assertion is false but reason is true.