50+ Globalisation And The Indian Economy Class 10 MCQ and Answers

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Globalisation And The Indian Economy Class 10 MCQ and Answers

1. Which one of the following has benefited least because of globalisation in India?

(a) Agriculture Sector

(b) Industrial Sector

(c) Service Sector

(d) Secondary Sector

Answer: a

2. What is the amalgamation and rapid unification between countries identified as?

(a) Globalisation

(b) Liberalisation

(c) Socialisation

(d) Privatisation

Answer: a

3. Globalisation has improved the living structure of which of the following?

(a) All the people

(b) People living in developing countries

(c) People living in developed countries

(d) None of the above

Answer: b

4. Which Indian industries have been hit by globalisation?

(a) Cement

(b) Jute

(c) Toy making

(d) Information technology (IT)

Answer: c

5. Which of these organisations emphasises on the liberalisation of foreign investment and foreign trade?

(a) International Monetary Fund

(b) World Health Organisation

(c) World Trade Organisation

(d) International Labour Organisation

Answer: c

6. Tax on imports is considered as an example of 

(a) Collateral

(b) Trade barriers

(c) Foreign trade

(d) Terms of trade

Answer: b

7. Which of the following is the main reason behind the investments of MNCs?

(a) To benefit foreign countries

(b) To provide financial support to the country’s government

(c) For the welfare of underprivileged people

(d) To increase the assets and earn profits

Answer: d

8. Which of these institutes supports investments and foreign trade in India?

(a) International Monetary Fund (IMF)

(b) World Trade Organisation (WTO)

(c) World Bank

(d) International Labour Organisation (ILO)

Answer: b

9. When did the government remove the barriers for investment in India?

(a) 1990

(b) 1991

(c) 1992

(d) 1993

Answer: b

10. Globalisation so far has been more in favour of:

(a) developed countries

(b) developing countries

(c) poor countries

(d) none of the above

Answer: a

11. Cheaper imports, inadequate investment in infrastructure lead to

(a) slowdown in agricultural sector

(b) replace the demand for domestic production

(c) slowdown in industrial sector

(d) all the above

Answer: d

12. Which sector has not benefited by the policy of globalisation?

(a) Agricultural sector

(b) Manufacturing sector

(c) Service sector

(d) All the above

Answer: a

13. Fair globalisation refers to ensuring benefits to:

(a) labourers

(b) producers

(c) consumers

(d) all the above

Answer: d

14. Which one of the following organisations lay stress on liberalisation of foreign trade and foreign investment?

(a) International Monetary Fund

(b) International Labour Organisation

(c) World Health Organisation

(d) World Trade Organisation

Answer: d

15. Removing barriers or restrictions set by the government is known as

(a) Globalisation

(b) Privatisation

(c) Nationalism

(d) Liberalisation

Answer: d

16. Which one of the following refers to investment?

(a) The money spent on religious ceremonies

(b) The money spent on social customs

(c) The money spent to buy assets such as land

(d) The money spent on household goods

Answer: c

17. Which of the following is a ‘barrier’ on foreign trade?

(a) Tax on import

(b) Quality control

(c) Sales tax

(d) Tax on local trade

Answer: a

18. Special Economic Zones (SEZs) are being set up to attract

(a) foreign tourists

(b) foreign investment

(c) foreign goods

(d) foreign policies

Answer: b

19. Entry of MNCs in a domestic market may prove harmful for

(a) all large scale producers

(b) all domestic producers

(c) all substandard domestic producers

(d) all small-scale producers

Answer: c

20. Ford Motors set up its first plant in India at

(a) Kolkata

(b) Mumbai

(c) Chennai

(d) Delhi

Answer: c

21. Which of the following industries have been hard hit by foreign competition?

(a) Dairy products

(b) Leather industry

(c) Cloth industry

(d) Vehicle industry

Answer: a

22. In which year did the government decide to remove barriers on foreign trade and investment in India?

(a) 1993

(b) 1992

(c) 1991

(d) 1990

Answer: c

23. “MNCs keep in mind certain factors before setting up production”. Identify the incorrect option from the choices given below

(a) Availability of cheap skilled and unskilled labour

(b) Proximity to markets

(c) Presence of a large number of local competitors

(d) Favourable government policies

Answer: c

24. Why do MNCs set up offices and factories in more than one nation?

(a) The cost of production is high and the MNCs can earn profit.

(b) The cost of production is low and the MNCs undergoes a loss.

(c) The cost of production is low and the MNCS can earn greater profit.

(d) The MNCs want to make their presence felt globally.

Answer: c

25. The most common route for investments by MNCs in countries around the world is to

(a) set up new factories

(b) buy existing local companies

(c) form partnerships with local companies

(d) None of these

Answer: a

26. Removing barriers or restrictions set by the government is known as

(a) privatisation

(b) globalisation

(c) liberalisation

(d) socialisation

Answer: c

27. Entry of MNCs in a domestic market may prove harmful for:

(a) all large scale producers

(b) all domestic producers

(c) all substandard domestic producers

(d) all small scale producers

Answer: d

28. Which one of the following is a major benefit of joint production between a local company and a Multi-National Company?

(a) MNC can bring latest technology in the production

(b) MNC can control the increase in the price

(c) MNC can buy the local company

(d) MNC can sell the products under their brand name

Answer: a

29. Which one of the following is not true regarding the World Trade Organisation?

(a) It allows free trade to all countries without any trade barriers.

(b) Its aim is to liberalise international trade.

(c) It establishes rules regarding international trade.

(d) WTO rules have forced the developing countries to remove trade barriers.

Answer: a

30. Integration of markets means

(a) operating beyond the domestic markets

(b) wider choice of goods

(c) competitive price

(d) all the above

Answer: d

31. Which of the following contributes to globalisation?

(a) internal trade

(b) external trade

(c) large scale trade

(d) small scale trade

Answer: b

32. Investment means spending on

(a) factory building

(b) machines

(c) equipment

(d) all the above

Answer: d

33. Multinational corporations have succeeded in entering global markets through

(a) WTO

(b) UNO

(c) UNESCO

(d) none of the above

Answer: a

34. FDI (Foreign Direct Investment) attracted by globalisation in India belongs to the

(a) World Bank

(b) multinationals

(c) foreign governments

(d) none of the above

Answer: b

35. Which of the following factors has not facilitated globalisation?

(a) Technology

(b) Liberlisation of trade

(c) WTO

(d) Nationalisation of banks

Answer: d

More Related MCQs on Class 10 Economics

Chapter 1: Understanding Economic Development
Chapter 2: Sectors of Indian Economy
Chapter 3: Money and Credit
Chapter 4: Globalisation and the Indian Economy
Chapter 5: Consumer Rights

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