UPSC Economic Questions and Answers

UPSC Economic Questions and Answers

The civil services exam is one of the toughest examinations conducted in the country, and economy questions constitute a major of the two written phases of the examination. At BYJU’S we bring to you a compiled list of Economy questions along with answers that are suitable from the prelims and mains perspective.

These answers have been provided by UPSC experts for the candidate’s assistance, without any indirect or ambiguous information. Questions based on sustainable development, GDP, economic growth, taxation, etc. are included in the economy syllabus and the list of questions provided below will focus on the same.

The compiled list of questions given below comes with straightforward and crisp answers, with the IAS mains General Studies-III paper syllabus as the focal point. Aspirants can refer to these questions and answers and familiarize themselves with the depth of important economic topics as per the UPSC Syllabus.

It means Gross Domestic Product (GDP) per capita based on purchasing power parity (PPP). Using purchasing power parity rates, GDP is converted to...
It means Public Private Partnership in the Indian economy. Many infrastructure projects are executed through PPP mode in India through...
4.2 LCU per international dollar was the purchasing power parity for China in 2020.You can read about the Methods of GDP Estimation in the given...
It is done by equalizing the value of comparable market basket of goods between two countries. This equalizing exchange rate is the PPP exchange...
The system of 5 year plans by the Planning Commission in India was stopped in 2015 by the Government of India, led by Prime Minister Narendra...
The aim of the five year plans was to bring development in India across different sectors. You can read about the National Institution for...
The five year plan was started in 1951. You can read about the National Institution for Transforming India (NITI Aayog) - A Brief Overview in the...
Measurement of Purchasing power parity (PPP) is done by estimating the values of a basket of consumer goods that are found in different nations....
As per one of the recent studies, it is estimated that 23 crore people in India are earning less than Rs 375 per day.You can read about the Main...
As per a methodology approved by the Union Cabinet, the income limit was Rs 27,000 per annum for households to qualify as beneficiaries under...
Purchasing Power Parity (PPP) is a measurement of prices in different countries. It is to understand the absolute purchasing power of a nation's...
Money multiplier means increase in money supply.You can read about the Money Supply in Economy - Types of Money, Monetary Aggregates, Money...
It helps in comparing living standards between different countries and estimate the economic productivity. You can read about the Methods of GDP...
The factors affecting the money multiplier are excess reserves ratio, currency ratio, and required reserves ratio.You can read about the Money...
The PPP of Indian rupee per US dollar at GDP level was 20.65 in 2017. In terms of Purchasing Power Parity, India is the world’s 3rd largest...
For example, if the commercial banks gain deposits of $ 10 million and this leads to a final money supply of $ 100 million,the money multiplier...
For measuring overall well-being, Purchasing Power Parity (PPP) is considered as a good indicator. China has the highest GDP (PPP). You can read...
Multiplier = 1/(1-MPC) is the Keynesian multiplier formula. MPC is marginal propensity to consume.You can read about the Money Supply in Economy...
The quantity of services and goods that can be purchased with a monetary unit is known as the purchasing power of money. You can read about the...
The different types of multipliers in economics are the Fiscal multiplier, Keynesian multiplier, Employment multiplier, Consumption multiplier...