Q70. According to the advance estimates cited in the paper, what was Rajasthan’s per-capita income at 2011–12 prices in 2020–21?
[RPSC RAS Prelims (27 October 2021)]
A. ₹79,722
B. ₹97,227
C. ₹72,297
D. ₹75,527
Answer: C. ₹72,297
Explanation: The official advance estimate used in the RAS paper placed Rajasthan’s real per-capita income at ₹72,297. A constant-price measure uses a fixed reference-year price level and is distinct from the usually larger current-price value.
Q69. Besides income and expenditure methods, what is the third standard way of calculating aggregate output?
[SSC CGL 2019 (5 March 2020, Shift 2)]
A. Product or value-added method
B. Deposit method
C. Lending method
D. Spending method
Answer: A. Product or value-added method
Explanation: The production method adds value created by producing units across economic activities. Alongside the income and expenditure methods, it is one of the three conceptually equivalent approaches to measuring gross domestic product.
Q68. Depreciation provides an annual allowance for wear and tear of what?
[SSC CGL 2019 (5 March 2020, Shift 2)]
A. Work in progress
B. Land
C. Finished output
D. Capital goods
Answer: D. Capital goods
Explanation: Capital goods such as machines and buildings lose productive value through use, age and obsolescence. National accounts deduct this consumption of fixed capital when moving from gross measures to net measures.
Q67. What do the initials GNP denote?
[SSC CGL 2019 (9 March 2020, Shift 1)]
A. Gramin Nigam Parishad
B. Gramin Nisak Praman
C. Gross National Product
D. Gross National Produce
Answer: C. Gross National Product
Explanation: Gross national product relates output or income to factors belonging to a country’s residents, including their net factor income earned abroad. It differs from GDP, which uses the location of production.
Q66. Which is not a standard GDP-estimation method?
[BPSC 66th Prelims (re-exam 2020)]
A. Production method
B. Diminishing-cost method
C. Income method
D. Expenditure method
Answer: B. Diminishing-cost method
Explanation: GDP can be estimated from production, incomes and final expenditures, with suitable statistical reconciliation. Diminishing cost is not an independent national-accounts measurement approach and therefore does not belong in this list.
Q65. By which year did India’s policy objective seek to attain a US$5-trillion economy, according to the aspiration cited in the 2020 paper?
[UPPSC Civil Services Prelims (2020)]
A. 2022
B. 2024
C. 2026
D. 2030
Answer: B. 2024
Explanation: The answer records the policy ambition as expressed when the 2020 exam was held, not a claim that the milestone was actually achieved in that year. Nominal dollar GDP also depends on exchange rates as well as domestic growth.
Q64. Higher productivity among firms tends to have what effect on GDP, other things equal?
[SSC CGL (13 June 2019, Shift 1)]
A. GDP falls
B. GDP increases
C. Effect is impossible to assess in any context
D. GDP must be unchanged
Answer: B. GDP increases
Explanation: When firms produce more output from available resources, economy-wide production can rise. Higher productivity also raises potential output and supports growth, though measured GDP ultimately depends on demand and actual production.
Q63. What is an intermediate good in national income accounting?
[SSC CGL (10 June 2019, Shift 3)]
A. Output price before tax
B. Goods in transit
C. Goods used by other producers to create further output
D. Fixed manufacturing machinery
Answer: C. Goods used by other producers to create further output
Explanation: Intermediate goods are inputs that undergo further processing or are consumed in production. Their value is already reflected in the value of final output, so separate counting would overstate GDP.
Q62. The older expression “Hindu growth rate” referred primarily to which economic measure?
[BPSC 65th Prelims (2019)]
A. Money supply
B. GDP
C. Population
D. GNP of foreign countries
Answer: B. GDP
Explanation: The expression described the prolonged low growth of India’s overall economic output during much of the period from independence to the early 1980s. It did not describe demographic or monetary expansion.
Q61. In the conventional Indian competitive-exam definition, national income is measured as which aggregate?
[RRB Junior Engineer (22 May 2019, Shift 2)]
A. NNP at factor cost
B. Gross National Product
C. NNP at market prices
D. Gross Domestic Product
Answer: A. NNP at factor cost
Explanation: Net National Product at factor cost represents net factor earnings attributable to residents. It differs from gross national product by depreciation and from market-price values by the adjustment for net indirect taxes.
