Industrial Policy MCQs
Industrial Policy – MCQs with Answers & Explanations
Class: CBSE Class 11
Subject: Economics
Section: Indian Economy 1950–1990
Topic: Industrial Policy
Board: CBSE Board Examinations
Subject: Economics
Section: Indian Economy 1950–1990
Topic: Industrial Policy
Board: CBSE Board Examinations
These Multiple Choice Questions (MCQs) are designed strictly as per the NCERT syllabus, making them ideal for CBSE Class 11 Board Examination preparation. Each question includes detailed explanations for clear conceptual understanding.
1. Industrial Policy refers to:
Answer: B
It outlines government measures to regulate and promote industries.
It outlines government measures to regulate and promote industries.
2. Industrial Policy Resolution first announced in:
Answer: A
The 1948 Resolution laid the foundation of industrial development.
The 1948 Resolution laid the foundation of industrial development.
3. Industrial Policy Resolution 1956 emphasised:
Answer: B
It gave commanding heights to the public sector.
It gave commanding heights to the public sector.
4. Commanding heights refer to:
Answer: B
Steel, power, mining etc. controlled by state.
Steel, power, mining etc. controlled by state.
5. Mixed economy means:
Answer: C
Public and private enterprises function together.
Public and private enterprises function together.
6. License Raj refers to:
Answer: B
Industries required government approval to operate.
Industries required government approval to operate.
7. Small‑scale industries promoted for:
Answer: B
They generated labour‑intensive jobs.
They generated labour‑intensive jobs.
8. Import substitution aimed to:
Answer: B
Domestic industries produced goods locally.
Domestic industries produced goods locally.
9. Public sector invested mainly in:
Answer: B
Capital goods industries formed industrial base.
Capital goods industries formed industrial base.
10. Industrial licensing caused:
Answer: B
Red‑tapism slowed industrial expansion.
Red‑tapism slowed industrial expansion.
11. Industrial growth strategy was:
Answer: B
Government guided development.
Government guided development.
12. Protection from imports provided through:
Answer: B
Tariffs shielded domestic firms.
Tariffs shielded domestic firms.
13. Cottage industries promoted to:
Answer: B
Supported rural livelihoods.
Supported rural livelihoods.
14. Private sector role:
Answer: A
Focused on light industries.
Focused on light industries.
15. Industrial policy sought:
Answer: B
Regional industrial balance.
Regional industrial balance.
16. MRTP Act aimed to control:
Answer: A
Prevent concentration of economic power.
Prevent concentration of economic power.
17. Industrial estates promoted:
Answer: A
Provided infrastructure support.
Provided infrastructure support.
18. Foreign investment policy was:
Answer: B
Limited to protect domestic firms.
Limited to protect domestic firms.
19. Industrial policy criticism:
Answer: B
Controls reduced productivity.
Controls reduced productivity.
20. Overall industrial outcome:
Answer: A
Laid foundation for future industrialisation.
Laid foundation for future industrialisation.
