Economic Survey and Union Budget 2021 MCQ

Economic Survey and Union Budget 2021: Most Important MCQ

Economic Survey and Union Budget 2021 mcq has been presented by Textbooq. The compilation of all questions and answers will be helpful for Upcoming Government Job Examinations.

Economic Survey and Union Budget 2021_ Most Important MCQ
Economic Survey and Union Budget 2021: Most Important MCQ

Economic Survey of India 2021

The Economic Survey is reviewed economic developments over the last financial year through statistical data in all sectors. The Economic Survey of India was first presented in 1950-51 along with the budget. Later, from 1964, the economic survey is being presented one-day earlier than the Union Budget presentation.

  • The Economic Survey of India 2020-21 was presented in the Parliament on 29th January of 2021 by the Finance Minister of India, Mrs. Nirmala Sitharaman.
  • Chief Economic Advisor of India, Mr. Krishnamurthy Subramanian prepared the survey.
  • The theme of the Economic Survey of India 2021 was:Saving Lives and Livelihood amidst a Once-in-a-Century Crisis.

The Economic Survey of India 2021 has been presented based on a four-pillar strategy of containment, financial, fiscal, and long-term structural reforms.

The Economical Survey of India consists of two volumes:

  • Volume I represents the present analytical reports of the economical state of India.
  • Volume II represents a detailed view of the previous year’s economical developments in India.

Why Economical Survey is so important?

  1. It provides a detailed document presentation of the economic condition of India.
  2. It accesses statistical data which helps to present the Union Budget for the forthcoming financial year.

Difference Between Union Budget and Economic Survey:

  • The Economic Survey is reviewed economic developments over the last financial year through statistical data in all sectors. Whereas The Union Budget estimates revenue and expenses over the upcoming financial year.
  • An economic survey is presented based on the union budget of the past year and The Union Budget is presented based on the Economic Survey.

Highlights of the Economic Survey of India 2021

  • The economy has shown a V-shaped recovery from its downturn with a stable macroeconomic situation. Covid-19 pandemic is the reason for economic contraction.
  • It has shown 11.0% growth in a 7.7% contraction in the Indian Economy.
  • FDI inflow has increased by 55% worth US$ 358.29 billion in 2014-2020, despite the contraction in GDP growth rate.
  • India’s real GDP is forecasted to an 11% growth in the FY 2021-22.
  • India’s nominal GDP is expected to grow by 15.4%.
  • The direction of the GDP was upward consistently. It projected a decline in exports and imports by 5.8% and 11.3% respectively.
  • There was a recommendation for an increment of 2.5% – 3% of GDP instead of 1%.
  • Telemedicine services will get investment in internet connectivity and health infrastructure.
  • The agriculture sector showed a 3.4% growth in FY 2020-21.
  • The industry sector was contracted by 9.6% in FY 2020-21.
  • The service sector was also seen a decline by8.8% in FY 2020-21.
  • The FPI (Foreign Portfolio Investment) of November 2020 was estimated all-time high of US$ 9.8 billion.
  • The forex reserve of India estimates US$ 586.1 billion.
  • Production Linked Incentive (PLI), Remission of Duties and Taxes on Exported Products (RoDTEP) – these initiatives will promote exports.
  • The agricultural credit flow was estimated at INR 13,92,469.81 crore.
  • Pradhan Mantri Fasal Bima Yojana has to pay INR 90,000 crore to 5.5 crore farmers.
  • 9 crores of farmer families got benefit from the amount of INR 18,000 crore under PM-KISAN yojana.
  • FPI (Food Processing Industries) sector has seen an average Annual Growth Rate of 9.99% approximately.
  • Ease of Doing Business Index 2019: India holds 63rd position (77th in 2018).
  • A Bare Necessities Index (BNI) has been created to track bare necessities at the district level. BNI shows improvement in 2018 than in 2012. Bare Necessities Index (BNI): It is an annual survey data been constructed on 26 indicators based on five dimensions – Housing, Micro-environment, Sanitation, Water, and other facilities. BNI classifies the area into three levels: high, medium, and low. Some schemes launched based on BNI: 
    For the education sector: PM eVIDYA (One Nation One Digital Platform), PRAGYATA, Swayam Massive Open Online Courses.
    For employment: Aatmanirbhar Bharat Rozgar Yojana
    For the housing sector: Pradhan Mantri Awas Yojana, Saubhaggya Yojana.
    For the health sector: National Health Mission, Pradhan Matri Jan Arogya Yojana.
Bare Necessities Index
Bare Necessities Index
Bare Necessities Index 2
Bare Necessities Index 2

Economic Survey 2021 MCQ 

  1. What is the GDP rate in India in 2020-21 according to Economic Survey 2021?

-7.7%

  1. How much the expenditure has increased from the previous year’s budget for FY 2020-21?

31.5%

  1. What is the GDP rate of India according to the economic survey of India 2021?

-6.8%

  1. What will be the estimated GDP rate in 2025-26?

below 4.5%

5. The GDP of India started to decline from which year?

2017-2018

  1.  What was the Current Account Surplus in the first half of FY 2020-21 according to the economic survey of India 2021?

3.1% of GDP

  1. When is the economic survey presented in Parliament?

One working day earlier the Union Budget

  1. What is the estimated India’s real GDP and nominal GDP growth in the FY 2020-21?

India’s real GDP is estimated to touch the growth of 11% in 2021-22 and nominal GDP by 15.4%, The data is the highest since independence.

  1. What is the Net Foreign Direct Investment (FDI) inflows during April-October, 2020?

Net Foreign Direct Investment (FDI) inflows is recorded at USD 27.5 billion during April-October, 2020.

    10. Why is National Infrastructure Pipeline introduced?

National Infrastructure Pipeline  has been introduced to accelerate the demand push and further the recovery.

  1. What is the FDI limit in digital sectors?

26%

  1. Which state ranked top in Bare Necessities Index?

Kerala

13. How much growth has been recorded at the agricultural sector?

The Agriculture & Allied activities have been clocked a growth of 3.4%.

14. What is the literacy level at the elementary school level?

The literacy level is 96% at the elementary school level.

15. What does the PM eVIDYA scheme envision for?

PM eVIDYA is a comprehensive scheme in the field of digital/online/on-air education to enable multi-mode and equitable access to quality education for students and teachers.

16. What is MANODARPAN Initiative?

The MANODARPAN initiative is a form of psychological support to enable someone to be a self-reliant.

16. PRAGYATA Guidelines has been issued in which sector?

Ministry of Education released guidelines on digital education titled ‘PRAGYATA’.

17. The services sector accounts for how much of India’s Gross Value Added (GVA)?

The services sector accounts for more than 54% of India’s Gross Value Added (GVA) and almost four-fifths of the total Foreign Direct Investments (FDI) inflow into India.

18.  What is the percentage of enrolled children in schools owning a smartphone in rural India?

The percentage of enrolled children in schools owning a smartphone increased from 36.5% in 2018 to 61.8% in 2020 in rural India.

19. What are the five dimensions used in BNI?

The five dimensions which are used in BNI are: water, sanitation, housing, micro-environment, and other facilities.

 

Union Budget 2021

  • Union Budget is the budget presented by the the National Informatics Center, under the department of Economic Affairs, Ministry of Finance. 2021-2022 Union Budget was announced in Lok Sabha on 1st February of 2021, presented by Finance Minister of India Mrs. Nirmala Sitharaman.
  • The total expenditure of this budget is INR 34,83,236 crore.
  • The focus of this year’s budget was “to strengthen the Sankalp of Nation, Good Governance, to make  farmers’ income double, Healthy India, Opportunity for youth, Education for all, Women Empowerment and Inclusive Development.”
  • This 2021 Union Budget is presented based on 6 pillars:

Health and Wellbeing:

  1. This year, health infrastructure has seen an increment in an investment of INR 2,23,846 crore against its last year’s allotment of INR 94,452 crore.
  2. Pradhan Mantri Aatmanirbhar Swasth Bharat Yojana has been announced to launch with an outlay of around INR 64,180 crore over 6 years.
  3. An amount of INR 35,000 crore has been allotted for the Covid-19 vaccine.
  4. Mission Poshan 2.0 and Poshan Abhiyaan are launched.
  5. Urban Jal Jeevan Mission and Urban Swachh Bharat Mission have been allocated with increased investment.

Physical & Financial Capital, and Infrastructure:

  1. 7 Mega Investment Textiles Parks will be set up in 3 years under the Mega Investment Textiles Parks (MITRA) Scheme to make the textile industry globally competitive.
  2. 6,835 projects of the National Infrastructure Pipeline are now expanded to 7,400 projects.
  3. For fund infrastructure projects, a bill to institute Development Financial Institution has been introduced in Lok Sabha.
  4. 13,000 km of roads worth INR 3.3 lakh crore to be constructed under the Bharatmala Pariyojana project. The construction of 3,800 km roads is now complete.
  5. Indian Railways gets an allotment of INR 1,10,055 crore with INR 1,07,100 crore capital expenditure included. ‘Future ready’ railway system will be prepared under National Rail Plan for India – 2030.
  6. Union budget provided power infrastructure a sum of INR 3,04,984 crore over 5 years.
  7. INR 18,000 crore is allotted to public bus transport services.
  8. Metro service with modern technology will be deployed as MetroLite and MetroNeo.
  9. An amount of INR 1,624 crore is allotted to promote merchant ships over 5 years. Major seaports will be monetized.
  10. Ujjwala Scheme is aimed to cover 1 crore beneficiaries more.
  11. A proposal of consolidation of four provisions – Securities Contracts (Regulation) Act, 1956, Government Securities Act, 2007, SEBI Act, 1992, and Depositories Act, 1996 into a single Securities Markets Code.
  12. FDI in the insurance sector has been increased to 74% from 49%.
  13. IPO (Initial Public Offerings) has been introduced in LIC (Life Insurance Company of India).

Inclusive Development for Aspirational India:

  1. Agricultural credit target has been enhanced to INR 16.5 lakh crore in FY 2021-22.
  2. More or less 1.68 crore farmers are registered through eNam. The current trade value that has been carried out through eNam is INR 1.14 lakh crore.
  3. MSP (Maximum Selling Price) of crops will be calculated at least 1.5 times the production cost.
  4. 5 major fishing harbors will be developed as hubs. They are – Chennai, Kochi, Paradip, Petughat, and Visakhapatnam.

Reinvigorating Human Capital:

  1. Central University will be set up in Leh for higher education.
  2. 100 new Sainik schools will be built.
  3. 750 Ekalavya model residential schools will be set up.
  4. For skill building, India is on the way to a partnership with UAE.

Innovation and R&D:

  1. The National Research Foundation will be set up.
  2. An initiative, National Language Translation Mission, will be enabled to translate government policies in major Indian languages over the internet.

Minimum Government and Maximum Governance:

  1. National Commission for Allied Healthcare Professionals Bill has been introduced.
  2. Census of India 2021 will be digital for the first time. An amount of INR 3,768 crore is allocated for this.
  3. Fiscal deficit has been pegged at 9.5% of the GDP of India.

Union Budget 2021-22 Highlights

  • Total Expenditure: INR 34,83,236 crore
  • Amount of borrowings: INR 19,76,424 crore
  • After the Covid-19 pandemic, the Indian economy just recovered from -7.7% GDP to -6.8% GDP.
  • 4% growth in GDP is being expected in the upcoming financial year
  • Revenue deficit has been aimed at 5.1% (7.5% in FY2020-21)
  • The expected Fiscal deficit is reduced to 6.8% (9.5% in FY2020-21)
  • Highest increment in allocation is observed in Ministry of Jal Shakti, Ministry of Consumers Affairs, Food and Public Distribution
  • Revenue deficit is witnessed when net income receipt is lesser than the estimated net income.
  • A fiscal deficit is witnessed when total expenditure crosses the revenue.

Direct Tax Proposals by Union Budget:

  • Relaxation in Income Tax for senior citizen of 75 years old and above
  • Income tax pre-filing is now allowed
  • Tax holiday to start-ups
  • Relaxation in double taxation to NRIs
  • Advanced tax structure to dividend income
  • Reduced time for income tax filing
  • Reduction in tax for faceless progress in Income Tax Appellate Tribunal
  • Amendment to Section 43CA and Section 44ADA

Indirect Tax Proposals by Union Budget:

  • Custom Duty rates have been revised.
  • A new initiative Turant Customs’ has been introduced.
  • Section 16, 35, 44, and 50 of the CGST Act have been amended.
  • Agricultural infrastructure and Development Cess has been re-imposed by INR 2.50 and INR 4.00 on petrol and diesel respectively.

Union Budget 2021 MCQ

Here are some Union Budget 2021 mcq for the upcoming govt job examinations.

  1. What is the motto of Mission Poshan 2.0

It is a Supplementary Nutrition Programme with a view to strengthen nutritional content, delivery, outreach, and outcome.

  1. What is the budget allocation for the Covid-19 vaccine?

Rs 35,000 crore

  1. How many times Nirmala Sitharaman presented the Union Budget?

three times

  1.  What is the budget allocation to tackle the menace of air pollution?

Rs. 2,217 crore for 42 urban centers with a million-plus population

  1. What is the name of the Made in India vaccine of Pneumonia mentioned in the Union Budget?

Pneumococcal Vaccine will be rolled out across the country with a view to preventing 50,000 child deaths annually.

  1. Which state built the first-ever World-class School Infrastructure in India?

New Delhi

  1. What is the vision of National Infrastructure Pipeline (NIP)?

NIP has been introduced to improve project preparation and attract investments into infrastructure.

  1. When was the PMGKY (Pradhan Mantri Gareeb Kalyan Yojana) launched?

December 16, 2016

  1. What was the purpose of PMGKY?

To promote Aatmanirbhar Bharat Abhiyaan

  1. What is the budget allocation for AatmaNirbhar Bharat-Production Linked Incentive (PLI) Scheme?

Rs. 1.97 lakh crore in next 5 years for PLI schemes in 13 Sectors.

  1. What is DFI, newly proposed in the Union Budget 2021?

Rs. 20,000 crore will be set up and capitalize a Development Financial Institution (DFI) to enable it to act as a provider, enabler and catalyst for infrastructure financing.

  1. What is the minimum loan amount for debt recovery under (SARFAESI) Act, 2002?

Minimum loan amount for debt recovery under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest (SARFAESI) Act, 2002 proposed to be reduced from Rs. 50 lakh to Rs. 20 lakh for NBFCs with minimum asset size of Rs. 100 crore

  1. SWAMITVA Scheme is associated with which field?

SWAMITVA (Survey of Villages and Mapping with Improvised Technology in Village Areas) Scheme extended to cover all states/UTs to bring transparency in property ownership in villages to map rural inhabited lands using drones and latest survey methods.

  1. What is the period for repayment of a loan for an electronic vehicle?

9 years

  1. What type of tax is the Green Tax?

Vehicle Tax

  1. Green Tax is applied to which vehicles?

8 years – 15 years old vehicles

  1. What is the amount of Green Tax?

INR 3800

  1. Voluntary vehicle scrapping policy has been introduced in the Union Budget 2021-22. After what period, private vehicles have to go for a fitness test?

20 years

  1. After what period, commercial vehicles have to go for a fitness test under a voluntary vehicle scrapping policy?

15 years

  1. Central University will be established in which of the following places?

Leh, Ladakh

  1. How many mandis will be integrated with e-NAM?

1,000 more mandis will be integrated with e-NAM to bring transparency and competitiveness.

  1. 5 major fishing harbours will be set up in which place?

5 major fishing harbours will be set up in Kochi, Chennai, Visakhapatnam, Paradip, and Petuaghat to boost economic activity.

  1. What was the largest source of revenue in FY 2021-22?

Goods & Services Tax

  1. What is the budget allocation to MSME Sector?

Rs. 15,700 crore

  1. Who will be the beneficiaries of Post Matric Scholarship Scheme?

Post Matric Scholarship Scheme is launched for the welfare of students belonged to Scheduled Castes for 6 years till 2025-2026.

  1. What will be the budget allocation for National Research Foundation?

Rs. 50,000 crore, over 5 years.

  1. Who will be the regulator for gold exchange?

SEBI

28. Indian Railways is planning to build a futuristic railway system by which year?

2030

  1. Who first presented the Union Budget of independent India? K. Sanmukhan Chetty
  2. Electrifying of Railway tracks will be completed by which year?

2023

  1. What is the vision of National Language Translation Mission (NTLM)?

National Language Translation Mission (NTLM) will provide the wealth of governance-and-policy related knowledge on the Internet in major Indian languages.

  1. What is the minimum age of a pensioner for the Exemption from filing tax returns?

75

  1. Who will get the advantage of the Ekalavya Model Residential School?

For tribal students in India.

  1. How much has been allocated for forthcoming first digital census in the history of India?

Rs. 3,768 crore

  1. What was the GST collection by January 2021?

INR 1,20,000 crore

36. Agriculture Infrastructure and Development Cess (AIDC) will be imposed on which items to boost agriculture infrastructure?

Petrol, diesel, gold etc Note: AIDC of Rs 2.5 per litre has been imposed on petrol and Rs 4 per litre on diesel.

  1. What is Alternate Investment Funds mentioned in the Union Budgetc2021-2022?

Alternate Investment Funds is any type of fund established or incorporated in India which is a privately pooled investment which collects funds from sophisticated investors, might be Indian or foreign for the benefit of its investors.

  1. What is the amount allocated as total expenditure for FY2021-22?

INR 5,54,000 crore

  1. What is the amount allocated for total FDI for FY2021-22?

8%

  1. The central government of India aimed to curb how much the fiscal deficit by FY 2025-26?

below 4.5%

  1. Which institution’s IPO will be launched in the upcoming Financial Year of 2021-22?

LIC

  1. How much IPO will be reserved in LICI?

10%

  1. What is the new FDI limit in LIC from 49%?

74%

  1. How much is the capital income of FY 2021-22?

INR 16.9 lakh crore

  1. NGOs will be tax-free up to revenue of ___?

INR 5 crore

  1. What is the amount allocated in the health sector, as per Union Budget 2021?

INR 2,38,000 crore

  1. What is the amount allocated in the health sector the previous year?

INR 94,000 crore

  1. What is the amount allocated for new financial institutions in Union Budget 2021?

INR 5,00,000 crore

  1. What is the sum allocated for capital expenses?

INR 4,12,000 crore

  1. What is the sum allocated for the Urban Swatch Bharat over 5 years?

INR 1,41,678 crore

  1. What is the sum allocated for pollution control?

INR 2,000 crore

  1. What is the sum allocated for public bus transport (electronic buses)?

INR 18,000 crore

  1. What is the amount allocated for Railway expenditure?

INR 1,10,000 crore

  1. What is the amount allocated for each state’s capital expenditure?

INR 2,00,000 crore

  1. What is the amount allocated for the Road & Transport Department?

INR 1,18,000 crore

  1. What is the amount allocated for agriculture loans?

INR 16,50,000 crore

  1. What is the amount allocated for agricultural infrastructure?

INR 40,000 crore

  1. What is the amount allocated for Pradhan Mantri Atmanirbhar Bharat Yojana over 6 years?

INR 64,180 crore

  1. What is the amount allocated for the National Research Foundation for the next 5 years?

INR 50,000 crore

  1. What is the amount to pay for custom duty on cotton?

10%

  1. What is the amount allocated for the Jal Jeevan Mission over 5 years?

INR 1,98,000 crore

  1. What is the amount allocated for the 7400 projects of the National Infrastructure Pipeline?

INR 5,54,000 crore

  1. A multi seaweed park will be built in which state?

Tamil Nadu

  1. Finance Minister of India suggested build up an ARC to manage NPAs. What is the full form of ARC?

Asset Reconstruction Companies of India

  1. What is the amount allocated for PSB recapitalization?

INR 20,000 crore

  1. What is the amount allocated for the disinvestment target for FY 2021-22?

INR 1,75,000 crore

  1. What is the amount to pay for custom duty on auto parts?

15%

  1. What is the amount paid for wheat procurement to farmers?

INR 75,000 crore

  1. What is the amount allocated for the first-ever digital census in 2021?

INR 4,675crore

  1. A new type of financial institute, DFI will be set up to fund infrastructure projects? What is the full form of DFI?

Development Financial Institution

  1. What is the amount allocated for setting up DFI?

INR 20,000 crore

  1. How many mega textile parks will be set up over 3 years?

7

  1. How much is the revenue expenditure of FY 2021-22?

INR 3 lakh crore

  1. The Union Budget 2021 announces to curb the period of re-opening tax investigation to __ years from 6 years?

3 years

  1. How much is the capital expenditure of FY 2021-22?

INR 5.5 lakh crore

  1. What is the amount allocated for the deep ocean missions over 5 years?

INR 4,000 crore

  1. What is the amount allocated for the MSME?

NR 15,700 crore

  1. How much is the Agri-infra cess for alcoholic beverages?

100%

  1. How much is the revenue income of FY 2021-22?

INR 9 lakh crore

 

We have presented a comprehensive compilation of questions and answers on Union Budget 2021 mcq UPSC. Economic Survey and Union Budget 2021 mcq are the most favored topics in all types of government jobs examinations like RBI, ECGC, IBPS, SBI, LIC, NABARD, SSC, UPSC etc. If you have any query on Union Budget 2021 mcq, feel free to contact us in the comment section. You can download the pdf version of Union Budget 2021 mcq using the button of PDF at the end of the article.

 

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