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All questions of Industry and Infrastructure for UPSC CSE Exam

Which industry is responsible for the manufacturing of goods on a large scale with the help of machines?
  • a)
    Service industry
  • b)
    Textile industry
  • c)
    Cottage industry
  • d)
    Manufacturing industry
Correct answer is option 'D'. Can you explain this answer?

Anaya Patel answered
The manufacturing industry involves the production of goods on a large scale using machines, tools, and skilled labor. It is an essential part of economic development and provides finished products for consumption.

The concept of "economies of scale" is most closely associated with which type of industry?
  • a)
    Small-scale industry
  • b)
    Cottage industry
  • c)
    Large-scale industry
  • d)
    Heavy industry
Correct answer is option 'C'. Can you explain this answer?

Vikram Mehta answered
Economies of scale refer to the cost advantages that a firm experiences when it increases its scale of production. Large-scale industries benefit from economies of scale due to higher production levels, leading to lower average costs.

Which industry is known for its high research and development (R&D) expenses and technological innovations?
  • a)
    Traditional industry
  • b)
    Heavy industry
  • c)
    High-tech industry
  • d)
    Light industry
Correct answer is option 'C'. Can you explain this answer?

Vikram Mehta answered
The high-tech industry is characterized by high research and development (R&D) expenses and a focus on technological innovations. It includes sectors like electronics, information technology, and biotechnology.

Which industry is responsible for the processing of raw materials into finished products?
  • a)
    Extractive industry
  • b)
    Processing industry
  • c)
    Transformation industry
  • d)
    Raw material industry
Correct answer is option 'B'. Can you explain this answer?

Vikram Mehta answered
The processing industry is involved in the transformation of raw materials into finished goods. It includes sectors like food processing, textile processing, and manufacturing industries.

What is the main feature of a monopoly in the context of industry?
  • a)
    Many sellers of a similar product
  • b)
    A single buyer dominating the market
  • c)
    Only one seller in the market
  • d)
    A perfect competition among sellers
Correct answer is option 'C'. Can you explain this answer?

Vikram Mehta answered
A monopoly exists when there is only one seller in the market, offering a unique product or service without any close substitutes. This lack of competition can lead to higher prices and reduced consumer choice.

Which industry is likely to be most affected by fluctuations in raw material prices?
  • a)
    Service industry
  • b)
    Banking industry
  • c)
    Agricultural industry
  • d)
    Information technology industry
Correct answer is option 'C'. Can you explain this answer?

Vikram Mehta answered
The agricultural industry is heavily dependent on raw materials like seeds, fertilizers, and pesticides. Fluctuations in prices of these inputs can significantly impact the overall profitability of the industry.

Which industry is considered a backbone of the economy as it provides essential goods for daily consumption?
  • a)
    Heavy machinery industry
  • b)
    Service industry
  • c)
    Fast-moving consumer goods (FMCG) industry
  • d)
    Aerospace industry
Correct answer is option 'C'. Can you explain this answer?

Vikram Mehta answered
The FMCG industry manufactures and distributes essential goods for daily consumption, such as food products, toiletries, and household items. It is considered a backbone of the economy due to its widespread impact on consumers.

What is the primary objective of the cottage industry?
  • a)
    Mass production of goods
  • b)
    Use of modern machinery
  • c)
    Employment generation in rural areas
  • d)
    Urbanization of the workforce
Correct answer is option 'C'. Can you explain this answer?

Vikram Mehta answered
The cottage industry aims to generate employment opportunities in rural areas by encouraging small-scale production of goods, often done manually at the artisans' homes.

Which industry is most likely to contribute to environmental pollution and resource depletion?
  • a)
    Renewable energy industry
  • b)
    Pharmaceutical industry
  • c)
    Mining industry
  • d)
    Organic farming industry
Correct answer is option 'C'. Can you explain this answer?

Vikram Mehta answered
The mining industry, particularly non-sustainable mining practices, can lead to environmental pollution, habitat destruction, and resource depletion if not managed responsibly.

Which of the following statements is true about the Industrial Revolution?
  • a)
    It started in the 18th century in Europe
  • b)
    It led to a decrease in urbanization
  • c)
    It primarily relied on human labor
  • d)
    It had no significant impact on society
Correct answer is option 'A'. Can you explain this answer?

Vikram Mehta answered
The Industrial Revolution began in the late 18th century, mainly in Britain, and marked the transition from agrarian and handcraft-based economies to industrial and machine-based economies. It brought about significant advancements in technology, mass production, and urbanization.

Which industry is associated with the extraction of minerals from the Earth's crust?
  • a)
    Textile industry
  • b)
    Mining industry
  • c)
    Automotive industry
  • d)
    Aviation industry
Correct answer is option 'B'. Can you explain this answer?

Vikram Mehta answered
The mining industry involves the extraction of minerals, ores, and fossil fuels from the Earth's crust. This industry plays a crucial role in providing raw materials for various other industries.

The "Rust Belt" in the United States was historically known for which declining industry?
  • a)
    Steel industry
  • b)
    Automotive industry
  • c)
    Information technology industry
  • d)
    Renewable energy industry
Correct answer is option 'A'. Can you explain this answer?

Vikram Mehta answered
The "Rust Belt" refers to regions in the United States that were historically associated with heavy manufacturing and steel production. However, over time, the decline in the steel industry led to economic challenges and job losses in those areas.

The "Laissez-faire" approach is most closely associated with which type of industry policy?
  • a)
    Interventionist policy
  • b)
    Protectionist policy
  • c)
    Free-market policy
  • d)
    Subsidiary policy
Correct answer is option 'C'. Can you explain this answer?

Vikram Mehta answered
The "Laissez-faire" approach advocates minimal government intervention in the economy, allowing the market forces of supply and demand to determine prices and production. This approach is commonly associated with free-market policies.

The "Cottage Industry" is a typical characteristic of which stage of economic development?
  • a)
    Pre-industrial stage
  • b)
    Early industrial stage
  • c)
    Advanced industrial stage
  • d)
    Post-industrial stage
Correct answer is option 'A'. Can you explain this answer?

Vikram Mehta answered
The Cottage Industry is associated with the pre-industrial stage of economic development when manufacturing was primarily carried out in homes using simple tools and manual labor.

Which of the following industries is known for its high labor intensity and artistic value?
  • a)
    Heavy machinery industry
  • b)
    Light engineering industry
  • c)
    Handicraft industry
  • d)
    Aerospace industry
Correct answer is option 'C'. Can you explain this answer?

Vikram Mehta answered
The handicraft industry is characterized by high labor intensity and artistic value. It involves skilled artisans creating unique products by hand, often using traditional techniques.

Which industry contributed significantly to the rapid industrialization of Japan during the Meiji period?
  • a)
    Textile industry
  • b)
    Shipbuilding industry
  • c)
    Electronics industry
  • d)
    Steel industry
Correct answer is option 'D'. Can you explain this answer?

Vikram Mehta answered
During the Meiji period in Japan, the steel industry played a crucial role in rapid industrialization by providing the raw material needed for construction, machinery, and infrastructure development.

In which industry is "outsourcing" a commonly adopted business practice?
  • a)
    Automotive industry
  • b)
    Textile industry
  • c)
    Software industry
  • d)
    Construction industry
Correct answer is option 'C'. Can you explain this answer?

Vikram Mehta answered
The software industry often adopts the business practice of "outsourcing," where companies hire external service providers or contractors to perform certain tasks or projects instead of handling them in-house.

Which industry is responsible for the provision of intangible products or services to customers?
  • a)
    Primary industry
  • b)
    Secondary industry
  • c)
    Tertiary industry
  • d)
    Quaternary industry
Correct answer is option 'C'. Can you explain this answer?

Vikram Mehta answered
The tertiary industry, also known as the service industry, is involved in the provision of intangible products or services to customers. Examples include banking, healthcare, education, and hospitality.

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