Economics- Globalisation and Indian Economy
Very Short Answer Type Questions
Q.1) What was the policy of foreign trade of India before 1991?
Ans) The imports were kept under control till the year 1991. During this period only essential goods such as machinery, fertilizers and petroleum were mainly imported. The country adopted a policy of conservation to protect the producers from foreign competition. As a result, the trade grew at a slow pace during this period.
Q.2) What are the companies that produce in more than one country called?
Ans) Companies that produce in more than one country are called multinational companies (MNCs).
Q.3) What is meant by multinational companies?
Ans) A multinational company (MNC) is one that produces in more than one country. These companies produce on a large scale and sell the products produced in many countries.
Q.4) Which consumer segment has benefitted the most from globalisation?
Ans) Educated, skilled and prosperous people have made the most of the new opportunities provided by globalisation.
Q.5) Which industries have a bad effect of globalisation?
Ans) Batteries, capacitors, plastics, toys, dairy products and edible oil are some of the examples of industries where small manufacturers have been hit hard due to competition. Many units have been closed due to which many labourers have become unemployed.
Q.6) What are the factors promoting globalization?
Ans) See Answer of Long Answer Type Question 2.
Q.7) What was the main medium of connecting the countries in the past?
Ans) Trade was the main medium of connecting the distant countries in the past.
Q.8) Name some Indian companies which have spread their activities globally.
Ans) Globalisation has enabled some of the biggest Indian companies to emerge globally. Tata motors, Infosys, Asian Paints, Sundram Fasteners are some of the Indian companies that are spreading their presence globally.
Q.9) Write the names of two multinational companies.
Ans) (1) Tata Motors, (2) Infosys.
Q.10)
Ans)