Topic 1: Production Across Countries
Q1.
A company manufactures different components of a product in different countries so that it can use the advantages available at different locations. This reflects the ________ of production.
A. international division
B. complete nationalisation
C. local restriction
D. domestic isolation
Q2.
An MNC chooses a country because skilled workers and suitable infrastructure are available there. Such factors can influence the ________ of production.
A. taxation
B. location
C. ownership
D. consumption
Q3.
When different stages of making a product are carried out in different countries, production becomes geographically ________.
A. concentrated
B. isolated
C. dispersed
D. restricted
Q4.
A company obtains raw materials from one country, processes them in another and assembles the final product elsewhere. This is an example of ________ production.
A. subsistence
B. informal
C. local
D. international
Q5.
An MNC may divide production among countries to take advantage of differences in costs, skills and availability of ________.
A. resources
B. consumers only
C. currencies only
D. advertisements
Q6.
When production activities in several countries are coordinated to make one final product, the countries become ________ through production.
A. independent
B. interconnected
C. isolated
D. self-sufficient
Topic 2: Interlinking Production Across Countries
Q7.
When an MNC places orders with an Indian company for components used in products sold internationally, the Indian company becomes part of an international ________ network.
A. production
B. taxation
C. consumption
D. agricultural
Q8.
An MNC may establish production links with a local company without necessarily acquiring ________ ownership of that company.
A. temporary
B. partial
C. complete
D. indirect
Q9.
A local producer may receive orders from an MNC and improve its machinery to meet required standards. This can lead to technological ________.
A. isolation
B. decline
C. stagnation
D. improvement
Q10.
When an MNC purchases components from local producers, it can connect those producers with ________ markets.
A. international
B. village-only
C. household
**D. closed
Q11.
An Indian company supplying parts to an MNC may become linked to production activities taking place in several ________.
A. villages
B. countries
C. households
D. neighbourhoods
Q12.
MNCs can interlink production across countries by coordinating different stages of the ________ process.
A. political
B. cultural
C. production
D. demographic
Topic 3: Foreign Trade and Integration of Markets
Q13.
When imported goods become available in the domestic market, consumers may get a greater ________ of products.
A. restriction
B. shortage
C. choice
D. prohibition
Q14.
When an Indian producer sells goods to consumers in another country, the producer is accessing a ________ market.
A. foreign
B. closed
C. local
D. household
Q15.
Foreign trade can connect producers and consumers located in ________ countries.
A. neighbouring villages
B. different
C. one particular
D. isolated
Q16.
When goods from different countries become available in the same market, the markets of those countries become more ________.
A. isolated
B. restricted
C. fragmented
D. integrated
Q17.
Reduction in trade barriers can increase competition faced by domestic producers from ________ producers.
A. foreign
B. household
C. seasonal
D. subsistence
Q18.
Foreign trade can create opportunities for domestic producers by giving them access to ________ markets.
A. closed
B. foreign
C. informal
D. restricted
Topic 4: What Is Globalisation?
Q19.
The process through which production and markets become increasingly connected across countries is known as ________.
A. privatisation
B. nationalisation
C. globalisation
D. localisation
Q20.
An MNC operating production facilities in several countries contributes to the increasing ________ of production.
A. isolation
B. integration
C. restriction
D. separation
Q21.
A product containing components manufactured in several countries demonstrates the international ________ of production.
A. interconnection
B. prohibition
C. separation
D. closure
Q22.
Globalisation involves the increasing integration of ________ and markets across countries.
A. households
B. villages
C. production
D. traditions
Q23.
When a foreign company enters the Indian market and competes with Indian producers, it increases the level of international ________.
A. isolation
B. competition
C. regulation
D. separation
Q24.
Greater globalisation can make products produced in different countries available to ________ in India.
A. exporters only
B. governments only
C. consumers
D. producers only
Topic 5: Factors That Have Enabled Globalisation
Q25.
Rapid developments in information and communication technology have made it easier for firms to ________ production activities across countries.
A. coordinate
B. prohibit
C. isolate
D. discontinue
Q26.
Improved transportation has made the movement of goods between countries more ________.
A. restricted
B. difficult
C. efficient
D. expensive in every case
Q27.
A company can communicate instantly with its factory located thousands of kilometres away because of advances in ________ technology.
A. agricultural
B. communication
C. irrigation
D. traditional
Q28.
Reduction of restrictions on foreign investment is associated with the process of economic ________.
A. isolation
B. liberalisation
C. nationalisation
D. localisation
Q29.
Improvements in transportation and communication have made it easier to organise ________ production networks.
A. international
B. household
C. village-level
D. closed
Q30.
The use of modern communication technology allows MNCs to manage activities spread across different ________.
A. households
B. villages
C. countries
D. neighbourhoods
Topic 6: Liberalisation of Foreign Trade and Investment Policy
Q31.
The removal or reduction of restrictions on foreign trade is known as trade ________.
A. liberalisation
B. isolation
C. prohibition
D. nationalisation
Q32.
When import restrictions are reduced, foreign goods can enter the domestic market with ________ restrictions.
A. greater
B. fewer
C. permanent
D. unlimited legal
Q33.
India adopted major economic reforms involving liberalisation in the year ________.
A. 1985
B. 1995
C. 1991
D. 2001
Q34.
Reduction in restrictions on foreign investment can encourage ________ to invest in India.
A. local households
B. village councils
C. domestic consumers
D. MNCs
Q35.
Liberalisation increased the exposure of Indian producers to ________ competition.
A. international
B. household
C. agricultural only
D. non-economic
Q36.
The reduction of trade barriers made it easier for Indian markets to become connected with the ________ economy.
A. village
B. household
C. world
D. isolated
Topic 7: World Trade Organisation (WTO)
Q37.
The international organisation that deals with rules governing trade between countries is the ________.
A. IMF
B. WTO
C. WHO
D. UNESCO
Q38.
The WTO seeks to establish and administer rules relating to international ________.
A. education
B. migration
C. trade
D. tourism
Q39.
Developing countries have sometimes argued that international trade rules should provide more ________ conditions for them.
A. restrictive
B. unfair
C. favourable
D. isolated
Q40.
Differences in the interests of developed and developing countries can lead to disagreements during international trade ________.
A. negotiations
B. celebrations
C. elections
D. migrations
Q41.
Trade policies adopted by one country can affect producers in ________ countries.
A. other
B. no other
C. only neighbouring
D. exactly one
Q42.
Developing countries participate in WTO discussions to protect and promote their ________ in international trade.
A. isolation
B. interests
C. restrictions
D. barriers
Topic 8: Impact of Globalisation in India
Q43.
Some Indian companies have become successful by supplying goods to ________ operating in India and abroad.
A. households
B. MNCs
C. village councils
D. local governments
Q44.
Competition from foreign companies has encouraged some Indian companies to adopt improved ________.
A. technology
B. isolation
C. restrictions
D. trade barriers
Q45.
Globalisation has provided some Indian producers with access to ________ markets.
A. closed
B. domestic-only
C. international
D. restricted
Q46.
Special Economic Zones were developed to attract investment and promote ________ production.
A. subsistence
B. household
C. local-only
D. export-oriented
Q47.
The benefits of globalisation have not been distributed ________ among all Indian producers.
A. equally
B. internationally
C. technologically
D. legally
Q48.
Some Indian service-sector companies have benefited from improved communication and access to ________ clients.
A. village
B. foreign
C. household
D. local-only
Topic 9: Challenges and Unequal Effects of Globalisation
Q49.
A small producer with limited financial resources may find it difficult to face competition from large ________.
A. households
B. companies
C. villages
D. consumers
Q50.
The effects of globalisation can differ depending on the financial and technological ________ of producers.
A. restrictions
B. celebrations
C. capabilities
D. traditions
Q51.
Globalisation can create new opportunities in some sectors while creating greater ________ for some workers.
A. job security
B. job insecurity
C. trade protection
D. market isolation
Q52.
When firms adopt labour-saving technology, the demand for certain types of ________ may change.
A. machinery
B. capital
C. labour
D. exports
Q53.
Large companies with better access to technology and finance may be in a stronger position to face international ________.
A. competition
B. isolation
C. prohibition
D. migration
Q54.
The uneven impact of globalisation means that different groups may experience its benefits and ________ differently.
A. opportunities
B. advantages
C. challenges
D. markets
Topic 10: The Struggle for a Fair Globalisation
Q55.
Efforts to ensure that the benefits of globalisation reach a wider section of society are associated with the idea of ________ globalisation.
A. restricted
B. fair
C. isolated
D. closed
Q56.
Government policies can help protect the interests of workers and ________ producers who may face difficulties due to increased competition.
A. large multinational
B. foreign
C. small
D. international
Q57.
Developing countries can demand fairer ________ rules through international negotiations.
A. trade
B. population
C. education
D. transport
Q58.
Fair globalisation does not necessarily require an end to international trade; instead, it seeks a more ________ distribution of its benefits.
A. unequal
B. restricted
C. equitable
D. isolated
Q59.
Workers and producers can raise their concerns about the ________ of globalisation on their livelihoods.
A. impact
B. isolation
C. prohibition
D. closure
Q60.
Policies aimed at supporting weaker sections can make the process of globalisation more ________.
A. competitive
B. inclusive
C. isolated
D. restricted
Detailed Answer Key
Class 10 Economics – Globalisation and the Indian Economy
| Q. | Answer | Explanation |
| 1 | A. international division | When different stages of production are carried out in different countries, it represents an international division of production. |
| 2 | B. location | Availability of skilled labour, infrastructure, raw materials and other advantages can influence where a company locates production. |
| 3 | C. dispersed | Production is geographically dispersed when its different stages are spread across different locations or countries. |
| 4 | D. international | When production activities are carried out across national boundaries, the production process becomes international. |
| 5 | A. resources | MNCs may locate different production activities where suitable resources, skills and other advantages are available. |
| 6 | B. interconnected | When production activities in different countries are coordinated, the economies involved become interconnected through production. |
| 7 | A. production | An MNC can connect local manufacturers with its wider international production network by placing orders for components. |
| 8 | C. complete | A local company working with an MNC does not necessarily become completely owned by that MNC. Different forms of business relationships are possible. |
| 9 | D. improvement | Orders from MNCs may require higher standards, encouraging local producers to improve machinery, technology or production methods. |
| 10 | A. international | By supplying an MNC, a local producer may become connected to markets beyond its domestic market. |
| 11 | B. countries | MNC production networks can involve production activities located in several countries. |
| 12 | C. production | MNCs can coordinate different stages of the production process across countries. |
| 13 | C. choice | Foreign trade can make a wider variety of goods and brands available to consumers. |
| 14 | A. foreign | Selling goods to consumers in another country means that the producer is accessing a foreign market. |
| 15 | B. different | Foreign trade connects producers and consumers located in different countries. |
| 16 | D. integrated | When goods from different countries become available in connected markets, the markets become more integrated. |
| 17 | A. foreign | Reduction in trade barriers can expose domestic producers to competition from foreign producers. |
| 18 | B. foreign | Foreign trade gives domestic producers the opportunity to sell their products in foreign markets. |
| 19 | C. globalisation | Increasing integration of production and markets across countries is a central feature of globalisation. |
| 20 | B. integration | MNCs operating across countries contribute to the integration of production activities internationally. |
| 21 | A. interconnection | Components produced in different countries illustrate how production processes can become internationally interconnected. |
| 22 | C. production | Globalisation involves increasing integration of production and markets across countries. |
| 23 | B. competition | Entry of foreign companies into a domestic market can increase competition between domestic and foreign producers. |
| 24 | C. consumers | Globalisation can give consumers access to products and brands produced in different countries. |
| 25 | A. coordinate | Modern communication technologies enable firms to coordinate production activities spread across different countries. |
| 26 | C. efficient | Improvements in transportation have made it easier and faster to move goods and components across countries. |
| 27 | B. communication | Modern communication technology enables rapid exchange of information between geographically distant production units. |
| 28 | B. liberalisation | Reducing restrictions on foreign investment is part of economic liberalisation. |
| 29 | A. international | Improvements in transportation and communication have helped firms organise international production networks. |
| 30 | C. countries | MNCs can use communication technology to coordinate operations spread across different countries. |
| 31 | A. liberalisation | Reduction or removal of restrictions on foreign trade is referred to as liberalisation of trade. |
| 32 | B. fewer | When import restrictions are reduced, foreign goods can enter the domestic market with fewer restrictions. |
| 33 | C. 1991 | India introduced major economic reforms involving liberalisation in 1991. |
| 34 | D. MNCs | Reduction in restrictions on foreign investment can encourage multinational corporations to invest in India. |
| 35 | A. international | Liberalisation increased the exposure of Indian producers to competition from international producers. |
| 36 | C. world | Reduction in trade barriers helped connect the Indian economy more closely with the world economy. |
| 37 | B. WTO | The World Trade Organisation (WTO) deals with rules governing international trade. |
| 38 | C. trade | WTO rules concern international trade between countries. |
| 39 | C. favourable | Developing countries have argued for trade arrangements that provide fairer and more favourable conditions for them. |
| 40 | A. negotiations | Countries with different interests may disagree during international trade negotiations. |
| 41 | A. other | A country’s trade policies can affect producers and markets in other countries. |
| 42 | B. interests | Developing countries participate in WTO discussions to protect and promote their interests in international trade. |
| 43 | B. MNCs | Some Indian companies have benefited by becoming suppliers to multinational corporations operating in India and international markets. |
| 44 | A. technology | Competition from foreign companies has encouraged some Indian companies to adopt newer and improved technologies. |
| 45 | C. international | Globalisation has enabled some Indian producers to access international markets. |
| 46 | D. export-oriented | Special Economic Zones were established to attract investment and promote export-oriented production. |
| 47 | A. equally | The benefits of globalisation have not been equally distributed among all Indian producers. |
| 48 | B. foreign | Some Indian service companies have obtained clients from foreign markets, helped by improved communication technology. |
| 49 | B. companies | Small producers may face difficulty competing with large companies because large firms may have greater financial, technological and organisational resources. |
| 50 | C. capabilities | Financial and technological capabilities influence a producer’s ability to respond to international competition. |
| 51 | B. job insecurity | Globalisation can create employment opportunities in some sectors while some workers may experience uncertainty or insecurity. |
| 52 | C. labour | Labour-saving technology can change the demand for particular types of labour. |
| 53 | A. competition | Large companies with greater access to finance and technology may be better positioned to respond to international competition. |
| 54 | C. challenges | Different groups may experience both the opportunities and challenges of globalisation differently. |
| 55 | B. fair | The idea of fair globalisation focuses on ensuring that the benefits of globalisation are more widely shared and that weaker groups are not ignored. |
| 56 | C. small | Government policies may support small producers and workers who face difficulties due to increased competition. |
| 57 | A. trade | Developing countries can demand fairer international trade rules through international negotiations. |
| 58 | C. equitable | Fair globalisation seeks a more equitable distribution of the benefits of globalisation rather than necessarily ending international trade. |
| 59 | A. impact | Workers and producers may raise concerns about the impact of globalisation on their livelihoods. |
| 60 | B. inclusive | Policies supporting weaker sections can help make globalisation more inclusive by allowing more groups to participate in and benefit from the process. |
Short Answer Key
| Q. No. | Ans. | Q. No. | Ans. | Q. No. | Ans. | Q. No. | Ans. |
| 1 | A | 16 | D | 31 | A | 46 | D |
| 2 | B | 17 | A | 32 | B | 47 | A |
| 3 | C | 18 | B | 33 | C | 48 | B |
| 4 | D | 19 | C | 34 | D | 49 | B |
| 5 | A | 20 | B | 35 | A | 50 | C |
| 6 | B | 21 | A | 36 | C | 51 | B |
| 7 | A | 22 | C | 37 | B | 52 | C |
| 8 | C | 23 | B | 38 | C | 53 | A |
| 9 | D | 24 | C | 39 | C | 54 | C |
| 10 | A | 25 | A | 40 | A | 55 | B |
| 11 | B | 26 | C | 41 | A | 56 | C |
| 12 | C | 27 | B | 42 | B | 57 | A |
| 13 | C | 28 | B | 43 | B | 58 | C |
| 14 | A | 29 | A | 44 | A | 59 | A |
| 15 | B | 30 | C | 45 | C | 60 | B |