Topic Details (Notes format)

Environmental Economics and Sustainable Development

Subject: Economics

Book: Comprehensive Indian Economy

India’s rapid industrial growth strains natural resources and generates pollution. Environmental economics quantifies these externalities, urging corrective taxes or incentives. Policies like the National Action Plan on Climate Change promote solar energy, energy efficiency, and afforestation. However, balancing the needs of a developing population with ecological conservation remains challenging. Exam questions often connect resource management (forests, water) to livelihood security, especially for tribal or rural communities. Focus also on green financing, corporate social responsibility mandates, and the interplay of environmental laws with economic policies for sustainable growth.

Practice Questions

What is the meaning of “disguised unemployment”?

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Which of the following is NOT a function of the World Trade Organization (WTO)?

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Which of the following sectors contributes the most to India’s GDP?

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What is the main purpose of monetary policy?

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What is meant by “liquidity trap”?

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Which of the following best describes “capital formation”?

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Which organization is responsible for estimating India’s Gross Domestic Product (GDP)?

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Which of the following statements best defines Gross Domestic Product (GDP)?

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Which of the following measures is most effective in controlling inflation?

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What is “inclusive growth”?

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