Topic Details (Notes format)

Research & Development and Innovation

Subject: Economics

Book: Comprehensive Indian Economy

Investment in R&D fosters technological advancement, higher productivity, and global competitiveness. India’s R&D spend remains modest compared to developed nations, concentrated in defense and space. Private sector involvement is growing in pharmaceuticals, IT, and automotive sectors. Government initiatives like Make in India, Atal Innovation Mission, and dedicated innovation labs encourage startups, but bridging lab-to-market gaps remains a challenge. Exam queries might revolve around IPR regimes, venture capital ecosystems, and the link between university research and commercial products. Strengthening patent enforcement and building a robust knowledge economy is a strategic imperative for higher-value exports.

Practice Questions

What is the “law of diminishing marginal utility”?

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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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What is the term for goods that are used together, such as cars and fuel?

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

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What does the term “elasticity of demand” measure?

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What is “inclusive growth”?

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What is “inflation targeting”?

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

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Which of the following is considered a public good?

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