Practicing Success

Target Exam

CUET

Subject

Economics

Chapter

Indian Economic Development: Rural Development

Question:

"The Narendra Modi led government has its task cut out. It will need to focus on agriculture technologies that can boost agricultural productivity, create value added farm products and tap "farm to fork opportunities" to ensure better realization for farmers. It will also need to create millions of micro entrepreneurs and thousands of economic clusters in rural India, besides investing in rural roads, rural electricity, irrigation networks and national cold chain grids.

Based on the following case study answer the questions below :

Which objective of government budget is reflected in the above case study ?

Options:

Redistribution of Income

Economic growth with reducing regional disparities

Managing public enterprises

Outsourcing

Correct Answer:

Economic growth with reducing regional disparities

Explanation:

The correct answer is option (2) : Economic growth with reducing regional disparities

Here's the reasoning:

  • The government aims to boost agricultural productivity and create value-added farm products. This suggests a focus on economic growth in the agriculture sector.
  • Creating millions of micro entrepreneurs and economic clusters in rural India indicates efforts towards regional development and reducing regional disparities.
  • Investing in rural infrastructure such as roads, electricity, irrigation networks, and cold chain grids also supports economic development and reduces disparities between rural and urban areas.

Therefore, the primary objective reflected here is to achieve economic growth while reducing regional disparities, which aligns with the second option: Economic growth with reducing regional disparities.