Practicing Success

Target Exam

CUET

Subject

Economics

Chapter

Indian Economic Development: Liberalisation, Privatisation and Globalisation - An Appraisal

Question:

As per New Economic Policy, in Export Oriented Policy strategies in agriculture, there has been a shift of production from domestic market to export market which leads to :

Options:

Pressure on Food grains and its prices

Pressure on  Ground Nuts and its prices

Pressure on Species and its prices

Pressure on Horiculture and its prices

Correct Answer:

Pressure on Food grains and its prices

Explanation:

The correct answer is option (1) : Pressure on Food grains and its prices

Because of export oriented  policy strategies in agriculture, there has been a shift from production for the domestic market towards production for the export market focusing on cash crops in lieu of production of food grains. This shift typically results in reduced availability of food grains in the domestic market, which can lead to higher prices due to decreased supply.