Practicing Success

Target Exam

CUET

Subject

Economics

Chapter

Indian Economic Development: Infrastructure

Question:
According to various studies, if the growth rate of power supply is 12%, what should be the GDP growth per annum?
Options:
5%
8%
12%
16%
Correct Answer:
8%
Explanation:
Power is a critical component of infrastructure that determines the economic development of a country. The growth rate of demand for power is generally higher than the GDP growth rate. Studies point out that in order to have 8 per cent GDP growth per annum, power supply needs to grow around 12 per cent annually