Practicing Success

Target Exam

CUET

Subject

Economics

Chapter

Indian Economic Development: Indian Economy on the Eve of Independence

Question:

What does the term "capital goods industry" refer to?

Options:

Industries that produce raw materials for export

Industries that produce machine tools which in turn are used for producing articles for current consumption.

Industries that produce luxury goods for the upper class

Industries that focus on machine-intensive manufacturing processes

Correct Answer:

Industries that produce machine tools which in turn are used for producing articles for current consumption.

Explanation:

Capital goods industry means industries which can produce machine tools which are, in turn, used for producing articles for current consumption.