Prelims Mantra (Practice Questions) (10th & 11th /02/2026)
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Prelims Mantra (Practice Questions) (10th & 11th /02/2026)
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Question 1 of 8
1. Question
Core inflation is useful because it:
Correct
Answer: A
Explanation:
Core inflation strips out volatile components (food and energy) to reveal the long-term trend of price levels driven by consumer demand and production costs. It serves as a more stable indicator for central banks to determine monetary policy.
Incorrect
Answer: A
Explanation:
Core inflation strips out volatile components (food and energy) to reveal the long-term trend of price levels driven by consumer demand and production costs. It serves as a more stable indicator for central banks to determine monetary policy.
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Question 2 of 8
2. Question
Which one of the following best explains why a persistent revenue deficit is considered problematic?
Correct
Answer: B
Explanation:
Revenue deficit means current expenditure exceeds revenue receipts, forcing borrowing for non-asset purposes.
Incorrect
Answer: B
Explanation:
Revenue deficit means current expenditure exceeds revenue receipts, forcing borrowing for non-asset purposes.
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Question 3 of 8
3. Question
The ‘crowding-in effect’ of public capital expenditure refers to:
Correct
Answer: C
Explanation:
Improved infrastructure and demand prospects encourage private investment.
Incorrect
Answer: C
Explanation:
Improved infrastructure and demand prospects encourage private investment.
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Question 4 of 8
4. Question
Which of the following revenues are NOT shareable with States?
Correct
Answer: D
Explanation:
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- Constitutional provision: Under Articles 270 and 271 of the Indian Constitution, cesses and surcharges are specifically excluded from the “divisible pool” of taxes.
- Purpose-bound: These are collected by the Union Government for specific purposes (e.g., Education Cess, Swachh Bharat Cess) or as an additional “tax on tax” to meet Union expenditures.
- Exclusive retention: Unlike regular taxes, the entire proceeds of cesses and surcharges go to the Consolidated Fund of India and are retained by the Centre, rather than being shared with the States according to the Finance Commission’s devolution formula (currently 41% for 2021–2031).
Incorrect
Answer: D
Explanation:
-
- Constitutional provision: Under Articles 270 and 271 of the Indian Constitution, cesses and surcharges are specifically excluded from the “divisible pool” of taxes.
- Purpose-bound: These are collected by the Union Government for specific purposes (e.g., Education Cess, Swachh Bharat Cess) or as an additional “tax on tax” to meet Union expenditures.
- Exclusive retention: Unlike regular taxes, the entire proceeds of cesses and surcharges go to the Consolidated Fund of India and are retained by the Centre, rather than being shared with the States according to the Finance Commission’s devolution formula (currently 41% for 2021–2031).
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Question 5 of 8
5. Question
The event BIOFACH 2026, where India was named Country of the Year, is a trade fair chiefly related to:
Correct
Answer: B
Explanation: BIOFACH is the world’s largest organic trade fair, showcasing agricultural products and standards in organic markets.
Incorrect
Answer: B
Explanation: BIOFACH is the world’s largest organic trade fair, showcasing agricultural products and standards in organic markets.
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Question 6 of 8
6. Question
Which Indian agency was primarily responsible for organising India’s participation at BIOFACH 2026?
Correct
Answer: D
Explanation: The Agricultural and Processed Food Products Export Development Authority (APEDA) managed India’s presence and promotion.
Incorrect
Answer: D
Explanation: The Agricultural and Processed Food Products Export Development Authority (APEDA) managed India’s presence and promotion.
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Question 7 of 8
7. Question
The “Kaushal Rath” initiative under IndiaAI is primarily aimed at:
Correct
Answer: C
Explanation: Kaushal Rath is a mobile AI lab to spread AI education to diverse learner groups.
Incorrect
Answer: C
Explanation: Kaushal Rath is a mobile AI lab to spread AI education to diverse learner groups.
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Question 8 of 8
8. Question
‘Bio-methanation’ in solid waste management refers to:
Correct
Answer: D
Explanation: Bio-methanation harnesses organic waste breakdown to produce biogas, supporting circular waste economies.
Incorrect
Answer: D
Explanation: Bio-methanation harnesses organic waste breakdown to produce biogas, supporting circular waste economies.
