AmbifulWorksheets
Practice that never repeats
CBSE · Class 11 · Social Science

Liberalisation, Privatisation and Globalisation

Standard difficulty · 20 questions · 40 marks · Time: 37 minutes

Name: Date: Score: ____ / 40

Write full answers in Sections B and C. Answers are on the last page — try every question first!

Section A — Choose the correct answer8 × 1 = 8 marks
1.
India’s New Economic Policy was announced in:
  1. 1995
  2. 2001
  3. 1981
  4. 1991
2.
“Letting foreign institutional investors invest in Indian markets” is an example of:
  1. financial sector reform
  2. privatisation
  3. trade policy reform
  4. foreign exchange reform
3.
What is meant by “disinvestment”?
  1. foreign currency kept to pay for imports
  2. removing restrictions and opening up sectors of the economy
  3. selling part of the equity of public enterprises to the public
  4. shedding government ownership or management of enterprises
4.
Which of these is named in the book as a Maharatna company?
  1. Steel Authority of India Limited
  2. Bharat Sanchar Nigam Limited
  3. Indian Railway Catering and Tourism Corporation
  4. Mahanagar Telephone Nigam Limited
5.
In the book’s table, growth of GDP as a whole was 5.6% a year in 2012–13 and 6.6% in 2013–14. What is the difference?
  1. 1.5 points
  2. 12.2 points
  3. 2 points
  4. 1 points
6.
Suppose the rupee is devalued from ₹20 to ₹39 per dollar. How many more rupees does an importer pay for goods worth $70,000?
  1. ₹1,330,000
  2. ₹19
  3. ₹2,730,000
  4. ₹1,400,000
7.
A country imports goods worth $4 billion a month and holds foreign exchange reserves of $60 billion. For how many months of imports do the reserves last?
  1. 16 months
  2. 4 months
  3. 15 months
  4. 60 months
8.
The government owns all 794,000 shares of a public enterprise and sells 40% of them to the public at ₹320 a share. How much does this disinvestment raise?
  1. ₹203,264,000
  2. ₹317,600
  3. ₹254,080,000
  4. ₹101,632,000
Section B — Short answer8 × 2 = 16 marks
9.
What is liberalisation?
10.
Explain each term: (a) privatisation (b) stabilisation measures
11.
Is each a direct or an indirect tax? (a) customs duty (b) excise duty
12.
What status does the book give each public enterprise (Maharatna, Navratna or Miniratna)? (a) Mahanagar Telephone Nigam Limited (b) Airports Authority of India
13.
Name the area of reform each belongs to: (a) removing quantitative restrictions on imports (b) reducing income tax and corporation tax rates
14.
An exporter sells goods worth $47,900. How many rupees does the exporter get at ₹41 per dollar, and at ₹61 after a devaluation?
15.
Using the book’s table, compare the growth of GDP as a whole in 2012–13 (5.6%) and 2021–22 (9.4%): was it higher or lower in the later period, and by how many percentage points?
16.
A good costs ₹800 abroad. Its import tariff is cut from 75% to 20%. What is its price in India before and after the cut?
Section C — Longer answers4 × 4 = 16 marks
17.
Describe the reforms in the industrial sector after 1991.
18.
Match each with its meaning: (a) globalisation (b) liberalisation (c) quantitative restrictions. Choose from: limits on the quantity of imports or exports; removing restrictions and opening up sectors of the economy; integrating the economy with the world economy.
19.
A company abroad needs 6,500 hours of data-entry work. It costs $75 an hour at home and $42 an hour if outsourced to a firm in India. (a) What does each option cost? (b) How much is saved by outsourcing? (c) What made India a destination for outsourcing?
20.
(a) Put these in order, earliest first: India announced the New Economic Policy (1991); quantitative restrictions on consumer goods and farm imports were fully removed (2001); the WTO replaced GATT (1995). (b) How many years from the first to the last? (c) Explain what one of these meant for India’s trade.
AmbifulWorksheets
Practice that never repeats
CBSE · Class 11 · Social Science

Answer key

Liberalisation, Privatisation and Globalisation · AW-11SS-ELP-2026-V1 · For parents — fold back or tear off before handing the sheet to your child.

QAnswerWorking
1(d) 1991—
2(a) financial sector reform—
3(c) selling part of the equity of public enterprises to the public—
4(a) Steel Authority of India Limited—
5(d) 1 points6.6 − 5.6
6(a) ₹1,330,00070,000 × (39 − 20)
7(c) 15 months60 ÷ 4
8(d) ₹101,632,00040% of 794,000 × 320
9Removing restrictions on economic activity and opening up sectors of the economy.—
10(a) shedding government ownership or management of enterprises (b) short-term steps to fix the balance of payments and inflation—
11(a) indirect (b) indirect—
12(a) Navratna (b) Miniratna—
13(a) trade policy reform (b) tax reform—
14₹1,963,900 and ₹2,921,900, i.e. ₹958,000 more47,900 × 41; 47,900 × 61
153.8 points higher9.4 − 5.6
16₹1,400 and ₹960800 × 175%; × 120%
17Licensing was abolished for most products, few industries stayed reserved for the public sector, many small-scale products were dereserved, and markets were allowed to set most prices.—
18(a) integrating the economy with the world economy (b) removing restrictions and opening up sectors of the economy (c) limits on the quantity of imports or exports—
19(a) $487,500 and $273,000 (b) $214,500 (c) fast communication and IT, lower costs, and skilled workers6,500 × 75; 6,500 × 42
20(a) India announced the New Economic Policy; the WTO replaced GATT; quantitative restrictions on consumer goods and farm imports were fully removed (b) 10 years (c) Answers will vary; see the chapter.—