UPSC Prelims 2023 Previous Year Questions

Browse all 100 questions from the UPSC Prelims 2023 paper. Every question includes the correct answer, a detailed explanation, the source it was drawn from, and a breakdown of what UPSC intended to test.

UPSC Prelims 2023 questions by subject

Economic and Social Development questions from UPSC Prelims 2023

Q1UPSC Prelims 2023Economic and Social Development

With reference to coal-based thermal power plants in India, consider the following statements:

1. None of them uses seawater.

2. None of them is set up in a water-stressed district.

3. None of them is privately owned
Which of the statements given above is/are correct?

  • (a)Only one
  • (b)Only two
  • (c)All three
  • (d)None
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Q2UPSC Prelims 2023Economic and Social Development

Consider the following markets:

1. Government Bond Market2. Call Money Market3. Treasury Bill Market4. Stock Market
How many of the above are included in capital markets?

  • (a)Only one
  • (b)Only two
  • (c)Only three
  • (d)All four
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Q3UPSC Prelims 2023Economic and Social Development

Consider the following statements 
Statement-I: Switzerland is one of the leading exporters of gold in terms of value.
Statement-II:Switzerland has the second-largest gold reserves in the world.
Which one of the following is correct in respect of the above statements?

  • (a)Both Statement-I and Statement IIl are correct and Statement-II is the correct explanation for Statement-I
  • (b)Both Statement-I and Statement- II are correct and Statement- II is not the correct explanation for Statement-I
  • (c)Statement-I is correct but Statement-II is incorrect
  • (d)Statement-I is incorrect but Statement-II is correct
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Q4UPSC Prelims 2023Economic and Social Development

Which one of the following best describes the concept of ‘Small Farmer Large Field'?

  • (a)Resettlement of a large number of people, uprooted from their countries due to war, by giving them a large cultivable land which they cultivate collectively and share the produce
  • (b)Many marginal farmers in an area organize themselves into groups and synchronize and harmonize selected agricultural operations
  • (c)Many marginal farmers in an area together make a contract with a corporate body and surrender. their land to the corporate body for a fixed term for which the corporate body makes a payment of agreed amount to the farmers
  • (d)A company extends loans, technical knowledge and material inputs to a number of small farmers in an area so that they produce the agricultural commodity required by the company for its manufacturing process and commercial production.
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Q5UPSC Prelims 2023Economic and Social Development

Consider the following statements:

1. The Government of India provides Minimum Support Price for niger (Guizotia abyssinica) seeds.

2. Niger is cultivated as a Kharif crop.

3. Some tribal people in India use niger seed oil for cooking.
How many of the above statements are correct?

  • (a)Only one
  • (b)Only two
  • (c)All three
  • (d)None
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Q6UPSC Prelims 2023Economic and Social Development

With reference to Central Bank digital currencies, consider the following statements: 
1. It is possible to make payments in a digital currency without using the US dollar or the SWIFT system.2. A digital currency can be distributed with condition programmed into it such as a time- frame for spending it.
Which of the statements given above is/are correct?

  • (a)1 only
  • (b)2 only
  • (c)Both 1 and 2
  • (d)Neither 1 nor 2
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Q7UPSC Prelims 2023Economic and Social Development

In the context of finance, the term ‘beta' refers to

  • (a)the process of simultaneous buying and selling of an asset from different platforms
  • (b)an investment strategy of a portfolio manager to balance risk versus reward
  • (c)a type of systemic risk that arises where perfect hedging is not possible
  • (d)a numeric value that measures the fluctuations of a stock to changes in the overall stock market.
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Q8UPSC Prelims 2023Economic and Social Development

Consider the following statements with reference to India: 
1. According to the Miers, Small and Medium Enterprises Development (MSMED) Act, 2006, the ‘medium enterprises those with are those investments in plant and machinery between 15 crore and 25 crore. 2. All bank loans to the Micro, Small and Medium Enterprises qualify under the priority sector.
Which of the statements given above is/are correct?

  • (a)1 only
  • (b)2 only
  • (c)Both 1 and 2
  • (d)Neither 1 nor 2
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Q9UPSC Prelims 2023Economic and Social Development

Consider the following statements:

1. The Self-Help Group (SHG) program was originally initiated by the State Bank of India by providing microcredit to the financially deprived.

2. In an SHG, all members of a group take responsibility for a loan that an individual member takes.

3. The Regional Rural Banks and Scheduled Commercial Banks support SHGs.
Which of the statements given above is/are correct?

  • (a)Only one
  • (b)Only two
  • (c)All three
  • (d)None
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Q10UPSC Prelims 2023Economic and Social Development

With reference to India's projects on connectivity, consider the following statements:

1. East-West Corridor under Golden Quadrilateral Project connects Dibrugarh and Surat.

2. Trilateral Highway connects Moreh in Manipur and Chiang Mai in Thailand via Myanmar3. Bangladesh-China-India- Myanmar Economic Corridor connects Varanasi in Uttar Pradesh with Kunming in China.
How many of the above statements are correct?

  • (a)Only one
  • (b)Only two
  • (c)All three
  • (d)None
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Q11UPSC Prelims 2023Economic and Social Development

Consider the following statements:
Statement- I:Interest income from the deposits in Infrastructure Investment Trusts (InvITs) distributed to their investors is exempted from tax, but the dividend is taxable.
Statement- II:InvITs are recognized as borrowers under the ‘Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002'
Which one of the following is correct in respect of the above statements?

  • (a)Both Statements- I and Statement II are correct and Statement II is the correct explanation for Statement I
  • (b)Both Statements- I and Statement II are correct and Statement II is not the correct explanation for Statement I
  • (c)Statement I is correct but Statement II is incorrect
  • (d)Statement I is incorrect but Statement II is correct
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Q12UPSC Prelims 2023Economic and Social Development

Consider the investments in the following assets:

1. Brand recognition2. Inventory3. Intellectual property4. Mailing list of clients
How many of the above are considered intangible investments?

  • (a)Only one
  • (b)Only two
  • (c)Only three
  • (d)All four
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Q13UPSC Prelims 2023Economic and Social Development

Consider the following statements:
Statement- I: In the post-pandemic recent past, many Central Banks worldwide had carried out interest rate hikes.
Statement- II:Central Banks generally assume that they have the ability to counteract the rising consumer prices via monetary policy means.
Which one of the following is correct in respect of the above statements?

  • (a)Both Statements- I and Statement II are correct and Statement II is the correct explanation for Statement I
  • (b)Both Statements- I and Statement II are correct and Statement II is not the correct explanation for Statement I
  • (c)Statement I is correct but Statement II is incorrect
  • (d)Statement I is incorrect but Statement II is correct
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Q14UPSC Prelims 2023Economic and Social Development

Which one of the following activities of the Reserve Bank of India is considered to be part of ‘sterilization'?

  • (a)Conducting ‘Open Market Operations
  • (b)Oversight of settlement and payment systems
  • (c)Debt and cash management for the Central and State Governments
  • (d)Regulating the functions of Non-banking Financial Institutions
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Q15UPSC Prelims 2023Economic and Social Development

Consider the following:

1. Demographic performance2. Forest and ecology

3. Governance reforms4. Stable government5. Tax and fiscal efforts
For the horizontal tax devolution, the Fifteenth Finance Commission used how many of the above as criteria other than population area and income distance?

  • (a)Only two
  • (b)Only three
  • (c)Only four
  • (d)All five
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Q16UPSC Prelims 2023Economic and Social Development

Consider the following statements: 
Statement-1: India accounts for 3-2% of global export of goods. 
Statement-II: Many local companies and some foreign companies operating in India have taken advantage of India's ‘Production-linked Incentive' scheme.
Which one of the following is correct in respect of the above statements?

  • (a)Both Statement-I and Statement IIl are correct and Statement-II is the correct explanation for Statement-I
  • (b)Both Statement-I and Statement- II are correct and Statement- II is not the correct explanation for Statement-I
  • (c)Statement-I is correct but Statement-II is incorrect
  • (d)Statement-I is incorrect but Statement-II is correct
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Q17UPSC Prelims 2023Economic and Social Development

Consider the following statements:
The ‘Stability and Growth Pact of the European Union is a treaty that

1. limits the levels of the budgetary deficit of the countries of the European Union

2. makes the countries of the European Union to share their infrastructure facilities

3. enables the countries of the European Union to share their technologies.
Which of the statements given above is/are correct?

  • (a)Only one
  • (b)Only two
  • (c)All three
  • (d)None
View Answer & Explanation
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