Question : The Industrial Policy of 1991 abolished the requirement of which license for most industries?
Option 1: Industrial license
Option 2: Import license
Option 3: Export license
Option 4: Excise license
Correct Answer: Industrial license
Solution : The correct answer is (a) Industrial license for most industries.
The Industrial Policy of 1991, also known as the New Economic Policy or the LPG (Liberalization, Privatization, and Globalization) policy, marked a significant shift in India's economic policies. It aimed to liberalize and deregulate the Indian economy, reduce government control and intervention, and promote private sector participation and foreign investment.
One of the key reforms introduced by the Industrial Policy of 1991 was the abolition of the industrial licensing system. The industrial licensing system required businesses to obtain a license from the government to start or expand industrial operations in many sectors. This system was seen as bureaucratic, restrictive, and impeding the growth of industries.
Question : What was the main objective of industrial sector reforms in the 1991 economic policy?
Option 1: Promoting export-oriented industries
Option 2: Nationalizing key industries
Option 3: Encouraging small-scale industries
Option 4: Protecting domestic industries from foreign competition
Question : The 1991 economic policy aimed to promote the development of which type of industries?
Option 1: Small-scale industries
Option 2: Cottage industries
Option 3: Heavy industries
Option 4: Public sector industries
Question : A Trade Policy consists of
Option 1: Export-Import Policy
Option 2: Licencing Policy
Option 3: Foreign Exchange Policy
Option 4: Balance of Payment Policy
Question : The 1991 economic policy aimed to promote:
Option 1: Import substitution
Option 2: Export promotion
Option 3: Central planning
Option 4: Trade restrictions
Question : Which of the following is not an important feature of the Industrial Policy of 1991?
Option 1: Foreign Technology Agreements
Option 2: Industrial Licensing Policy
Option 3: No Foreign Trade Policy
Option 4: Public Sector Policy
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