Globalisation and the Indian Economy — Class 10 MCQs with Answers
Class 10 CBSE Economics · Chapter 4
30 practice questions · 10 Easy · 10 Medium · 10 Hard · Updated
Practise the most important Class 10 CBSE Economics questions from Chapter 4, "Globalisation and the Indian Economy". You get 3 timed quizzes made from 30 NCERT-based MCQs, with answers and explanations. The questions are split into 10 Easy, 10 Medium and 10 Hard. Warm up on the basics, then move on to the exam-level questions that set top scorers in CBSE Board exams apart.
To score well in "Globalisation and the Indian Economy", focus on dates, cause and effect, and reading maps and sources. Each MCQ here is timed and uses exam-style marking (+4 correct, −1 wrong, 0 skipped). This trains you to stay accurate under time pressure, as real papers need. Every question has a short explanation, so a wrong answer becomes a quick lesson. It is the fastest way to fix gaps before a test.
Use this chapter for focused revision. Start with the Easy set to check your basics on Globalisation and the Indian Economy, then move to Medium and Hard to practise applying them. Your accuracy, streaks and XP save automatically. This chapter also adds to your overall Class 10 Economics mastery score. 6 sample questions are solved in full below, with the answer and a worked explanation. Sign in free to start practising.
Key concepts: Globalisation and the Indian Economy (Class 10 Economics)
This chapter explains how globalisation, driven by multinational corporations, technology and trade, has integrated the Indian economy since the 1991 liberalisation. It examines how MNCs spread production, the role of the WTO, the uneven impact on consumers, workers and small producers, and the demand for fair globalisation.
- Multinational corporation (MNC)
- A company that owns or controls production in more than one country, setting up where labour, materials and markets make production cheapest and closest to buyers.
- Foreign investment
- Money spent to buy assets such as land, buildings, machines and equipment for production; investment by MNCs brings capital and technology.
- How MNCs spread production
- By setting up jointly with local firms, buying up local companies, or placing orders with small producers whose goods they sell under their own brand.
- Globalisation
- The rapid integration and interconnection of countries through trade, investment, movement of people and the spread of technology.
Globalisation and the Indian Economy — important questions & MCQs with answers (Class 10 Economics)
6 solved questions from this chapter's difficulty levels, each with its answer and explanation. The other 24 are timed and scored when you sign in.
- Q1Easy
A company that owns or controls production in more than one country is called a ____.
A.Cooperative societyB.Self-help groupC.Multinational corporation (MNC)✓ CorrectD.Public sector unitAnswer: C. Multinational corporation (MNC)
Explanation: A multinational corporation (MNC) owns or controls production in more than one nation, spreading its operations across countries.
- Q2Easy
The process of rapid integration or interconnection between countries is called ____.
A.privatisationB.nationalisationC.globalisation✓ CorrectD.urbanisationAnswer: C. globalisation
Explanation: Globalisation is the rapid integration and interconnection of countries through trade, investment and movement of services, people and ideas.
- Q3Medium
An MNC sets up production jointly with a local company in India. Which TWO benefits does the local company typically gain from such a joint production?
A.Lower demand and fewer customersB.Higher taxes and more government controlC.Additional investment (money) and the latest technology for production✓ CorrectD.Loss of brand name and marketsAnswer: C. Additional investment (money) and the latest technology for production
Explanation: In a joint venture the local company gains money for extra investment and access to the latest production technology brought by the MNC.
- Q4Medium
Information and communication technology (ICT) has been a key enabler of globalisation. Which is the BEST example of how ICT enabled the spread of services across countries?
A.Farmers selling vegetables in a local mandiB.A village shop selling only local goodsC.A call centre in India handling customer queries for a company based abroad✓ CorrectD.A factory producing goods only for the home marketAnswer: C. A call centre in India handling customer queries for a company based abroad
Explanation: Telecommunications, the internet and computers let services such as call-centre and back-office work be done in India for companies abroad, a clear ICT-enabled effect.
- Q5Hard
Assertion (A): MNCs set up production where it is close to markets, where skilled and unskilled labour is available at low costs, and where other factors of production are assured. Reason (R): MNCs aim to maximise their costs of production rather than their profits. Choose the correct option.
A.Both A and R are true, and R is the correct explanation of AB.Both A and R are true, but R is not the correct explanation of AC.A is false but R is trueD.A is true but R is false✓ CorrectAnswer: D. A is true but R is false
Explanation: A correctly states why MNCs choose locations, but R is false: MNCs locate production to minimise costs and maximise profits, not to maximise costs.
- Q6Hard
Match each factor enabling globalisation with its correct role. 1) Technology — i) lays down rules and pushes liberalisation of trade; 2) Liberalisation — ii) made rapid movement of goods and services across distances faster and cheaper; 3) WTO — iii) removal of government-imposed barriers on trade and investment. Choose the correct matching.
A.1-ii, 2-i, 3-iiiB.1-i, 2-ii, 3-iiiC.1-iii, 2-i, 3-iiD.1-ii, 2-iii, 3-i✓ CorrectAnswer: D. 1-ii, 2-iii, 3-i
Explanation: Technology speeds movement of goods/services (ii), liberalisation removes barriers (iii), and the WTO sets rules and pushes liberalisation (i).
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Start this chapter free →Globalisation and the Indian Economy — FAQs
What are the key concepts in Class 10 Economics Globalisation and the Indian Economy?+
This chapter explains how globalisation, driven by multinational corporations, technology and trade, has integrated the Indian economy since the 1991 liberalisation. It examines how MNCs spread production, the role of the WTO, the uneven impact on consumers, workers and small producers, and the demand for fair globalisation. Key ideas include Multinational corporation (MNC), Foreign investment, How MNCs spread production, Globalisation.
What does Class 10 Economics Chapter 4 (Globalisation and the Indian Economy) cover on XamBaaz?+
It has 30 NCERT-based MCQs on "Globalisation and the Indian Economy": 10 Easy, 10 Medium and 10 Hard. Together they make 3 timed quizzes, and you never get the same set twice. Every question has an instant explanation. They help you prepare for CBSE Board exams.
Are these "Globalisation and the Indian Economy" questions free to practise?+
Yes. Sign in with Google to practise "Globalisation and the Indian Economy" free. Full unlimited access is ₹999/year on a launch offer until 1 December 2026. No chapter is charged separately.
How should I revise "Globalisation and the Indian Economy" for the exam?+
Start with the Easy quiz to check your basics, then try Medium and Hard to practise applying them. There are 3 timed quizzes on this chapter, so you can come back for a fresh set instead of one you have seen. Read each explanation, retry the questions you miss, and track your accuracy until it stays high.
Are these "Globalisation and the Indian Economy" MCQs available with answers?+
Yes. 6 sample questions are shown here in full, each with the correct option and a step-by-step "Why" explanation. Sign in free with Google to start practising, with instant scoring.
Is there negative marking in the "Globalisation and the Indian Economy" quizzes?+
Yes. The timed quizzes use exam-style marking: +4 for a right answer, −1 for a wrong one and 0 for a skip. MHT-CET and CBSE board papers have no negative marking. Our mocks for those are scored their way.
What are the important questions from Globalisation and the Indian Economy (Class 10 Economics)?+
The questions that matter most test Multinational corporation (MNC), Foreign investment, How MNCs spread production, Globalisation. This page shows 6 solved important MCQs with answers and explanations; all 30 questions on the chapter are available as timed quizzes once you sign in.
Is there an online quiz for Globalisation and the Indian Economy?+
Yes — Class 10 Economics Globalisation and the Indian Economy has timed online quizzes at Easy, Medium and Hard levels, with instant scoring and a worked explanation on every question. The first quiz on the chapter is free.