Globalisation and the Indian Economy — Class 10 MCQs with Answers
Class 10 CBSE Economics · Chapter 4
62 practice questions · 20 Easy · 22 Medium · 20 Hard · Updated
Jump to the 6 solved questions
Practise the most important Class 10 CBSE Economics questions from Chapter 4, "Globalisation and the Indian Economy". You get 6 timed quizzes made from 62 NCERT-based MCQs, with answers and explanations. The questions are split into 20 Easy, 22 Medium and 20 Hard. Warm up on the basics, then move on to the exam-level questions that top scorers in CBSE Board exams get right.
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 helps you stay accurate when time is short, just 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. Try the 6 sample questions below: tap an option to see the answer and a worked explanation. Sign in free to start practising.
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. Tap an option to check yourself.
0 of 6 answered
- Q1 of 6Easy
A company that owns or controls production in more than one country is called a ____.
Show answerHide answer
Answer: Multinational corporation (MNC)
Explanation: A multinational corporation (MNC) owns or controls production in more than one nation, spreading its operations across countries.
- Q2 of 6Easy
The process of rapid integration or interconnection between countries is called ____.
Show answerHide answer
Answer: globalisation
Explanation: The chapter defines globalisation as the process of rapid integration or interconnection between countries, brought about by greater foreign investment and greater foreign trade.
- Q3 of 6Medium
After 1991, several Indian companies in the IT and automobile sectors grew and even invested abroad. This shows that globalisation can ____.
Show answerHide answer
Answer: create opportunities for some local companies to become global players
Explanation: Globalisation enabled some large Indian companies to benefit, expand, gain new technology and even emerge as multinationals themselves.
- Q4 of 6Medium
Which government action would most directly help make globalisation fairer for Indian workers and small producers?
Show answerHide answer
Answer: Ensuring labour laws are properly implemented and supporting small producers
Explanation: The government can make globalisation fairer by enforcing labour laws to protect workers' rights and by supporting small producers to compete.
- Q5 of 6Hard
Which statement about how MNCs control or influence production is INCORRECT?
Show answerHide answer
Answer: MNCs never invest in or buy local companies in other countries
Explanation: MNCs commonly invest in or buy up local companies abroad; statement (a) contradicts a key way MNCs spread production.
- Q6 of 6Hard
Assertion (A): The cost of air transport has fallen, which has enabled much greater volumes of goods to be transported by airlines. Reason (R): Telecommunication facilities such as telephones, mobile phones and fax are used to contact one another around the world.
Show answerHide answer
Answer: Both A and R are true but R is not the correct explanation of A
Explanation: Both statements are true and both show technology helping globalisation. But the use of telecommunication facilities does not explain the fall in the cost of air transport, so R is not the correct explanation of A.
Globalisation and the Indian Economy notes: key concepts (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.
- 1950s–1960sBarriers on foreign trade and investment protect industries just coming up
- Around 1991Barriers on foreign trade and investment removed to a large extent
- 1995Ford Motors spends Rs 1700 crore on a plant near Chennai, with Mahindra and Mahindra
- 2001Curbs on capacitor imports removed under India's agreement at WTO
- 2017Ford sells 88,000 cars in India and exports 1,81,000 from India
| Way | What happens | Example |
|---|---|---|
| Joint production with a local company | Local company gets extra investment and the latest technology | Ford with Mahindra and Mahindra |
| Buying up local companies | The most common route; production then expands | Cargill bought Parakh Foods |
| Placing orders with small producers | Goods sold under the MNC's own brand | Garment exporters cut labour costs to win MNC orders |
- 1Products designed in research centres in the United States
- 2Components made in China, a cheap manufacturing location
- 3Assembled in Mexico and Eastern Europe, close to US and European markets
- 4Customer care through call centres in India
| Group | Effect | Example |
|---|---|---|
| Well-off consumers | Greater choice, better quality, lower prices | Chinese toys: cheaper, with new designs |
| Top Indian companies | Newer technology, higher standards; some invest abroad | IT and automobile companies |
| Small producers | Hit hard by competition | Ravi's capacitor unit: down to seven workers |
| Workers | Hired 'flexibly'; jobs no longer secure | Sushila: now temporary, earns less than half |
- 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.
- Liberalisation
- Removing government barriers and restrictions on foreign trade and investment; India began major liberalisation in 1991 to open its economy.
- Trade barriers
- Restrictions like taxes on imports that a government uses to control foreign trade, e.g. a heavy tax on imported toys to protect local makers.
- World Trade Organization (WTO)
- Sets and enforces rules to liberalise international trade; critics say its rules often favour developed nations over poorer ones.
- Role of technology / ICT
- Faster, cheaper transport and information and communication technology (telecom, internet) let firms coordinate and spread production worldwide.
- Impact on consumers
- Well-off consumers gained more choice and better-quality goods at competitive prices as competition among producers increased.
- Impact on producers and workers
- Small manufacturers of toys, tyres and batteries struggled to compete, and flexible short-term hiring hurt unorganised-sector workers' security.
- Indian firms going global
- After 1991 some Indian IT and automobile companies grew and even invested abroad, showing globalisation can also create Indian MNCs.
- Fair globalisation
- Spreading globalisation's benefits more evenly by protecting workers and small producers — the government, WTO, and people's movements can all press for it.
Start this chapter free
You have 6 to try above. Sign in with Google (no card needed). You get 1 Easy + 1 Medium quiz on every chapter, free for good (up to 6 quizzes a day) — plus a free Hard quiz when you score 70%+ on a Medium quiz (1 per subject), and the exam tips.
This chapter has 62 questions (20 Easy · 22 Medium · 20 Hard), with timed scoring and instant feedback. The rest unlock with the ₹999/year plan.
Start with the questions above. The full quiz opens here after.
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, Liberalisation, Trade barriers.
What does Class 10 Economics Chapter 4 (Globalisation and the Indian Economy) cover on XamBaaz?+
It has 62 NCERT-based MCQs on "Globalisation and the Indian Economy": 20 Easy, 22 Medium and 20 Hard. Together they make 6 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. One year from the day you pay. You stay in Class 10 till 31 March; on 1 April your account moves up to Class 11 and the rest of your year carries over. 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 6 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 on this page with answers: tap an option, or "Show answer", to see the correct option and a step-by-step 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, Liberalisation, Trade barriers. This page shows 6 solved important MCQs with answers and explanations. Sign in to practise all 62 questions on the chapter as timed quizzes.
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.
Are there question answers and extra questions for Globalisation and the Indian Economy (Class 10 Economics)?+
Yes. This page has 6 solved questions on Globalisation and the Indian Economy, each with the correct answer and a short explanation. Sign in to practise all 62 questions on the chapter as timed quizzes.
Are there assertion–reason and case study questions for Globalisation and the Indian Economy (Class 10 Economics)?+
Yes. The Globalisation and the Indian Economy question bank has 6 assertion–reason questions and 3 case-based (case study) questions in the CBSE board format, alongside the regular MCQs. Each comes with the answer and a worked explanation. Sign in to practise them in timed quizzes.