Q.1 Which of the following is the primary aim of government policies supporting entrepreneurs?
To increase imports
To discourage startups
To promote business growth
To restrict innovation
Explanation - Government policies focus on promoting business growth by providing incentives, subsidies, and support to entrepreneurs.
Correct answer is: To promote business growth
Q.2 Which ministry in India mainly handles policies related to small entrepreneurs?
Ministry of Education
Ministry of Defence
Ministry of MSME
Ministry of Railways
Explanation - The Ministry of Micro, Small and Medium Enterprises (MSME) is responsible for formulating policies and programs for small entrepreneurs.
Correct answer is: Ministry of MSME
Q.3 What does 'Startup India' primarily aim to achieve?
Promote agriculture
Encourage entrepreneurship
Develop railways
Expand foreign trade
Explanation - Startup India is a government initiative to encourage entrepreneurship, provide funding support, and reduce regulatory burdens.
Correct answer is: Encourage entrepreneurship
Q.4 Which of the following is NOT a form of government support for entrepreneurs?
Tax incentives
Business training programs
Subsidized loans
Higher import duties
Explanation - Government supports entrepreneurs through incentives, training, and loans, not by increasing import duties.
Correct answer is: Higher import duties
Q.5 Which body is responsible for funding innovation-driven startups in India?
SIDBI
RBI
SEBI
IRDAI
Explanation - The Small Industries Development Bank of India (SIDBI) provides funding and support for innovation-driven startups.
Correct answer is: SIDBI
Q.6 What is the role of government incubators?
To provide food to students
To nurture and support startups
To regulate banks
To monitor imports
Explanation - Government incubators provide mentorship, infrastructure, and financial support to startups during their initial stages.
Correct answer is: To nurture and support startups
Q.7 Which initiative provides collateral-free loans to small entrepreneurs in India?
MUDRA Yojana
Ayushman Bharat
Digital India
Make in India
Explanation - Pradhan Mantri MUDRA Yojana provides collateral-free loans to micro and small entrepreneurs.
Correct answer is: MUDRA Yojana
Q.8 Government subsidies to entrepreneurs are given to:
Reduce cost burden
Increase taxes
Discourage competition
Boost imports
Explanation - Subsidies help reduce the financial burden on entrepreneurs, enabling them to grow businesses sustainably.
Correct answer is: Reduce cost burden
Q.9 Which of these is a policy measure to promote women entrepreneurs?
Stand-Up India
Clean India Mission
Smart Cities Mission
Digital India
Explanation - Stand-Up India scheme promotes entrepreneurship among women and SC/ST communities.
Correct answer is: Stand-Up India
Q.10 What does MSME stand for?
Medium Small Market Enterprises
Micro, Small and Medium Enterprises
Multiple State Managed Enterprises
Macro Small and Medium Entities
Explanation - MSME stands for Micro, Small and Medium Enterprises, a vital segment supported by government policies.
Correct answer is: Micro, Small and Medium Enterprises
Q.11 Which government initiative aims to promote manufacturing in India?
Make in India
Skill India
Startup India
Digital India
Explanation - Make in India was launched to encourage national and global companies to manufacture in India.
Correct answer is: Make in India
Q.12 Why do governments provide tax holidays to startups?
To delay exports
To encourage entrepreneurship
To increase revenue immediately
To discourage new industries
Explanation - Tax holidays reduce the financial burden on startups, encouraging new businesses to grow.
Correct answer is: To encourage entrepreneurship
Q.13 Which policy provides free skill development training to youth?
Skill India
Ayushman Bharat
Digital India
GST
Explanation - Skill India mission provides skill development training to make youth employable and entrepreneurial.
Correct answer is: Skill India
Q.14 Which organization regulates financial markets in India?
SEBI
RBI
NABARD
MSME Ministry
Explanation - SEBI regulates capital markets in India, though it indirectly influences entrepreneurship financing.
Correct answer is: SEBI
Q.15 Why is government support important for first-generation entrepreneurs?
They lack experience and capital
They already have enough funds
They don’t need training
They prefer monopolies
Explanation - Government support helps first-generation entrepreneurs overcome challenges of limited capital and knowledge.
Correct answer is: They lack experience and capital
Q.16 Which of these schemes is linked to promoting digital entrepreneurship?
Digital India
Skill India
Startup India
MUDRA Yojana
Explanation - Digital India initiative promotes technology adoption and digital entrepreneurship in India.
Correct answer is: Digital India
Q.17 What role does NABARD play in entrepreneurship?
Regulates stock markets
Promotes rural entrepreneurship
Controls foreign trade
Manages railways
Explanation - NABARD supports rural entrepreneurship through financial and developmental initiatives.
Correct answer is: Promotes rural entrepreneurship
Q.18 Which of the following is a challenge government schemes aim to overcome?
Access to finance
Abundant capital
High profits
Excessive manpower
Explanation - Government policies aim to improve access to finance, a major challenge for entrepreneurs.
Correct answer is: Access to finance
Q.19 Which program promotes innovation and research among students?
ATAL Innovation Mission
Ayushman Bharat
GST
NITI Aayog
Explanation - ATAL Innovation Mission promotes innovation and entrepreneurship among students and startups.
Correct answer is: ATAL Innovation Mission
Q.20 Which type of entrepreneurs benefit most from rural development programs?
Urban entrepreneurs
Agripreneurs
Corporate managers
International traders
Explanation - Rural development programs focus on supporting agripreneurs who bring innovation to agriculture.
Correct answer is: Agripreneurs
Q.21 Which authority frames policies to boost entrepreneurship in India?
NITI Aayog
IRDAI
CBSE
ISRO
Explanation - NITI Aayog plays a major role in policy-making to encourage entrepreneurship and innovation.
Correct answer is: NITI Aayog
Q.22 What is the key focus of government credit guarantee schemes?
To protect banks from losses
To ensure entrepreneurs get loans
To reduce exports
To promote imports
Explanation - Credit guarantee schemes reduce the risk for banks, making loans accessible to entrepreneurs.
Correct answer is: To ensure entrepreneurs get loans
Q.23 Which of the following is a benefit of government training programs?
Improved entrepreneurial skills
Higher taxes
Reduced competition
Import dependence
Explanation - Training programs improve entrepreneurial skills, increasing chances of business success.
Correct answer is: Improved entrepreneurial skills
Q.24 Which scheme provides online learning and mentorship to entrepreneurs?
Startup India Learning Program
Make in India
Skill India
Ayushman Bharat
Explanation - This online program provides learning resources and mentorship to budding entrepreneurs.
Correct answer is: Startup India Learning Program
Q.25 Why do governments encourage innovation through policy support?
To reduce creativity
To boost economic growth
To stop new ideas
To increase unemployment
Explanation - Innovation leads to new businesses and industries, boosting overall economic growth.
Correct answer is: To boost economic growth