A consumer is said to be in equilibrium when he feels that he “cannot change his condition either by earning more or by spending more or by changing the quantities of thing he buys”. A rational consumer will purchase a commodity up to the point where the price of the commodity is equal to the marginal utility obtained from the thing.

Supply-side economics is a school of macroeconomics that argues that economic growth can be most effectively created by lowering barriers for people to produce (supply) goods and services as well as invest in capital. The investment and expansion of businesses will increase the demand for employees. Typical policy recommendations of supply side economists are lower marginal tax rates and less regulation.

The Human Poverty Index (HPI) was an indication of the Standard of living in a country, developed by the United Nations (UN) to complement the Human Development Index (HDI) and was first reported as a part of the Human Development Report in 1997. In 2010, it was supplanted by the UN’s Multidimensional Poverty Index.

A price index is a normalized average (typically a weighted average) of price relatives for a given class of goods or services in a given region, during a given interval of time. The current Price Index (base 1960) is nearly 330. This means that the price of the weighted mean of price of certain items has increased 3.3 times.

Devaluation is a deliberate downward adjustment to the value of a country’s currency relative to another currency, group of currencies or standard. It is a monetary policy tool used by countries that have a fixed exchange rate or semi-fixed exchange rate. After devaluation of the currency, country’s goods become cheaper for foreigners and become more competitive in a global market. This leads to increase in exports.

Budget deficit = Total Receipts – Total Expenditure
Fiscal deficit is the sum of Budget deficit plus Borrowings and other liabilities. Hence, fiscal deficit is greater than budgetary deficit.

Till 2011, India used to define the poverty line based on a method defined by a task fore in 1979. It was based on expenditure for buying food worth 2,400 calories in rural areas, and 2,100 calories in Urban areas.
In 2011, the Suresh Tendulkar Committee defined the poverty line on the basis of monthly spending on food, education, health, electricity and transport. However, this has also faced criticism. The NDA government has now constituted a 14-member task force under NITI Aayog’s vice-chairman Arvnd Panagariya to come out with recommendations for a realistic poverty line.

Income tax is levied and collected by Union government or the central government and distributed between itself and states.

According to the recent data made available by Central Statistical Organisation, the incidence of poverty is highest in tribes of Bihar, Orissa and Madhya Pradesh.

Madhya Pradesh was the first state to have calculated Human Development Report in 1995, under the guidance of Prof. Amartya Sen.

Boom is a period of time during which sales of a product or business activity increases very rapidly. In the stock market, booms are associated with bull markets, whereas busts are associated with bear markets. Recession is A significant decline in activity across the economy, lasting longer than a few months. It is visible in industrial production, employment, real income and wholesale-retail trade. Depression is a severe and prolonged downturn in economic activity. In economics, a depression is commonly defined as an extreme recession that lasts two or more years. Economic Recovery is a period of increasing business activity signaling the end of a recession. Much like a recession, an economic recovery is not always easy to recognize until at least several months after it has begun.

The National Human Development Report 2001, is an attempt to map the state of human development in India. While considering the state of human development, and the related economic, educational and health attainments, the report analyses governance for human development. To facilitate monitoring, many process indicators have been created. The Human Development Index, Gender Disparity Index and Human Poverty Index have been calculated for India after modifying the UNDP methodology.

Megacities of India have more than 5 million population. But not all the major megacities are located on the sea coast or are sea ports. Delhi, which is the national capital is not a sea port.

Kandla Port handled the highest volume of traffic at (81.12 MT), followed by paradip (74.40MT), JNPT (48.89 MT) Mumbai (47.53 MT) and Visakhapatnam (46.56 MT) during April to December 2017.

Per capita real income is nothing but NNP at factor cost. It means national income is sum total of all factor incomes adjusted for increase in prices.

Revenue deficit = revenue receipts – Revenue expenditure; Budget deficit = Total receipts – Total expenditure; Fiscal deficit = Revenue receipts + Nondebt creating capital receipts – Total expenditure (F.D. is government borrowings); Primary deficit = Fiscal deficit – Interest payments.

Indirect taxes are the charges that are levied on goods and services. Some of the significant indirect taxes include Value Added Tax, Central Sales Tax, Central Excise Duty, Customs Duty, stamp duties and expenditure tax. Property tax, Corporation tax and Wealth tax are examples of direct taxes.

The option (c) gross national product at market price minus depreciation minus indirect tax plus subsidies.