Market and Consumer Protection 7th Social Science Lesson 21 Questions in English
7th Social Science Lesson 21 Questions in English
21. Market and Consumer Protection
1. Which of the following statement is correct?
1) Economists described a market as coming together of the buyers and sellers, i.e. an arrangement where buyers and sellers come in direct or indirect contact to sell/buy goods and services.
2) A set up where two or more parties engaged in exchange of goods, services and information is called a market.
a) 1 alone
b) 2 alone
c) 1, 2
d) None
Explanation
Economists described a market as coming together of the buyers and sellers, i.e. an arrangement where buyers and sellers come in direct or indirect contact to sell/buy goods and services. For example, the market for books will constitute all the sellers and buyers of books in an economy. It does not necessarily refer to a geographic location. A set up where two or more parties engaged in exchange of goods, services and information is called a market.
2. Which of the following statement is incorrect?
1) The two parties involved in a transaction are called seller and buyer.
2) There has to be only one buyer and seller for the market to be competitive
a) 1 alone
b) 2 alone
c) 1, 2
d) None
Explanation
The two parties involved in a transaction are called seller and buyer. The seller sells goods and services to the buyer in exchange of money. There has to be more than one buyer and seller for the market to be competitive.
3. Which of the following are the features of market?
1) Not restricted to one physical or geographical location
2) Covers a general wide area
3) Covers demand and supply of the region.
a) 1, 2
b) 2, 3
c) 1, 2, 3
d) 1, 2
Explanation
A market is also not restricted to one physical or geographical location. It covers a general wide area and the demand and supply forces of the region.
4. Which of the following statement is correct?
1) There must be a group of buyers and sellers of the commodity to constitute a market.
2) Relations between these sellers and buyers must be business relations
a) 1 alone
b) 2 alone
c) 1, 2
d) None
Explanation
There must be a group of buyers and sellers of the commodity to constitute a market. And the relations between these sellers and buyers must be business relations.
5. Which of the following is/are the classification of markets?
1) Product market
2) Factor market
3) Digital market
a) 1, 2
b) 1, 2, 3
c) 2, 3
d) 1, 3
Explanation
Broadly there are two classifications of markets – the product market and the factor market.
6. Which of the following statement is correct?
1) At any given time only one price can be prevalent in the market for the goods and services
2) This is only possible in the existence of perfect competition
a) 1 alone
b) 2 alone
c) 1, 2
d) None
Explanation
At any given time only one price can be prevalent in the market for the goods and services. This is only possible in the existence of perfect competition.
7. Which of the following is/are related to factor market?
1) Land
2) Capital
3) Labour
a) 1, 2
b) 1, 3
c) 2, 3
d) 1, 2, 3
Explanation
Broadly there are two classifications of markets – the product market and the factor market. The factor market refers to the market for the buying and selling of factors of production like land, capital, labour, etc.
8. Which of the following statement is correct?
1) Both the sellers and buyers must have access to knowledge about the market
2) There should be an awareness of the demand for products, consumer choices, and preferences, fashion trends, etc.
a) 1 alone
b) 2 alone
c) 1, 2
d) None
Explanation
Both the sellers and buyers must have access to knowledge about the market. There should be an awareness of the demand for products, consumer choices, and preferences, fashion trends, etc.
9. Which of the following are true about local market?
1) In such a market the buyers and sellers are limited to the local region or area
2) They usually sell perishable goods of daily use
a) 1 alone
b) 2 alone
c) 1, 2
d) None
Explanation
In such a Local market the buyers and sellers are limited to the local region or area. They usually sell perishable goods of daily use since the transportation of such goods can be expensive.
10. When a product is limited to one specific country it is called as_____
a) International Market
b) National Market
c) Regional Markets
d) Local market
Explanation
National Market is where the demand for the goods is limited to one specific country. Or the government may not allow the trade of such goods outside national boundaries.
11. Which of the following is true about International Market?
1) When the demand for the product is international
2) Goods are also traded internationally in bulk quantities, we call it as an international market.
a) 1 alone
b) 2 alone
c) 1, 2
d) None
Explanation
When the demand for the product is international and the goods are also traded internationally in bulk quantities, we call it as an international market.
12. Which of the following are example of Very Short Period Market?
a) Fruit
b) Flower
c) Vegetable
d) All the above
Explanation
Very Short Period Market is when the supply of the goods is fixed, and so it cannot be changed instantaneously. Say for example the market for flowers, vegetables. Fruits etc. The price of goods will depend on demand.
13. In which market supply of goods is fixed and so it cannot be changed instantaneously?
a) Very Short Period Market
b) Short Period Market
c) Long Period Market
d) All the above
Explanation
Very Short Period Market is when the supply of the goods is fixed, and so it cannot be changed instantaneously. Say for example the market for flowers, vegetables. Fruits etc. The price of goods will depend on demand.
14. In which of the following market price of goods depends on demand?
a) Long Period Market
b) Very Short Period Market
c) Short Period Market
d) None
Explanation
Very Short Period Market is when the supply of the goods is fixed, and so it cannot be changed instantaneously. Say for example the market for flowers, vegetables. Fruits etc. The price of goods will depend on demand.
15. In which of the following market supply can be slightly adjusted?
a) Short Period Market
b) Long Period Market
c) Very Short Period Market
d) All the above
Explanation
In Short Period market is slightly longer than the previous one. Here the supply can be slightly adjusted.
16. In which of the following the market will determine its equilibrium price in time?
a) Long Period Market
b) Short Period Market
c) Very Short Period Market
d) All the above
Explanation
Long Period Market: Here the supply can be changed easily by scaling production. So, it can change according to the demand of the market. So, the market will determine its equilibrium price in time.
17. Which of the following is true about Long Period Market?
1) Here the supply can be changed easily by scaling production
2) It can change according to the demand of the market
a) 1 alone
b) 2 alone
c) 1, 2
d) None
Explanation
Long Period Market: Here the supply can be changed easily by scaling production. So, it can change according to the demand of the market. So, the market will determine its equilibrium price in time.
18. Which of the following comes under Regional market?
a) District
b) cluster of few smaller states
c) both a and b
d) villages
Explanation
Regional Markets: These markets cover a wider are than local markets like a district, or a cluster of few smaller states.
19. On the Basis of Nature of Transaction market can be classified as____
1) Spot Market
2) Future Market
3) Regulated Market
a) 1, 2
b) 1, 3
c) 2, 3
d) 1, 2, 3
Explanation
On the basis of nature of transaction the markets can be classified into two types. They are Spot market and Future market.
20. In which of the following there is no system of credit?
a) Spot market
b) Future market
c) Regulated market
d) Unregulated market
Explanation
Spot Market: This is where spot transactions occur, that is the money is paid immediately. There is no system of credit.
21. In which of the following market money is paid immediately?
a) Spot market
b) Future market
c) Both a and b
d) None
Explanation
Spot Market: This is where spot transactions occur, that is the money is paid immediately. There is no system of credit.
22. In which of the following the transactions are credit transaction?
a) Spot market
b) Future market
c) Regulated market
d) None
Explanation
Future Market is where the transactions are credit transactions. There is a promise to pay the consideration sometime in the future.
23. Which of the following is true about Future market?
1) There is no system of credit.
2) There is a promise to pay the consideration sometime in the future.
a) 1 alone
b) 2 alone
c) 1, 2
d) None
Explanation
Future Market is where the transactions are credit transactions. There is a promise to pay the consideration sometime in the future.
24. On the basis of regulation market can be classified into___ types?
a) 3
b) 2
c) 4
d) 5
Explanation
On the basis of regulation, market can be classified into two types. They are Regulated market and Unregulated market.
25. The stock market is a______ market
a) Regulated
b) Unregulated
c) Spot
d) None
Explanation
Regulated Market: In such a market there is some oversight by appropriate government authorities. This is to ensure there are no unfair trade practices in the market. Such markets may refer to a product or even a group of products. For example, the stock market is a highly regulated market.
26. In_____ market there is some oversight by appropriate government authorities
a) Regulated
b) Unregulated
c) Spot
d) None
Explanation
Regulated Market: In such a market there is some oversight by appropriate government authorities. This is to ensure there are no unfair trade practices in the market. Such markets may refer to a product or even a group of products. For example, the stock market is a highly regulated market.
27. Which of the following is true about Regulated market?
1) In such a market there is some oversight by appropriate government authorities.
2) Such markets may refer to a product or even a group of products
a) 1 alone
b) 2 alone
c) 1, 2
d) None
Explanation
Regulated Market: In such a market there is some oversight by appropriate government authorities. This is to ensure there are no unfair trade practices in the market. Such markets may refer to a product or even a group of products. For example, the stock market is a highly regulated market.
28. Which of the following is an absolutely free market?
a) Regulated
b) Unregulated
c) Spot
d) Future
Explanation
Unregulated Market: This is an absolutely free market. There is no oversight or regulation, the market forces decide everything.
29. Which of the following is not true about Unregulated Market?
1) In such a market there is some oversight by appropriate government authorities
2) There is no oversight or regulation, the market forces decide everything
a) 1 alone
b) 2 alone
c) 1, 2
d) None
Explanation
Unregulated Market: This is an absolutely free market. There is no oversight or regulation, the market forces decide everything.
30. Which of the following are types of market structure?
1) Purely competitive market
2) Perfectly competitive market
3) Imperfectly competitive market
a) 1, 2
b) 2, 3
c) 1, 2, 3
d) 1,3
Explanation
31. Which of the following are types of imperfect competition?
1) Monopoly
2) Monopolistic competition
3) Oligopoly
a) 1, 2
b) 1, 2, 3
c) 1, 3
d) 2, 3
Explanation
32._____ refers to a market structure in which there is a single producer or seller that has a control on the entire market
a) Monopoly
b) Monopolistic competition
c) Oligopoly
d) None
Explanation
Monopoly refers to a market structure in which there is a single producer or seller that has a control on the entire market. This single seller deals in the products that have no close substitutes.
33. Which of the following statement is correct?
1) Monopolistic Competition refers to a market structure in which there is a single producer or seller that has a control on the entire market.
2) This single seller deals in the products that have no close substitutes.
a) 1 alone
b) 2 alone
c) 1, 2
d) None
Explanation
Monopoly refers to a market structure in which there is a single producer or seller that has a control on the entire market. This single seller deals in the products that have no close substitutes.
34. The term monopolistic competition was given by______
a) Edward H. Chamberlin
b) Adam Smith
c) Amiritiya Sen
d) Mark Zavala
Explanation
The term monopolistic competition was given by Prof Edward H. Chamberlin of Harvard University in 1933 in his book Theory of Monopolistic Competition.
35. The term monopolistic competition was given in_____ book
a) Theory of Monopolistic Competition
b) Monopolistic Competition and market
c) Monopolistic Competition of market
d) Monopolistic Competition and its effect
Explanation
The term monopolistic competition was given by Prof Edward H. Chamberlin of Harvard University in 1933 in his book Theory of Monopolistic Competition.
36. In which year the book containing the term Monopolistic Competition is was released?
a) 1996
b) 1933
c) 1993
d) 1936
Explanation
The term monopolistic competition was given by Prof Edward H. Chamberlin of Harvard University in 1933 in his book Theory of Monopolistic Competition.
37. The term monopolistic competition represents the combination of_______
1) Monopoly
2) Perfect competition
3) Oligopoly
a) 1, 2
b) 2, 3
c) 1, 2, 3
d) 1, 3
Explanation
The term monopolistic competition represents the combination of monopoly and perfect competition.
38. Which of the following is correct about Monopolistic competition?
1) Monopolistic competition refers to a market situation in which there are a large number of buyers and sellers of products.
2) However, the product of each seller is different in one aspect or the other.
a) 1 alone
b) 2 alone
c) 1, 2
d) None
Explanation
Monopolistic competition refers to a market situation in which there are a large number of buyers and sellers of products. However, the product of each seller is different in one aspect or the other.
39. The term oligopoly has been derived from two_____ words
a) Latin
b) Greek
c) French
d) German
Explanation
The term oligopoly has been derived from two Greek words, Oligoi means few and poly means control.
40. The term Oligoi means___
a) Few
b) Many
c) Control
d) Uncontrolled
Explanation
The term oligopoly has been derived from two Greek words, Oligoi means few and poly means control.
41. The term poly in oligopoly means______
a) Many
b) Few
c) Control
d) Uncontrolled
Explanation
The term oligopoly has been derived from two Greek words, Oligoi means few and poly means control.
42.______ refers to a market form in which there are few sellers dealing either in homogenous or differentiated products.
a) Monopoly
b) Monopolistic Competition
c) Oligopoly
d) All the above
Explanation
Greek words, Oligoi means few and poly means control. Therefore, oligopoly refers to a market form in which there are few sellers dealing either in homogenous or differentiated products.
43. Which of the following are the consideration of a customer?
a) Paid
b) Promised
c) Partly paid and partly promised
d) All the above
Explanation
A Consumer is a person who purchases a product or avails a service for a consideration, either for his personal use or to earn his livelihood by means of self-employment. The consideration may be: ✓ Paid ✓ Promised ✓ Partly paid and partly promised.
44. Which of the following is not true?
1) A Consumer is a person who purchases a product or avails a service for a consideration either for his personal use or to earn his livelihood by means of self-employment.
2) It also includes a beneficiary of such goods/services when such use is made with the approval of such person
a) 1 alone
b) 2 alone
c) 1, 2
d) None
Explanation
A Consumer is a person who purchases a product or avails a service for a consideration, either for his personal use or to earn his livelihood by means of self-employment. The consideration may be: ✓ Paid ✓ Promised ✓ Partly paid and partly promised. It also includes a beneficiary of such goods/services when such use is made with the approval of such person.
45. Who among the following is not a Consumer if he/she is/are?
a) Purchases any goods or avails any service free of charge
b) Purchases a good or hires a service for commercial purpose
c) Avails any service under contract of service.
d) All the above
Explanation
A person is not a consumer if he/she: ✓ Purchases any goods or avails any service free of charge; ✓ Purchases a good or hires a service for commercial purpose; ✓ Avails any service under contract of service.
46. Which of the following is/are the unfair trade practice?
1) False representation
2) When goods and services are not of stated standard, quality or grade
3) When second hand, renovated goods are sold as new ones
a) 1, 2
b) 2, 3
c) 1, 2, 3
d) 1, 3
Explanation
An “unfair trade practice” means a trade practice, which, for the purpose of promoting any sale, use or supply of any goods or services, adopts unfair method, or unfair or deceptive practice. Some of these practices include: False representation. When goods and services are not of stated standard, quality or grade; When second hand, renovated goods are sold as new ones.
47. Which is not an Unfair Trade Practice?
a) False and misleading advertisement of selling at bargain price.
b) When products / services have the claimed warranty/guarantee
c) When the price of product or service is misleading.
d) Offering gifts, prizes, etc. to lure customers with no intention of providing them.
Explanation
An “unfair trade practice” means When goods and services do not have the claimed use, usefulness or benefit; When products / services do not have the claimed warranty / guarantee; When the price of product or service is misleading. False and misleading advertisement of selling at bargain price. Offering gifts, prizes, etc. to lure customers with no intention of providing them.
48. Which of the following is an unfair trade practice?
a) Hoardings goods in greater number with the intention of raising the cost
b) Destroying goods in greater number with the intention of raising the cost
c) offering spurious goods
d) All the above
Explanation
Hoardings or destroying goods with the intention of raising the cost of these or similar goods manufactured in greater number so as to manipulate higher prices is an Unfair trade practice. Manufacturing or offering spurious goods or adopting deceptive practices in the provision of services.
49. Which of the following amounts to Unfair Trade Practice and does not carry any legal Weight?
a) Goods once sold will not be taken back
b) No exchange
c) No refund under any circumstances
d) All the above
Explanation
“Goods once sold will not be taken back” or “No exchange”, or “No refund under any circumstances” It amounts to Unfair Trade Practice and does not carry any legal weight.
50. Which of the following statement is correct?
1) Consumer protection is a group of laws enacted to protect the rights of consumers, fair trade, competition and accurate information in the market place.
2) The laws are designed to prevent the businesses that engage in unfair practices from gaining an advantage over competitors.
a) 1 alone
b) 2 alone
c) 1, 2
d) None
Explanation
Consumer protection is a group of laws enacted to protect the rights of consumers, fair trade, competition and accurate information in the market place. The laws are designed to prevent the businesses that engage in unfair practices from gaining an advantage over competitors.
51. IRDAI can be abbreviated as______
a) Insurance Regulatory and Development Authority of India
b) Indian Regulatory and Development Authority of Insurance
c) Insurance Regulatory and Development Authority of Iran
d) Insurance Regulatory and Development autonomy of India
Explanation
Telecom Regulatory Authority of India – TRAI. Insurance Regulatory and Development Authority of India – IRDAI.
52. TRAI can be abbreviated as______
a) Telephone Regulatory Authority of India
b) Telecom Regulatory Authority of India
c) Telecom Regulating Authority of India
d) Telephone Regulating Authority of India
Explanation
Telecom Regulatory Authority of India – TRAI. Insurance Regulatory and Development Authority of India – IRDAI.
53. How many basic rights does Consumers have?
a) 8
b) 7
c) 5
d) 10
Explanation
The Eight Basic Consumer Rights 1. The Right to Basic Needs. 2. The Right to Safety. 3. The Right to Information. 4. The Right to Choose. 5. The Right to Representation. 6. The Right to Redress. 7. The Right to Consumer Education. 8. The Right to a Healthy Environment.
54. Which of the following is not a basic consumer right?
a) Right to Basic Needs
b) Right to Choose
c) Right to Life
d) Right to Consumer Education
Explanation
The Eight Basic Consumer Rights 1. The Right to Basic Needs. 2. The Right to Safety. 3. The Right to Information. 4. The Right to Choose. 5. The Right to Representation. 6. The Right to Redress. 7. The Right to Consumer Education. 8. The Right to a Healthy Environment.
55. COPRA can be abbreviated as______
a) Consumer Protection Act
b) Consumer Protection Amendment
c) Consumer Privacy Protection Act
d) Consumer Operations Protection Act
Explanation
The Consumer Protection Act, 1986 (COPRA). This Act enacted in 1986 in the Parliament of India to protect the interests of consumers.
56. In which year COPRA was enacted?
a) 1996
b) 1986
c) 1976
d) 1953
Explanation
The Consumer Protection Act, 1986 (COPRA). This Act enacted in 1986 in the Parliament of India to protect the interests of consumers.
57. When was COPRA was passed in Assembly?
a) October 1986
b) October 1976
c) October 1953
d) October 1996
Explanation
The COPRA act was passed in Assembly in October 1986 and came into force on December 24, 1986.
58. When did COPRA came into force?
a) December 24, 1986
b) December 14, 1986
c) December 24, 1996
d) December 14, 1976
Explanation
The COPRA act was passed in Assembly in October 1986 and came into force on December 24, 1986.
59. Which of the following is correct?
1) COPRA is regarded as the ‘Magna Carta’ in the field of consumer protection for checking unfair trade practices, ‘defects in goods’ and ‘deficiencies in services’ as far as India is concerned
2) It has led to the establishment of a widespread network of consumer forums and appellate courts all over India
a) 1 alone
b) 2 alone
c) 1, 2
d) None
Explanation
COPRA is regarded as the ‘Magna Carta’ in the field of consumer protection for checking unfair trade practices, ‘defects in goods’ and ‘deficiencies in services’ as far as India is concerned. It has led to the establishment of a widespread network of consumer forums and appellate courts all over India. It has significantly impacted how businesses approach consumer complaints and has empowered consumers to a great extent.
60. Consumer Protection Council/s are established at__ level to increase consumer awareness
a) Central
b) State
c) District
d) All the above
Explanation
Consumer Protection Councils are established at the national, state and district level to increase consumer awareness. To increase the awareness of consumers, there are many consumer organizations and NGOs that have been established.
61. NCDRC can be abbreviated as_____
a) National Customer Disputes and Redressal Commission of India
b) National Consumer Department for Remedy Commission
c) National Consumer Department for Redressal Commission
d) National Consumer Disputes Redressal Commission
Explanation
National Consumer Disputes Redressal Commission (NCDRC): Established by the Central Government. It deals with matters of more than 10 million.
62. NCDRC is established by______
a) Central Government
b) State Government
c) District Collector
d) All the above
Explanation
National Consumer Disputes Redressal Commission (NCDRC): Established by the Central Government. It deals with matters of more than 10 million.
63. SCDRC can be abbreviated as_____
a) State Consumer Disputes Redressal Commission
b) State Customer Disputes Redressal Commission
c) Secondary Consumer Disputes Redressal Commission
d) State Consumer Disputes Redressal Committee
Explanation
State Consumer Disputes Redressal Commission (SCDRC): Also known as the “State Commission” established by the State Government in the State. It is a state level court that takes up cases valuing less than ₹10 million.
64. SCDRC is established by_____
a) Central government
b) State government
c) District collector
d) All the above
Explanation
State Consumer Disputes Redressal Commission (SCDRC): Also known as the “State Commission” established by the State Government in the State. It is a state level court that takes up cases valuing less than ₹10 million.
65. DCDRF can be abbreviated as______
a) District Consumer Disputes Redressal Forum
b) District Customer Disputes Redressal Forum
c) District Consumer Disputes resolving Redressal Forum
d) None
Explanation
District Consumer Disputes Redressal Forum (DCDRF): Also known as the “District Forum” established by the State Government in each district of the State. The State Governments may establish more than one District Forum in a district. It is a district level court that deals with cases valuing up to ₹2 million.
66. DCDRF is also known as______
a) District Forum
b) Collector Forum
c) Deputy Forum
d) Digital Forum
Explanation
District Consumer Disputes Redressal Forum (DCDRF): Also known as the “District Forum” established by the State Government in each district of the State. The State Governments may establish more than one District Forum in a district. It is a district level court that deals with cases valuing up to ₹2 million.
67. Which of the following is correct?
1) The State Governments may establish more than one District Forum in a district
2) It is a district level court that deals with cases valuing up to ₹10 million.
a) 1 alone
b) 2 alone
c) 1, 2
d) None
Explanation
District Consumer Disputes Redressal Forum (DCDRF): Also known as the “District Forum” established by the State Government in each district of the State. The State Governments may establish more than one District Forum in a district. It is a district level court that deals with cases valuing up to ₹2 million.
68. Which of the following statement is correct?
1) Indian Parliament, in August 2019, passed the landmark Consumer Protection Bill, 2019 which aims to provide the timely and effective administration and settlement of consumer disputes in this Digital Age.
2) The New Act will come into force on such date as the Central Government may so notify
a) 1 alone
b) 2 alone
c) 1, 2
d) None
Explanation
Indian Parliament, in August 2019, passed the landmark Consumer Protection Bill, 2019 which aims to provide the timely and effective administration and settlement of consumer disputes in this Digital Age. The New Act will come into force on such date as the Central Government may so notify.
69. Consumer protection Act of 2019 replaced______
a) Consumer Protection Act, 1986
b) Consumer Protection Act, 1976
c) Consumer Protection Act, 1956
d) Consumer Protection Act, 1996
Explanation
Indian Parliament, in August 2019, passed the landmark Consumer Protection Bill, 2019 which aims to provide the timely and effective administration and settlement of consumer disputes in this Digital Age. The New Act seeks to replace more than 3 (three) decades old Consumer Protection Act, 1986 (Act).
70. Which among the following is/are the feature of Consumer protection Act of 2019?
a) The New Act has widened the definition of ‘consumer’.
b) The definition now includes any person who buys any goods, whether through offline or online
c) Buying goods electronic means, teleshopping, direct selling or multi-level marketing
d) All the above
Explanation
The New Act has widened the definition of ‘consumer’. The definition now includes any person who buys any goods, whether through offline or online transactions, electronic means, teleshopping, direct selling or multi-level marketing.
71. According to new act of 2019, district forum can now entertain consumer complaints where the value of goods or services paid does not exceed_______
a) INR 10,000,000
b) $10,000,000
c) INR 1,000,000
d) $ 1,000,000
Explanation
Revised pecuniary limits have been fixed under the New Act. Accordingly, the district forum can now entertain consumer complaints where the value of goods or services paid does not exceed INR 10,000,000 (Indian Rupees Ten Million).
72. State Commission can entertain disputes value ranging between_____
a) $ 10,000,000 to $ 100,000,000
b) INR 10,000,000 to INR 100,000,000
c) INR 1,000,000 to INR 10,000,000
d) $ 10,000,000 to $ 100,000,000
Explanation
State Commission can entertain disputes where such value exceeds INR 10,000,000 (Indian Rupees Ten Million) but does not exceed INR 100,000,000 (Indian Rupees One Hundred Million), and the National Commission can exercise jurisdiction where such value exceeds INR 100,000,000 (INR One Hundred Million).
73. National Commission can exercise jurisdiction where such value exceeds____
a) INR 100,000,000
b) $ 100,000,000
c) INR 10,000,000
d) $ 10,000,000
Explanation
National Commission can exercise jurisdiction where such value exceeds INR 100,000,000 (INR One Hundred Million).
74. Which of the following is incorrect?
1) The New Act contains enabling provisions for consumers to file complaints electronically and for hearing and/or examining parties through video-conferencing.
2) The CCPA will have an investigation wing, headed by a Director General, which may conduct inquiry or investigation into consumer law violations.
a) 1 alone
b) 2 alone
c) 1, 2
d) None
Explanation
The New Act contains enabling provisions for consumers to file complaints electronically and for hearing and/or examining parties through video-conferencing. The New Act proposes the establishment of a regulatory authority known as the Central Consumer Protection Authority (CCPA), with wide powers of enforcement. The CCPA will have an investigation wing, headed by a Director General, which may conduct inquiry or investigation into consumer law violations.
75. CCPA can abbreviated as____
a) Central Consumer Protection Authority
b) Civil Customer Protection Authority
c) Criminal Consumer Protection Authority
d) Central Customer Protection Authority
Explanation
The New Act proposes the establishment of a regulatory authority known as the Central Consumer Protection Authority (CCPA), with wide powers of enforcement.
76. The CCPA may impose a penalty of up to____ on a manufacturer or an endorser, for a false or misleading advertisement
a) INR 1,000,000
b) $ 1,000,000
c) INR 10,000,000
d) $ 10,000,000
Explanation
The CCPA may impose a penalty of up to INR 1,000,000 on a manufacturer or an endorser, for a false or misleading advertisement. The CCPA may also sentence them to imprisonment for up to two years for the same.
77. Which of the following statement is correct?
1) The CCPA may impose a penalty of up to INR 1,000,000 on a manufacturer or an endorser, for a false or misleading advertisement.
2) The CCPA may also sentence them to imprisonment for up to two years for the same.
a) 1 alone
b) 2 alone
c) 1, 2
d) None
Explanation
The CCPA may impose a penalty of up to INR 1,000,000 on a manufacturer or an endorser, for a false or misleading advertisement. The CCPA may also sentence them to imprisonment for up to two years for the same.
78. In case of a subsequent offence, the fine may extend to_______
a) INR 5,000,000 and imprisonment of up to five years
b) INR 5,000,000
c) $ 5,000,000 and imprisonment of up to five years
d) INR 5,000,000 and imprisonment of up to 10 years
Explanation
The CCPA may impose a penalty of up to INR 1,000,000 on a manufacturer or an endorser, for a false or misleading advertisement. The CCPA may also sentence them to imprisonment for up to two years for the same. In case of a subsequent offence, the fine may extend to INR 5,000,000 and imprisonment of up to five years.
79. For every subsequent offence, the period of prohibition may extend to____ years.
a) 5
b) 3
c) 2
d) 6
Explanation
The CCPA may impose a penalty of up to INR 1,000,000 on a manufacturer or an endorser, for a false or misleading advertisement. The CCPA may also sentence them to imprisonment for up to two years for the same. In case of a subsequent offence, the fine may extend to INR 5,000,000 and imprisonment of up to five years. The CCPA can also prohibit the endorser of a misleading advertisement from endorsing that particular product or service for a period of up to one year. For every subsequent offence, the period of prohibition may extend to three years.
80. Which of the following is the highest appellate body of Consumer Court?
a) NCDRC
b) SCDRC
c) DCDRF
d) All the above
Explanation
National Consumer Disputes Redressal Commission (NCDRC): A national level court works for the whole country and deals compensation claimed exceeds rupees one core. The National Commission is the Apex body of Consumer Courts; it is also the highest appellate court in the hierarchy.
81. NCDRC head office is located in____
a) Mumbai
b) Kolkata
c) Chennai
d) Delhi
Explanation
The National Consumer Disputes redressal Commission (NCDRC), is a quasi-judicial commission in India which was set up in 1988 under the Consumer Protection Act of 1986. Its head office is in New Delhi. The commission is headed by a sitting or retired judge of the Supreme Court of India.
82. NCDRC is a______ commission
a) Judicial
b) quasi-judicial
c) non- Judicial
d) none
Explanation
The National Consumer Disputes redressal Commission (NCDRC), is a quasi-judicial commission in India which was set up in 1988 under the Consumer Protection Act of 1986. Its head office is in New Delhi. The commission is headed by a sitting or retired judge of the Supreme Court of India.
83. In which year NCDRC was setup?
a) 1988
b) 1986
c) 1996
d) 1999
Explanation
The National Consumer Disputes redressal Commission (NCDRC), is a quasi-judicial commission in India which was set up in 1988 under the Consumer Protection Act of 1986. Its head office is in New Delhi. The commission is headed by a sitting or retired judge of the Supreme Court of India.
84. The National Consumer Disputes redressal Commission is headed by____
a) Sitting judge of the Supreme Court of India
b) President of India
c) Retired judge of the Supreme Court of India
d) both a and c
Explanation
The National Consumer Disputes redressal Commission (NCDRC), is a quasi-judicial commission in India which was set up in 1988 under the Consumer Protection Act of 1986. Its head office is in New Delhi. The commission is headed by a sitting or retired judge of the Supreme Court of India.
85. A state level court works at the state level with cases where compensation claimed is___
a) above 20 lakhs but up to one Core
b) above 5 lakhs but up to 10 Crore
c) above 10 lakhs but up to 5 Crore
d) above 2 lakhs but up to 50 Lakhs
Explanation
A state level court works at the state level with cases where compensation claimed is above 20 lakhs but up to one core. The State Commission also has the appellate jurisdiction over the District Forum.
86. SCDRC has_____
1) Original Jurisdiction
2) appellate jurisdiction over the District Forum
3) appellate jurisdiction over the National forum
a) 1, 2
b) 1, 3
c) 1, 2, 3
d) 2 alone
Explanation
State Consumer Disputes Redressal Commission (SCDRC): A state level court works at the state level with cases where compensation claimed is above 20 lakhs but up to one core. The State Commission also has the appellate jurisdiction over the District Forum.
87. A district level court works at the district level with cases where the compensation claimed is up to____
a) 20 lakhs
b) 50 lakhs
c) 2 lakhs
d) 10 lakhs
Explanation
District Consumer Disputes Redressal Forum (DCDRF): A district level court works at the district level with cases where the compensation claimed is up to 20 lakhs.
88. Which of the following acts are correctly matched?
1) Commodities Act, 1989
2) The Legal Metrology Act, 2009
a) 1 alone
b) 2 alone
c) 1, 2
d) None
Explanation
Important Acts ✓ The Consumer Protection Act, 1986 ✓ The Legal Metrology Act, 2009 ✓ The Bureau of Indian Standards Act, 1986 ✓ The Essential Commodities Act, 1955 ✓ The prevention of Black Marketing and maintenance of supplies of essential ✓ Commodities Act, 1980.
89. The Essential Commodities Act was enacted in______
a) 1976
b) 1955
c) 1966
d) 1989
Explanation
Important Acts ✓ The Consumer Protection Act, 1986 ✓ The Legal Metrology Act, 2009 ✓ The Bureau of Indian Standards Act, 1986 ✓ The Essential Commodities Act, 1955 ✓ The prevention of Black Marketing and maintenance of supplies of essential ✓ Commodities Act, 1980.
90. The Bureau of Indian Standards Act was enacted in_____
a) 1976
b) 1986
c) 1996
d) 2009
Explanation
Important Acts
✓ The Consumer Protection Act, 1986 ✓ The Legal Metrology Act, 2009 ✓ The Bureau of Indian Standards Act, 1986 ✓ The Essential Commodities Act, 1955 ✓ The prevention of Black Marketing and maintenance of supplies of essential ✓ Commodities Act, 1980
91. Mixing other extraneous material of inferior quality with a superior quality material is Called_____
a) Purification
b) Refinement
c) Adulteration
d) Alteration
Explanation
Mixing other extraneous material of inferior quality with a superior quality material is called Adulteration.