UPSC Mains Indian Economy PYQs, 2016-2026

Indian Economy questions in GS Paper 3 2026

1. 1

   What do you mean by Digital Rupee? In this context, explain the working and progress of India's Central Bank Digital Currency (CBDC).

   150 words · 10 marks

2. 2

   Examine the view that financial inclusion is an integral part of social and economic inclusion in a country like India. Also throw light on the usefulness of the R.B.I.'s Financial Inclusion Index.

   150 words · 10 marks

3. 11

   Explain the key challenges for India's energy security. What measures do you suggest for ensuring energy security along with economic growth and sustainability?

   250 words · 15 marks

4. 12

   How are startups in India promoting entrepreneurship, innovation and employment? Discuss the global and domestic challenges in their working and suggest suitable measures to overcome these challenges.

   250 words · 15 marks

Indian Economy questions in GS Paper 3 2025

1. 1

   Distinguish between the Human Development Index (HDI) and the Inequality-adjusted Human Development Index (IHDI) with special reference to India. Why is the IHDI considered a better indicator of inclusive growth?

   150 words · 10 marks

2. 2

   What are the challenges before the Indian economy when the world is moving away from free trade and multilateralism to protectionism and bilateralism? How can these challenges be met?

   150 words · 10 marks · Model answer & what aspirants miss

3. 11

   Explain how the Fiscal Health Index (FHI) can be used as a tool for assessing the fiscal performance of states in India. In what way would it encourage the states to adopt prudent and sustainable fiscal policies?

   250 words · 15 marks

4. 12

   Discuss the rationale of the Production Linked Incentive (PLI) scheme. What are its achievements? In what way can the functioning and outcomes of the scheme be improved?

   250 words · 15 marks

5. 17

   Mineral resources are fundamental to the country's economy and these are exploited by mining. Why is mining considered an environmental hazard? Explain the remedial measures required to reduce the environmental hazard due to mining.

   250 words · 15 marks

Indian Economy questions in GS Paper 3 2024

1. 1

   Examine the pattern and trend of public expenditure on social services in the post-reforms period in India. To what extent has this been in consonance with achieving the objective of inclusive growth?

   150 words · 10 marks

2. 2

   What are the causes of persistent high food inflation in India? Comment on the effectiveness of the monetary policy of the RBI to control this type of inflation.

   150 words · 10 marks

3. 11

   Discuss the merits and demerits of the four ‘Labour Codes’ in the context of labour market reforms in India. What has been the progress so far in this regard?

   250 words · 15 marks

4. 12

   What is the need for expanding regional air connectivity in India? In this context, discuss the government’s UDAN Scheme and its achievements.

   250 words · 15 marks

Indian Economy questions in GS Paper 3 2023

1. 1

   Faster economic growth requires increased share of the manufacturing sector in GDP, particularly of MSMEs. Comment on the present policies of the Government in this regard.

   150 words · 10 marks · Model answer & what aspirants miss

2. 2

   What is the status of digitalization in the Indian economy? Examine the problems faced in this regard and suggest improvements.

   150 words · 10 marks

3. 11

   Most of the unemployment in India is structural in nature. Examine the methodology adopted to compute unemployment in the country and suggest improvements.

   250 words · 15 marks · Model answer & what aspirants miss

4. 12

   Distinguish between 'care economy' and 'monetized economy'. How can care economy be brought into monetized economy through women empowerment?

   250 words · 15 marks

Indian Economy questions in GS Paper 3 2022

1. 1

   Why is Public Private Partnership (PPP) required in infrastructural projects? Examine the role of PPP model in the redevelopment of Railway Stations in India.

   150 words · 10 marks

2. 2

   Is inclusive growth possible under market economy? State the significance of financial inclusion in achieving economic growth in India.

   150 words · 10 marks

3. 11

   "Economic growth in the recent past has been led by increase in labour productivity." Explain this statement. Suggest the growth pattern that will lead to creation of more jobs without compromising labour productivity.

   250 words · 15 marks

4. 12

   Do you think India will meet 50 percent of its energy needs from renewable energy by 2030? Justify your answer. How will the shift of subsidies from fossil fuels to renewables help achieve the above objective? Explain.

   250 words · 15 marks

Indian Economy questions in GS Paper 3 2021

1. 1

   Explain the difference between computing methodology of India's Gross Domestic Product (GDP) before the year 2015 and after the year 2015.

   150 words · 10 marks

2. 2

   Distinguish between Capital Budget and Revenue Budget. Explain the components of both these Budgets.

   150 words · 10 marks

3. 11

   Do you agree that the Indian economy has recently experienced V-shaped recovery? Give reasons in support of your answer.

   250 words · 15 marks

4. 12

   "Investment in infrastructure is essential for more rapid and inclusive economic growth." Discuss in the light of India's experience.

   250 words · 15 marks

Indian Economy questions in GS Paper 3 2020

1. 1

   Explain intra-generational and inter-generational issues of equity from the perspective of inclusive growth and sustainable development.

   150 words · 10 marks

2. 2

   Define potential GDP and explain its determinants. What are the factors that have been inhibiting India from realizing its potential GDP?

   150 words · 10 marks

3. 11

   Explain the meaning of investment in an economy in terms of capital formation. Discuss the factors to be considered while designing a concession agreement between a public entity and a private entity.

   250 words · 15 marks

4. 12

   Explain the rationale behind the Goods and Services Tax (Compensation to States) Act of 2017. How has COVID-19 impacted the GST compensation fund and created new federal tensions?

   250 words · 15 marks

Indian Economy questions in GS Paper 3 2019

1. 1

   Enumerate the indirect taxes which have been subsumed in the Goods and Services Tax (GST) in India. Also, comment on the revenue implications of the GST introduced in India since July 2017.

   150 words · 10 marks

2. 2

   Do you agree with the view that steady GDP growth and low inflation have left the Indian economy in good shape? Give reasons in support of your arguments.

   150 words · 10 marks

3. 11

   It is argued that the strategy of inclusive growth is intended to meet the objectives of inclusiveness and sustainability together. Comment on this statement.

   250 words · 15 marks

4. 12

   The public expenditure management is a challenge to the Government of India in the context of budget making during the post-liberalization period. Clarify it.

   250 words · 15 marks

Indian Economy questions in GS Paper 3 2018

1. 1

   "Access to affordable, reliable, sustainable and modern energy is the sine qua nen to achieve Sustainable Development Goals (SDGs)." Comment on the progress made in India in this regard.

   150 words · 10 marks

2. 2

   Comment on the important changes introduced in respect of the Long-term Capital Gains Tax (LCGT) and Dividend Distribution Tax (DDT) in the Union Budget for 2018-2019.

   150 words · 10 marks

3. 11

   How are the principles followed by the NITI Aayog different from those followed by the erstwhile Planning Commission in India?

   250 words · 15 marks

4. 12

   How would the recent phenomena of protectionism and currency manipulations in world trade affect macroeconomic stability of India?

   250 words · 15 marks

Indian Economy questions in GS Paper 3 2017

1. 1

   Among several factors for India's potential growth, savings rate is the most effective one. Do you agree? What are the other factors available for growth potential?

   150 words · 10 marks

2. 2

   Account for the failure of manufacturing sector in achieving the goal of labour-intensive exports. Suggest measures for more labour-intensive rather than capital-intensive exports.

   150 words · 10 marks

3. 3

   Examine the development of Airports in India through joint ventures under Public-Private Partnership (PPP) model. What are the challenges faced by the authorities in this regard?

   150 words · 10 marks

4. 11

   One of the intended objectives of the Union Budget 207-8 is to 'transform, energise and clean India'. Analyse the measures proposed in the Budget 207-8 to achieve the objective.

   250 words · 15 marks

5. 12

   "Industrial growth rate has lagged-behind in the overall growth of Gross-Domestic-Product (GDP) in the post-reform period." Give reasons. How far the recent changes in Industrial-Policy are capable of increasing the industrial growth rate?

   250 words · 15 marks

6. 13

   What are the salient features of 'inclusive growth'? Has India been experiencing such a growth process? Analyse and suggest measures for inclusive growth.

   250 words · 15 marks

Indian Economy questions in GS Paper 3 2016

1. 1

   How globalization has led to the reduction of employment in the formal sector of the Indian economy? Is increased informalization detrimental to the development of the country?

   200 words · 12½ marks

2. 2

   Women empowerment in India needs gender budgeting. What are the requirements and status of gender budgeting in the Indian context?

   200 words · 12½ marks

3. 3

   Pradhan Mantri Jan-Dhan Yojana (PMJDY) is necessary for bringing unbanked to the institutional finance fold. Do you agree with this for financial inclusion of the poorer section of the Indian society? Give arguments to justify your opinion.

   200 words · 12½ marks

4. 4

   What are 'Smart Cities'? Examine their relevance for urban development in India. Will it increase rural-urban differences? Give arguments for 'Smart Villages' in the light of PURA and RURBAN Mission.

   200 words · 12½ marks

5. 5

   Justify the need for FDI for the development of the Indian economy. Why there is gap between MOUs signed and actual FDIs? Suggest remedial steps to be taken for increasing actual FDIs in India.

   200 words · 12½ marks

6. 6

   Comment on the challenges for inclusive growth which include careless and useless manpower in the Indian context. Suggest measures to be taken for facing these challenges.

   200 words · 12½ marks

7. 11

   Give an account of the current status and the targets to be achieved pertaining to renewable energy sources in the country. Discuss in brief the importance of National Programme on Light Emitting Diodes (LEDs).

   200 words · 12½ marks

Other GS Paper 3 topics

Agriculture · Science & Technology · Environment · Disaster Management · Internal Security