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"Foreign trade and… (Class 10 Social Science 2024, Q33b)

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Social ScienceCBSE Class 10 · Board exam 2024, set 32/2/1 · 5 marks · Long answer

CBSE Class 10 Social Science 2024: question 33(b)

Set in the CBSE Class 10 board exam of 2024, paper 32/2/1, section D, question 33(b), for 5 marks. Try it first; the hints and our step-by-step solution are below.

Q33(b) · 5 marks · Long answerGlobalisation and the Indian Economy

"Foreign trade and foreign investment policies are the aspects of liberalisation and globalisation." Explain the statement with examples.

Source: official question paper from cbse.gov.in (PDF). See it in the full 2024 board paper, set 32/2/1.

Hints

Open one hint at a time and try again before the next.

Hint 1

Start by naming what connects countries: trade and investment.

Hint 2

What do tariffs and quotas do, and what happens when a government removes them?

Hint 3

Bring in MNCs: why do they need liberal policies before investing?

Step-by-step solution

Each step shows the marks it earns, as an examiner would award them. Checked by an independent re-solve from the question paper.

  1. Foreign trade and foreign investment are the main channels linking countries. Policies governing them are central to liberalisation and globalisation.

    1 mark

  2. Foreign trade lets producers reach markets beyond their own country, not just domestic buyers, and lets them invest outside for better returns.

    1 mark

  3. Consumers get a wider choice of goods, often at lower prices, from different countries. For example, Indian shoppers can buy imported electronics and cars.

    1 mark

  4. Liberalisation means the government removes barriers on imports and exports, such as tariffs and quotas. This makes foreign trade and foreign investment easier and expands trade, connecting the markets of different countries.

    1 mark

  5. Multinational Corporations expand production and invest capital in several countries and produce goods globally. For example, Ford and Nokia set up plants in India. To work smoothly they need favourable government policies, i.e. liberalisation.

    1 mark

Answer: Liberal trade and investment policies remove barriers, expand foreign trade and attract MNC investment, so they are key aspects of liberalisation and globalisation.

Where the marks are

  • Foreign trade and investment link countries (1 mark)
  • Producers reach beyond domestic markets (1 mark)
  • Consumers get more choice at lower cost, with example (1 mark)
  • Removal of trade barriers expands trade (1 mark)
  • MNC investment and need for favourable policies, with example (1 mark)

Revise the chapter

Practise this chapterBoard-style questions from Globalisation and the Indian Economy, one at a time, marked against the answer key and marking points.Back to the full paper2024 board paper, set 32/2/1: every question, by section.

The question is transcribed from the official paper; figures are described in words. The solution, hints and chapter tag are ours. Spotted an error? Write tosupport@questionbuddy.in.