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Read the following text… (Class 12 Economics 2026, Q20)

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EconomicsCBSE Class 12 · Board exam 2026, set 58/1/1 · 1 mark · MCQ

CBSE Class 12 Economics 2026: question 20

Set in the CBSE Class 12 board exam of 2026, paper 58/1/1, section B, question 20, for 1 mark. Try it first; the hints and our step-by-step solution are below.

Q20 · 1 mark · MCQLiberalisation, Privatisation and Globalisation: An Appraisal

Read the following text carefully :
“In the recent times, the Government of India, has introduced several measures to encourage greater public participation in the capital market, including both primary and secondary stock markets.”
Under which sector have the above mentioned reforms been introduced ? (Choose the correct option)

  1. (A)Industrial
  2. (B)Financial
  3. (C)Taxation
  4. (D)Foreign Trade

Source: official question paper from cbse.gov.in (PDF). See it in the full 2026 board paper, set 58/1/1.

Hints

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

Hint 1

Stock markets are part of which sector of the economy?

Hint 2

Recall the four groups of 1991 reforms.

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. Measures to widen public participation in primary and secondary stock markets concern the capital market.

  2. Capital-market reforms are part of the financial sector reforms of 1991 (along with banking reforms and the role of SEBI). Option (B).

    1 mark

Answer: (B) Financial

Where the marks are

  • Capital-market reforms belong to the financial sector (1 mark)

Revise the chapter

Practise this chapterBoard-style questions from Liberalisation, Privatisation and Globalisation: An Appraisal, one at a time, marked against the answer key and marking points.Back to the full paper2026 board paper, set 58/1/1: 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.