Purpose of Data Collection
What is the primary purpose of collecting data in economics?
- To increase government revenue
- To show evidence for reaching a sound and clear solution to a problem — Correct Answer
- To conduct Census surveys only
- To publish books on economics
Explanation:
Correct Answer Explanation
The purpose of collection of data is to show evidence for reaching a sound and clear solution to a problem. Data acts as a tool that helps in understanding problems by providing information.
Key Points:
- Data = Economic facts expressed in terms of numbers.
- Data helps in understanding, explaining and analysing a problem and its causes.
- Without data, decisions would be based on guesswork rather than evidence.
- Data is essential for both government planning and economic research.
Why Other Options Are Wrong
- A: Data collection is not about revenue generation.
- C: Census is just one method of data collection, not the purpose.
- D: Publishing books is not the purpose of data collection.
📚 About this Topic — CH-2: Collection of Data
This multiple choice question is from CH-2: Collection of Data, NCERT Books, Statistics for Economics. It has 4 options with a detailed explanation of the correct answer. Practice more MCQs from CH-2: Collection of Data to strengthen your preparation.
