Statistics for Economic Planning
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Question (English)
An economic planner deciding in 2017 how much the economy should produce in 2020 needs:
- Only historical data
- Statistical tools to predict future consumption ✓ Correct
- Personal judgement only
- Data from other countries only
Explanation:
Correct Answer Explanation
The planner needs statistical tools to predict consumption in 2020, based on data of past years or recent surveys.
Key Points:
- Expected level of consumption must be known for production planning.
- Predictions can be based on past consumption data or recent surveys.
- Statistical methods help formulate appropriate economic policies.
Why Other Options Are Wrong
- A: Historical data alone is insufficient; statistical tools are needed.
- C: Subjective judgement is inferior to statistical prediction.
- D: Own country data is primarily needed.
📚 About this Topic — CH-1: Introduction
This multiple choice question is from CH-1: Introduction, NCERT Books, Statistics for Economics. It has 4 options with a detailed explanation of the correct answer. Practice more MCQs from CH-1: Introduction to strengthen your preparation.
