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Q1
(IAS/1998)
Economy › Industry, Infrastructure & Investment › Industrial policy reforms
Answer Verified
Some time back, the Government of India, decided to delicense ‘white goods’ industry. ‘White goods’ include
Result
Your answer:
—
·
Correct:
C
Explanation
The correct answer is Option 3.
In economic and industrial terminology, white goods refer to heavy consumer durables such as air conditioners, refrigerators, and washing machines. These items were historically characterized by white enamel finishes. Under the Liberalization, Privatization, and Globalization (LPG) reforms, the Government of India delicensed several industries to promote ease of doing business and attract investment.
The rationale behind the options is as follows:
- Option 3 is correct because white goods are categorized as items of conspicuous consumption—goods purchased to display wealth or improve social status, typically serving as functional luxury assets in a household.
- Option 1 refers to basic hardware/utensils, which do not fall under the "white goods" industrial classification.
- Option 2 refers to dairy products, classified as essential commodities or FMCG (Fast-Moving Consumer Goods).
- Option 4 describes mass consumption items or "Brown Goods/FMCG," which have different production and licensing cycles compared to heavy durables.
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