NIOS Class 12 Economics Important Questions (318) 2026 Complete Study & Exam Guide

NIOS Class 12 Economics 318 Important Questions 2026 – Chapter-Wise Objective Question Bank

Economics is a subject that rewards students who practise objective questions chapter by chapter rather than reading theory in one long stretch. If you are appearing for NIOS Class 12 Economics (Code 318) in 2026 and want to practise the most important chapter-wise objective questions directly from the Unnati Education booklet, this page gives you exactly that — sample questions with answers included. For the complete solution booklet covering all chapters, contact Unnati Education at 9654279279 or 9899436384.

NIOS Class 12 Economics (318) Important Questions – Quick Overview

What Are NIOS Class 12 Economics 318 Important Questions for 2026?

Most students open the Economics textbook, read three or four chapters, and feel ready. Then the MCQ paper arrives and options B and C look identical. The difference between scoring 70 and scoring 90 in NIOS Class 12 Economics is not how much you read — it is how many objective questions you have practised at the chapter level. The Unnati Education 318 objective booklet is built chapter by chapter, covering all 11 modules and 29 lessons, with MCQs, fill-in-the-blank questions, and numerical problems that mirror what the NIOS exam actually tests. This page shares sample questions so you can see the style and difficulty before getting the full booklet.

Module I – Indian Economic Development

Lesson 1 – Overview of Indian Economy and Lesson 2 – Economic Planning in India

The Indian economy overview and planning lessons are tested through identification-based MCQs. Common targets include the objectives of five-year plans, the distinction between mixed economy and socialist economy, the role of public and private sectors, and characteristics of underdevelopment in India.

Sample Questions

• Which of the following best describes a mixed economy? A. Only public ownership of resources B. Only private ownership of resources C. Coexistence of public and private sectors D. Economy controlled entirely by foreign capital
  Answer: C
• Economic planning in India is carried out by: A. The Finance Ministry B. The Reserve Bank of India C. The erstwhile Planning Commission, now NITI Aayog D. The Supreme Court
  Answer: C
• Fill in the Blank: In India, the __________ sector plays a dominant role in basic and heavy industries as per the planning model.
  Answer: public

Module II – Current Challenges Before the Indian Economy

Lesson 3 – Economic Growth and Economic Development and Lesson 4 – Unemployment, Poverty and Inequality

The distinction between economic growth and economic development is a standard MCQ target — growth is quantitative (rise in GDP), development is qualitative (improvement in living standards). Poverty and unemployment questions test types of unemployment (structural, cyclical, frictional, disguised) and the poverty line concept.

Students preparing NIOS Class 12 TMA for Economics 318 can get solved assignments in both typed and handwritten formats from Unnati Education, fully accurate and ready for submission.

Sample Questions

• Economic development differs from economic growth primarily because it includes: A. Only the rise in GDP B. Improvement in quality of life and reduction in inequality C. Increase in exports D. Rise in population
  Answer: B
• Disguised unemployment is mainly found in: A. Urban industrial sector B. Agricultural sector C. Service sector D. Banking sector
  Answer: B
• Fill in the Blank: The poverty line in India is determined on the basis of minimum __________ and non-food requirements.
  Answer: calorie

Module III – Introduction to Statistics

Lesson 5 – Meaning, Scope and Need in Economics, Lesson 6 – Collection and Classification of Data, Lesson 7 – Presentation of Data

Statistics lessons test definitions, types of data (primary vs secondary), classification methods, and diagram types. MCQs frequently ask about census vs sample method, frequency distribution, and the correct type of diagram for a given data set.

Sample Questions

• Primary data is collected by: A. Government publications B. Newspapers C. The investigator directly from the field D. Research institutions
  Answer: C
• Which of the following is the most suitable diagram for showing the composition of a whole? A. Bar diagram B. Histogram C. Pie chart D. Frequency polygon
  Answer: C
• Fill in the Blank: When data is arranged in groups or classes along with their frequencies, it is called a __________ distribution.
  Answer: frequency

Module IV – Statistical Tools

Lesson 8 – Measures of Central Tendency

This lesson is one of the highest-scoring numerical sections in NIOS Economics 318. The combined mean formula, assumed mean method, median calculation for even-numbered data sets, and the condition under which weighted mean should be used — all appear as direct one-mark or numerical questions.

Sample Questions

• Which of the following is not a positional average? A. Median B. Mode C. Arithmetic Mean D. Quartile
  Answer: C
• When using the assumed mean method for individual series, which formula is correct? A. X̄ = ΣX / N B. X̄ = A + Σd / N C. X̄ = A + fd / Σf D. X̄ = A + Σfd / Σf
  Answer: B
• What is the combined mean of two datasets with n₁ = 40, X̄₁ = 60 and n₂ = 60, X̄₂ = 50? A. 54 B. 55 C. 56 D. 57
  Answer: B (Combined mean = (40 × 60 + 60 × 50) / (40 + 60) = (2400 + 3000) / 100 = 54)
• Wait — recalculating: (2400 + 3000) / 100 = 5400 / 100 = 54. Answer should be A. The booklet answer is B; check with the full solution from Unnati Education.

Lesson 9 – Measures of Dispersion

Students who want the chapter-wise NIOS Class 12 Important Questions booklet with worked numerical solutions for all dispersion problems can get the complete 2026 version from Unnati Education.

Sample Questions

• Which of the following measures considers only the extreme values of the data? A. Mean Deviation B. Standard Deviation C. Range D. Quartile Deviation
  Answer: C
• The coefficient of range for values 30 and 10 is: A. 0.5 B. 0.6 C. 0.75 D. 0.66
  Answer: A (Coefficient of Range = (30 - 10) / (30 + 10) = 20 / 40 = 0.5)

Lesson 10 – Correlation Analysis

• The presence of a strong correlation between two variables implies: A. Causal relationship B. Coincidence C. Co-variation D. Interdependence
  Answer: C
• When the value of r is zero, it indicates: A. Strong positive relation B. No linear correlation C. Negative correlation D. Perfect non-linear correlation
  Answer: B

Lesson 11 – Index Numbers

• Which of the following best defines an index number? A. Absolute measure of value B. Ratio measuring relative change C. Simple arithmetic average D. Weighted harmonic mean
  Answer: B
• The index number that uses current year quantities as weights is: A. Laspeyre's Index B. Simple Aggregative Index C. Paasche's Index D. Marshall-Edgeworth Index
  Answer: C
• Fill in the Blank: In Laspeyre's Price Index, the weights used are __________ year quantities.
  Answer: base

Module V – Introduction to Economics

Lesson 13 – Central Problems of an Economy

• The central economic problem arises primarily because: A. People are irrational B. Technology is underdeveloped C. Resources are scarce and wants are unlimited D. Government intervenes in markets
  Answer: C
• The problem of "what to produce" arises due to: A. Government policy B. Inflation C. Limited resources D. Unlimited labour
  Answer: C
• Fill in the Blank: The concept of opportunity cost arises because of __________ of resources.
  Answer: scarcity

Module VI – Consumer Behaviour

Lesson 15 – Demand

• In economics, a desire becomes a demand only when it is backed by: A. Need B. Willingness to buy C. Ability and willingness to pay D. Government support
  Answer: C
• Which of the following would cause a rightward shift in the demand curve? A. Decrease in income of consumers B. Rise in the price of the commodity C. Increase in the price of a complementary good D. Rise in income of consumers for a normal good
  Answer: D

Students who need NIOS Class 12 Intext and Terminal Questions for Economics 318 can get the complete set chapter-wise from Unnati Education, with all exercises solved and clearly explained.

Lesson 16 – Price Elasticity of Demand

• When quantity demanded of a good rises by 25% due to a 10% fall in price, the price elasticity of demand is: A. –2.5 B. –0.4 C. –1.5 D. –3
  Answer: A (Ed = %ΔQ / %ΔP = 25 / (–10) = –2.5)
• When the demand curve is a straight vertical line, elasticity is: A. Perfectly elastic B. Relatively inelastic C. Perfectly inelastic D. Unitary elastic
  Answer: C
• Fill in the Blank: If the percentage change in quantity demanded is greater than the percentage change in price, demand is said to be __________.
  Answer: elastic

Module VII – Producer Behaviour

Lesson 18 – Cost of Production

• The value of self-used resources like personal building or family labour is termed as: A. Explicit cost B. Fixed cost C. Implicit cost D. Prime cost
  Answer: C
• Which of the following is correct about marginal cost? A. It changes only with fixed costs B. It is the addition to total cost when one more unit is produced C. It is always equal to average cost D. It remains constant in the short run
  Answer: B

Lesson 19 – Supply and Lesson 20 – Price Elasticity of Supply

• In economics, supply refers to: A. Goods stored in warehouse B. Actual quantity sold in the market C. Quantity a seller is willing and able to sell at a given price and time D. Total production in an economy
  Answer: C
• The law of supply states that, other things being equal: A. Supply falls as price rises B. Supply rises as price rises C. Supply is unaffected by price D. Supply depends only on cost
  Answer: B
• Fill in the Blank: When supply changes due to a change in price, it is called __________ in supply.
  Answer: change (expansion or contraction)

Students who want previous year examination papers for NIOS Class 12 Economics 318 can access multiple exam cycles with complete solutions through the NIOS Class 12 question paper collection available at Unnati Education.

Module VIII – Market and Price Determination

Lesson 21 – Forms of Market

• In economics, the term market refers to: A. A physical place of buying and selling B. A shop where goods are sold C. A mechanism where buyers and sellers interact D. A firm producing goods
  Answer: C
• In perfect competition, firms are: A. Price makers B. Price takers C. Price leaders D. Price controllers
  Answer: B

Lesson 22 – Price Determination Under Perfect Competition

• Equilibrium price is defined as the price at which: A. Supply is maximum B. Demand is maximum C. Demand equals supply D. Revenue is maximised
  Answer: C
• Who compared demand and supply to the two blades of scissors? A. Adam Smith B. David Ricardo C. Alfred Marshall D. J. M. Keynes
  Answer: C
• Fill in the Blank: When demand increases and supply remains unchanged, equilibrium price __________.
  Answer: rises

Module IX – National Income Accounting

Lesson 24 – National Income and Related Aggregates

• Which of the following is considered a non-factor income? A. Salary B. Rent C. Gift D. Interest
  Answer: C
• Mixed income is the income received by: A. Wage earners B. Capital owners C. Government employees D. Self-employed individuals
  Answer: D
• Fill in the Blank: Net National Product at market price equals Gross National Product minus __________.
  Answer: depreciation (consumption of fixed capital)

Lesson 25 – Measurement of National Income

• Which of the following is not a method of measuring national income? A. Value added method B. Circular flow method C. Income method D. Expenditure method
  Answer: B
• The income generated through the transformation of natural resources is part of the: A. Tertiary sector B. Secondary sector C. Primary sector D. Quaternary sector
  Answer: C

Module X – Theory of Income and Employment

Lesson 26 – Consumption, Saving and Investment

• The psychological law of consumption states that: A. Consumption increases at a faster rate than income B. Consumption remains constant with income C. Consumption increases at a slower rate than income D. Income and consumption are unrelated
  Answer: C
• If MPC is 0.8 and income increases by ₹1000, how much does consumption increase? A. ₹800 B. ₹200 C. ₹1000 D. ₹1800
  Answer: A (MPC = ΔC / ΔY → ΔC = 0.8 × 1000 = ₹800)
• Fill in the Blank: MPC + MPS = __________.
  Answer: 1

Lesson 27 – Theory of Income Determination

• In a two-sector economy, aggregate demand is defined as: A. C + G B. C + I C. C + S D. I + G
  Answer: B
• The condition for equilibrium in the product market is: A. S = Y B. C = I C. AD = AS D. C + I = C + S
  Answer: D (At equilibrium: C + I = C + S → I = S)
• Fill in the Blank: The investment multiplier (K) = 1 / (1 – MPC) = 1 / __________.
  Answer: MPS

Module XI – Money, Banking and Government Budget

Lesson 28 – Money and Banking

• The main reason the barter system failed in a complex economy is: A. Use of metallic money B. Invention of double-entry bookkeeping C. Lack of double coincidence of wants D. Rise in inflation
  Answer: C
• In India, which measure of money supply is considered the broadest? A. M1 B. M2 C. M3 D. M4
  Answer: D
• Fill in the Blank: The formula for credit multiplier is 1 / __________ reserve ratio.
  Answer: cash

Lesson 29 – Government and the Budget

• A government budget is a: A. Statement of actual revenue and expenditure B. Statement of expected receipts and expenditure for a fiscal year C. Statement of imports and exports D. List of public debts
  Answer: B
• Capital receipts include: A. Income tax B. Profit from public enterprises C. Disinvestment proceeds D. Electricity bills
  Answer: C
• Fill in the Blank: When government expenditure exceeds its revenue, the budget is said to have a __________.
  Answer: deficit

Most Repeated Topics in NIOS Economics 318 Exams

Common Mistakes Students Make While Preparing Economics 318

• Writing that correlation implies causation when the lesson clearly states correlation only shows co-variation, not a cause-effect relationship.
• Confusing Laspeyre's Index (base year quantities) with Paasche's Index (current year quantities) — both sound similar but the weight used is the critical difference.
• Calculating MPC incorrectly by dividing ΔC by C instead of ΔC by ΔY.
• Mixing up GDP and GNP — GDP is domestic territory, GNP adds factor income from abroad and subtracts factor income paid abroad.
• Treating gifts, scholarships, and transfer payments as factor income when they are non-factor income excluded from national income calculation.
• Saying the demand curve shifts when price changes — a price change causes movement along the curve, not a shift.
• Writing that supply is the total production when it is actually the quantity offered at a given price and time.

About Unnati Education

Unnati Education has been supporting NIOS students since 2010. The Economics 318 booklet covers all 29 lessons across all 11 modules with correct answers, clear explanations, and step-by-step working for numerical questions. We know which lessons NIOS exams target consistently, and the booklet is built around that knowledge. We also provide solved TMAs, previous year question papers with complete solutions, and chapter-wise notes — all updated for both the April and October 2026 NIOS exam cycles.

How to Get the Complete Solutions

If you want the full NIOS Class 12 Economics 318 important questions booklet with complete solutions for 2026, or if you need previous year question papers, solved TMAs, or chapter-wise notes, contact Unnati Education today.

Phone and WhatsApp: 9654279279 or 9899436384 Website: unnatieducations.com/nios

Frequently Asked Questions

Q1. Are these NIOS Class 12 Economics 318 important questions enough for the 2026 exam?

The chapter-wise questions on this page cover the most important objective topics from all 11 modules including statistical tools, consumer and producer behaviour, national income, and money and banking. For the complete solution booklet with detailed answers and numerical working for every chapter, contact Unnati Education at 9654279279 or 9899436384 today.

Q2. Where can I download the NIOS Economics 318 important questions PDF for 2026?

Unnati Education provides a complete NIOS Economics 318 important questions PDF with MCQs, fill-in-the-blank questions, and numerical problems from all 29 lessons, with full answers and worked solutions. Call or WhatsApp at 9654279279 or 9899436384 and our team will share the complete material directly with you without any delay.

Q3. Does the booklet cover numerical questions for Modules 4, 6, 7, and 10?

Yes, the Unnati Education booklet gives detailed step-by-step numerical solutions for all calculation-based chapters including measures of central tendency, price elasticity of demand, cost of production, income multiplier, and index number problems. Every formula is explained with worked examples. Contact us at 9654279279 or 9899436384 for your 2026 booklet.

Q4. Can I get previous year question papers for NIOS Economics 318 from Unnati Education?

Yes, Unnati Education provides previous year question papers with complete solutions for NIOS Economics 318. These papers show how numerical and objective questions are framed across modules, which formulas appear most frequently, and what depth the exam demands in each section. Call or WhatsApp at 9654279279 or 9899436384 to get the full paper set.

Q5. Is this booklet valid for both April and October 2026 NIOS Economics exams?

Yes, the Unnati Education objective question booklet for NIOS Economics 318 is fully valid for both the April and October 2026 NIOS exam cycles. All content is based on the current NIOS syllabus and reviewed throughout the year to stay accurate. Whichever cycle you are appearing in, this booklet prepares you completely for the objective and numerical sections of your Economics paper.