Lesson eLearning

Which of the following was a major objective of the Monopolies and Restrictive Trade Practices (MRTP) Act of 1969?

medium MCQ 3 marks Class 12 · Economics · Indian Economy 1950-1990
  1. To promote foreign direct investment
  2. To prevent concentration of economic power
  3. To increase agricultural subsidies
  4. To nationalise major banks
Answer
To prevent concentration of economic power

The correct answer is To prevent concentration of economic power — Option B matches this objective.

Step-by-step solution

  1. Recall the purpose of the MRTP Act enacted in 1969.
  2. The Act was aimed at curbing the formation of monopolies and restricting unfair trade practices.
  3. Hence, its major objective was to prevent concentration of economic power.
  4. Option B matches this objective.
Common mistake: Confusing the MRTP Act with bank nationalisation or foreign investment policies.

Concept tested: MRTP Act objective

Published · How this solution was prepared and checked

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