CUET Economics Business Question Paper 2026 PDF: Download Previous Year Question Papers

CUET 2026 Economics Exam Pattern

The CUET 2026 Economics exam pattern describes the format, question types, and marking scheme, which will assist candidates in planning their preparation. This section will provide you with a brief overview of the important information you should know for the exam.

CUET 2026 Economics Exam Syllabus

CUET 2026 Economics exam syllabus includes the main subject matter of both micro and macroeconomics and emphasises the main principles and how these are used. Below are the important topics required for you to understand and learn about in preparation for the CUET 2026 Economics exam.

CUET Economics Previous Year Questions

We have provided below a few questions from the Previous year papers of CUET Economics. It helps in understanding the exam pattern, difficulty level, important topics, etc. It will help you in analysing your preparation and gaining confidence.

1. _______________ depicts what has happened.

(1) Ex-Ante

(2) Ex-Post

(3) Constant

(4) Variable

Correct Answer: (2) Ex-Post
Solution: Ex-post refers to something that has happened or occurred. It looks at the actual outcomes after the event, as opposed to ex ante, which refers to expectations or predictions before the event.

2. Which of the following statements is true?

(A) Quantitative tools control the extent of the money supply by changing the CRR.

(B) There are two types of open market operations – outright and upright.

(C) A fall in the bank rate can decrease the money supply.

(D) Selling of a bond by the RBI leads to a reduction in the quantity of reserves.

(E) The RBI can influence the money supply by changing the rate at which it gives loans to the commercial banks

banks.

Choose the correct answer from the options given below :

(1) (A), (C) and (D) only

(2) (A), (B) and(D) only

(3) (B), (D) and (E) only

(4) (A), (D) and (E) only

Correct Answer: (1) (A), (C) and (D) only
Solution:

• (A) Quantitative tools control the extent of money supply by changing the CRR (true)

• (B) There are two types of open market operations – outright and upright (false, it should be "outright and repo" or similar terms)

• (C) A fall in the bank rate can decrease the money supply (true)

• (D) Selling of a bond by the RBI leads to a reduction in the quantity of reserves (true)

• (E) The RBI can influence money supply by changing the rate at which it gives loans to commercial banks (true)

Therefore, (A), (C), and (D) are correct.

3. The Paradox of Thrift means :

(1) If all the people of the economy increase the proportion of income they save, the total value of investment in the economy will not increase; it will either decline or remain unchanged.

(2) If all the people of the economy increase the proportion of income they spend, the total value of savings in the economy will not increase; it will either decline or remain unchanged.

(3) If all the people of the economy decrease the proportion of income they save, the total value of savings in the economy will not increase; it will either decline or remain unchanged.

(4) If all the people of the economy increase the proportion of income they save, the total value of savings in the economy will not increase; it will either decline or remain unchanged.

Correct Answer: (1) If all the people of the economy increase the proportion of income they save, the total value of investment in the economy will not increase; it will either decline or remain unchanged.

Solution: The Paradox of Thrift is an economic concept which suggests that when everyone in an economy tries to save more, the overall investment in the economy may fall, which can lower total economic output. This paradox is due to the fact that savings and investment are related, and if savings increase but investment does not increase at the same rate, the result can be a decline in economic activity.

4. Match List-I with List-II :

Choose the correct answer from the options given below :

(1) (A) - (I), (B) - (II), (C) - (III), (D) - (IV)

(2) (A) - (II), (B) - (III), (C) - (I), (D) - (IV)

(3) (A) - (I), (B) - (II), (C) - (IV), (D) - (III)

(4) (A) - (III), (B) - (IV), (C) - (I), (D) - (II)

Correct Answer: (2) (A) - (II), (B) - (III), (C) - (I), (D) - (IV)
Solution:

• (A) Bank Rate → (II) Minimum rate at which funds are provided for long-term

• (B) Marginal Standing Facility → (III) Also known as Penal Interest Rate

• (C) Repo Rate → (I) Securities are pledged to repurchase

• (D) Reverse Repo Rate → (IV) Central Bank borrows funds from commercial banks

5. Which of the following is not a function of the Central Bank?

(1) It controls the money supply in the economy through different rates.

(2) It acts as a banker to the government.

(3) It accepts deposits and gives loans to people.

(4) It issues the currency of the country.

Correct Answer: (3) It accepts deposits and gives loans to people.

Solution: The central bank is responsible for controlling the money supply, acting as a banker to the government, and issuing currency. However, it does not directly accept deposits from the general public or give loans to individuals. Commercial banks perform these functions.

6. Article 112 deals with:

(1) Consolidated Fund of India

(2) Public Account

(3) Union Budget

(4) Contingency Fund

Correct Answer: (3) Union Budget
Solution: Article 112 of the Indian Constitution deals with the presentation of the Union Budget in the Parliament of India. It outlines the financial year for the government and provides for the introduction of the budget.

7. All those elements which create liability and decrease the assets of the government are known as

(1) Capital Receipts

(2) Capital Payments

(3) Revenue Receipts

(4) Revenue Payments

Correct Answer: (1) Capital Receipts

Solution: Capital receipts are those receipts that create a liability or reduce assets of the government. These include loans, borrowings, and any other capital receipts that involve a financial obligation.

8. Arrange the following elements in correct chronological sequence (earliest to latest) :

(A) Smithsonian Agreement

(B) Bretton Woods Conference

(C) Establishment of WTO

(D) Gold Standard

Choose the correct answer from the options given below :

(1) (A), (B), (C), (D)

(2) (D), (B), (A), (C)

(3) (D), (A), (B), (C)

(4) (C), (B), (D), (A)

Correct Answer: (3) (D), (A), (B), (C)
Solution: The chronological sequence is as follows:

• (D) Gold Standard

• (A) Smithsonian Agreement

• (B) Bretton Woods Conference

• (C) Establishment of WTO
  The Gold Standard was the earliest system, followed by the Smithsonian Agreement, the Bretton Woods Conference, and the establishment of the WTO.

9. Under a flexible exchange rate, when the price of domestic currency in terms of foreign currency increases, it

It is called ___________ .

(1) Depreciation of domestic currency

(2) Appreciation of domestic currency

(3) Devaluation of domestic currency

(4) Revaluation of domestic currency

Correct Answer: (2) Appreciation of domestic currency

Solution: When the value of a domestic currency increases in terms of foreign currencies, it is referred to as appreciation. It means the domestic currency has become stronger relative to foreign currencies.

10. Match List-I with List-II :

Choose the correct answer from the options given below :

(1) (A) - (II), (B) - (I), (C) - (III), (D) - (IV)

(2) (A) - (II), (B) - (III), (C) - (I), (D) - (IV)

(3) (A) - (I), (B) - (II), (C) - (IV), (D) - (III)

(4) (A) - (III), (B) - (IV), (C) - (I), (D) - (II)

Correct Answer: (2) (A) - (II), (B) - (III), (C) - (I), (D) - (IV)
Solution:

• (A) Pegged exchange rate system → (II) Fixed exchange rate system

• (B) Managed floating → (III) Dirty floating

• (C) Bretton Woods Conference → (I) Setting up of the IMF and the World Bank

• (D) Third element in BOP → (IV) Error and Omission Account

The pegged exchange rate system refers to the fixed exchange rate system, while managed floating refers to dirty floating. The Bretton Woods Conference led to the setting up of the IMF and World Bank, and the third element in the Balance of Payments (BOP) is the Error and Omission Account.

11. Casualisation of the workforce would result in :

(1) Decrease in the vulnerability of the workforce.

(2) Increase in the vulnerability of the workforce.

(3) Increase in the number of regular workers.

(4) Income and employment stability

Correct Answer: (2) Increase in the vulnerability of the workforce.
Solution: Casualisation refers to the increasing reliance on temporary or contract workers rather than regular, permanent workers. This results in greater job insecurity, lower wages, and fewer benefits, thus increasing the vulnerability of the workforce.

12. Choose the correct chronological sequence in ascending order (earliest to latest) :

(A) Establishment of NABARD

(B) FRBMA (Fiscal Responsibility and Budget Management Act)

(C) Third Five-Year Plan

(D) Nationalisation of the RBI

(1) (A), (B), (C), (D)

(2) (A), (C), (B), (D)

(3) (D), (A), (B), (C)

(4) (D), (C), (A), (B)

Correct Answer: (4) (D), (C), (A), (B)
Solution:
The chronological order is:

• (D) Nationalisation of the RBI

• (C) Third Five-Year Plan

• (A) Establishment of NABARD

• (B) FRBMA (Fiscal Responsibility and Budget Management Act)

The nationalisation of the RBI occurred first, followed by the Third Five-Year Plan, the establishment of NABARD, and lastly the enactment of the FRBMA.

13. __________ implies that resource extraction is not above the rate of regeneration of resources, and the waste generated is within the assimilating capacity of the environment.

(1) Absorptive capacity

(2) Carrying capacity

(3) Subsistence capacity

(4) Exhaustive capacity

Correct Answer: (2) Carrying capacity

Solution: Carrying capacity refers to the ability of the environment to sustain resource extraction and absorb wastes without degrading or exceeding its regenerative capacity. This concept is crucial for sustainable development.

14. The Government of India enacted the Right to Education Act in 2009 to make free education a Fundamental

Right of all children in the age group of ___________ years.

(1) 4 – 10

(2) 6 – 12

(3) 6 – 14

(4) 8 – 15

Correct Answer: (3) 6 – 14

Solution: The Right to Education Act (2009) guarantees free and compulsory education for all children between the ages of 6 and 14 years, making it a fundamental right under Article 21A of the Indian Constitution.

15. The following are the sources of electricity generation in India. Arrange them in the correct sequence on the basis

of total power generation capacity (higher to lower) :

(A) Nuclear

(B) Thermal

(C) New and renewable energy

(D) Hydro

Choose the correct answer from the options given below :

(1) (A), (B), (C), (D)

(2) (A), (C), (B), (D)

(3) (B), (C), (D), (A)

(4) (B), (D), (C), (A)

Correct Answer: (4) (B), (D), (C), (A)
Solution:

• (B) Thermal

• (D) Hydro

• (C) New and renewable energy

• (A) Nuclear

Thermal energy contributes the largest share of power generation in India, followed by hydroelectric power, new and renewable energy sources, and lastly nuclear power.

16. Arrange the following items in the correct sequence :

(A) Competition Act

(B) FEMA

(C) FERA

(D) MRTP

Choose the correct answer from the options given below :

(1) (A), (B), (C), (D)

(2) (A), (C), (B), (D)

(3) (D), (C), (B), (A)

(4) (C), (B), (D), (A)

Correct Answer: (3) (D), (C), (B), (A)
Solution:

• (D) MRTP

• (C) FERA

• (B) FEMA

• (A) Competition Act

The sequence follows the chronological order in which the legislations were enacted: MRTP, FERA, FEMA, and the Competition Act.

17. The Great Leap Forward (GLF) campaign was initiated in __________ .

(1) 1948

(2) 1938

(3) 1958

(4) 1942

Correct Answer: (3) 1958

Solution: The Great Leap Forward was a campaign initiated by Mao Zedong in China in 1958, aiming at rapid industrialisation and collectivisation.

18. Match List-I with List-II :

Choose the correct answer from the options given below :

(1) (A) - (I), (B) - (II), (C) - (III), (D) - (IV)

(2) (A) - (II), (B) - (III), (C) - (I), (D) - (IV)

(3) (A) - (I), (B) - (II), (C) - (IV), (D) - (III)

(4) (A) - (III), (B) - (IV), (C) - (I), (D) - (II)

Correct Answer: (2) (A) - (II), (B) - (III), (C) - (I), (D) - (IV)
Solution:

(A) Great Leap Forward → (II) Aimed at industrialising the country on a massive scale
(B) Mao Zedong → (III) Introduced the Great Proletarian Cultural Revolution

(C) Brundtland Commission → (I) Protecting the future generation

(D) Our Common Future → (IV) Seminal report that explained sustainable development as meeting the basic needs of all for a better life
The Great Leap Forward focused on industrialisation, Mao Zedong introduced the Cultural Revolution, the Brundtland Commission addressed the need for sustainability, and "Our Common Future" emphasised sustainable development.

19. The second phase of the Green Revolution is termed:

(1) mid-1960s to mid-1970s

(2) mid-1970s to mid-1980s

(3) mid-1950s to mid-1960s

(4) mid-1980s to mid-1990s

Correct Answer: (2) mid 1970s to mid 1980s

Solution: The second phase of the Green Revolution, which focused on improving agricultural productivity and technology, took place from the mid-1970s to the mid-1980s.

CUET Economics Previous Year Question Papers

Below are a few sets of the CUET Economics question paper. By solving the CUET 2025 Economics Question Paper and other previous year papers, you can gain confidence in your preparation. It will help you get an idea about the exam pattern, difficulty level, and more.

CUET 2026 Syllabus- Strategy to Prepare

The syllabus of CUET 2026 programmes is divided into four sections. Sections 1A and 1B of CUET 2026 will have questions from languages, Section II will include domain-specific questions, and Section III will be the general test..

Strategy to divide the CUET Exam syllabus:

• Make a list of topics.

• Segregate them into strong and weak sections according to personal experience and weightage.

• Make notes after finishing any section and revise them at the end of the day.

• Inculcate the complex and unknown sections in the daily timetable and revise them religiously to retain the gained knowledge on the examination day.

CUET 2026 Economics Mock Tests

Careers360 has designed a set of mock tests based on the comprehensive CUET Economics syllabus. Below are the mock test links; the candidates are requested to study all the topics.

CUET Study Material Download

The e-book includes a vast collection of Previous Year Questions (PYQs) to help students understand exam patterns and frequently asked topics according to the latest exam pattern of CUET 2026.