CBSE Class 10 Economics: 2026 Board Exam Model Paper

 

CBSE Class 10 Economics: 2026 Board Exam Model Paper

Cracking Economics (20 Marks) is the most efficient way to boost your Social Science percentage. Since the 2026 pattern emphasizes analytical thinking, we've designed this mini-model paper to help you test your "Economic IQ."

Section A: Multiple Choice Questions (5 Marks)

Q1. Suppose the per capita income of a country is $12,000. This average income is calculated by:

  • (a) Dividing the total wealth of the country by the number of families.

  • (b) Dividing the total income of the country by its total population.

  • (c) Calculating the income of the top 10% of the population.

  • (d) Dividing the total income of the country by the number of employed citizens.

Q2. Which of the following activities falls under the Tertiary Sector?

  • (a) A farmer growing sugarcane for a mill.

  • (b) A factory worker assembling a mobile phone.

  • (c) A call-center employee providing technical support.

  • (d) A potter making clay lamps for a festival.

Q3. Identify the main reason why banks demand "collateral" while lending to a borrower:

  • (a) To increase the interest rate on the loan.

  • (b) To act as a guarantee until the loan is repaid.

  • (c) To help the borrower manage their property documents.

  • (d) To ensure that only rich people can get loans.

Q4. In India, over half of the workers are working in the Primary sector, mainly in agriculture. However, their contribution to the GDP is less than 20%. This indicates:

  • (a) High productivity in the agricultural sector.

  • (b) A shift of workers to the industrial sector.

  • (c) The presence of disguised unemployment in agriculture.

  • (d) That India no longer needs the secondary sector.

Q5. Removing barriers or restrictions on foreign trade set by the government is known as:

  • (a) Privatization

  • (b) Globalisation

  • (c) Liberalization

  • (d) Nationalization

Section B: Very Short Answer Questions (3 Marks)

Q6. Define Body Mass Index (BMI). How is it calculated for an adult?

Q7. What is the main objective of Self-Help Groups (SHGs) in rural areas?

Q8. Explain the concept of "Double Coincidence of Wants" in a barter system.

✅ Answer Key & Explanations

Section A: MCQs

  1. (b) Per Capita Income is simply the total income of the country divided by its total population.

  2. (c) Providing services (like tech support, banking, or transport) is the hallmark of the Tertiary sector.

  3. (b) Collateral is an asset the lender can sell if the borrower fails to pay back the loan.

  4. (c) Disguised unemployment occurs when more people are working than are actually needed; their marginal productivity is zero.

  5. (c) Liberalization refers specifically to the "opening up" of the economy by removing trade barriers.

Section B: Very Short Answers

  • Ans 6: BMI is an indicator used to determine whether an adult is undernourished or overweight. It is calculated by dividing a person's weight (in kg) by the square of their height (in metres):

    $$\text{BMI} = \frac{\text{Weight (kg)}}{(\text{Height in metres})^2}$$

  • Ans 7: The main objective of SHGs is to organize rural poor, especially women, into small groups to pool their savings and provide loans without collateral at a low interest rate.

  • Ans 8: In a barter system, "Double Coincidence of Wants" is the situation where both parties have to agree to sell and buy each other’s commodities simultaneously. If I have wheat and want shoes, I must find a shoemaker who specifically wants wheat.

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