25 extra multiple-choice questions for Consumerism (12th Standard Commerce, Samacheer Kalvi), beyond the ones printed in the textbook — each with the correct option highlighted and a clear, worked explanation. Free to read in English and Tamil.
Q1
Under the Consumer Protection Act, 1986, which of the following persons is NOT a consumer?
- A. A person who buys goods under a system of deferred payment
- B. A person who buys goods exclusively to earn his livelihood by self-employment
- C. A person who obtains goods for resale or for a commercial purposeCorrect
- D. A person who buys goods for a consideration partly paid and partly promised
Explanation. The Act says a person who obtains goods for resale or any commercial purpose is not a consumer, but one who buys them exclusively to earn a livelihood by self-employment is still a consumer.
Q2
Shopkeepers put up a 'No Stock' board even though plenty of stock is in the store, and then sell the goods at a hefty price. This way of exploiting consumers is called
- A. Adulteration
- B. Artificial scarcityCorrect
- C. Sub-standard goods
- D. Product risk
Explanation. Under artificial scarcity, sellers display 'No Stock' or 'House Full' boards though goods are available, so desperate consumers pay a hefty price, often in the black market.
Q3
Adding papaya seeds to black pepper is an example of which form of consumer exploitation?
- A. Duplicate goods
- B. AdulterationCorrect
- C. Artificial scarcity
- D. False advertisement
Explanation. Adulteration means mixing or substituting undesirable material in food. The lesson's examples include papaya seeds in black pepper, brick powder in chilli powder and stones in grains.
Q4
"Consumerism is an attempt to enhance the rights and powers of buyers in relation to sellers". Who gave this definition?
- A. L. MassieCorrect
- B. Ralph Nader
- C. Mahatma Gandhi
- D. John F. Kennedy
Explanation. The lesson quotes L. Massie, who defined consumerism as an attempt to enhance the rights and powers of buyers in relation to sellers.
Q5
Match the form of exploitation with its example:
A. Adulteration - 1. A battery labelled 'leak proof' leaks
B. Duplicate goods - 2. Brick powder mixed with chilli powder
C. Artificial scarcity - 3. Fake medicines and spare parts sold as originals
D. Unsuitability of products - 4. 'House Full' board while tickets sell in the black market
- A. A-2, B-3, C-4, D-1Correct
- B. A-3, B-2, C-1, D-4
- C. A-2, B-4, C-3, D-1
- D. A-1, B-3, C-4, D-2
Explanation. Brick powder in chilli powder is adulteration; fake medicines and spare parts are duplicate goods; the 'House Full' board is artificial scarcity; a leaking 'leak proof' battery shows unsuitability of products.
Q6
Which of the following statements about consumerism is/are correct?
1. It is a social force protecting and aiding the consumer.
2. The term came into existence in the early 1960s in the western world, particularly in America.
3. In the exchange between buyers and sellers, power is normally in favour of buyers.
- A. 1 only
- B. 1 and 2 onlyCorrect
- C. 2 and 3 only
- D. 1, 2 and 3
Explanation. Consumerism is a social force protecting consumers and arose in America in the early 1960s. It seeks to restore balance because power is normally in favour of sellers, not buyers, so statement 3 is wrong.
Q7
Which one of the following is NOT listed in the lesson as an importance of consumerism?
- A. Awakening the government
- B. Discouraging anti-social activities
- C. Providing complete and latest information
- D. Encouraging hoarding of goodsCorrect
Explanation. The importance of consumerism includes awakening and uniting consumers, discouraging unfair trade practices and anti-social activities, awakening the government and providing complete and latest information. Hoarding is a malpractice it fights.
Q8
Which organisation was started in America by middle class progressive women in response to the substandard quality of goods?
- A. The National Consumers LeagueCorrect
- B. Consumer Action Council
- C. Bureau of Indian Standards
- D. Consumer Club
Explanation. Middle class progressive women began organisations like The National Consumers League (NCL) because of substandard goods and the government's lack of involvement in protecting consumers.
Q9
Ralph Nader initially fought against which industry for violating safety standards and pollution control norms?
- A. Automobile industryCorrect
- B. Pharmaceutical industry
- C. Food processing industry
- D. Textile industry
Explanation. Ralph Nader, the father of the Consumer Movement, initially fought against the automobile industry in the United States for violating safety standards and pollution control norms.
Q10
Assertion (A): In India, consumerism has emerged and been accepted as a defensive force to safeguard the interest of customers.
Reason (R): Most Indian consumers are illiterate and have low income, and markets run in shortages, adulteration and black market prices.
- A. Both A and R are true and R is the correct explanation of ACorrect
- B. Both A and R are true but R is not the correct explanation of A
- C. A is true but R is false
- D. A is false but R is true
Explanation. Unlike the West, Indian consumers are mostly illiterate with low income, and markets face shortages, adulteration and black marketing. To protect them, consumerism emerged as a defensive force, so R explains A.
Q11
Which of the following is NOT one of the major causes of consumerism in India identified in the lesson?
- A. Rising prices
- B. Deceptive advertising
- C. Inflation
- D. Growth of exportsCorrect
Explanation. The lesson names rising prices, poor product performance and service quality, product shortages, deceptive advertising and inflation as the major causes of consumerism in India. Exports are not mentioned.
Q12
According to the lesson, which two tools serve to protect the consumer's interest?
- A. Voluntary measures and lawCorrect
- B. Advertising and pricing
- C. Hoarding and rationing
- D. Imports and exports
Explanation. Both voluntary measures and law serve as tools to protect consumers. Self-regulation, consumer associations, alert consumers and State support are named as means of consumer protection.
Q13
'Caveat emptor' is a Latin term that means
- A. Let the buyer bewareCorrect
- B. Let the seller beware
- C. The consumer is king
- D. Goods sold with warranty
Explanation. Caveat emptor means 'let the buyer beware'. It warns buyers that they have no recourse with the seller if the product fails to meet their expectations, so they must inspect it before buying.
Q14
Which principle was the rule for most purchases and land sales before the Industrial Revolution?
- A. Caveat emptorCorrect
- B. Caveat venditor
- C. Money refund guarantee
- D. Consumer sovereignty
Explanation. Caveat emptor, let the buyer beware, was the rule before the Industrial Revolution. Today sellers carry much more responsibility, and most sales follow caveat venditor, let the seller beware.
Q15
'Business enterprises should test the safety of a product before marketing it and withdraw spoiled and contaminated food items.' Under which role of business does this fall?
- A. Protection from the hazardCorrect
- B. Avoidance of hoarding
- C. Truth in advertising
- D. Consumer grievances
Explanation. Under protection from the hazard, business should not market potentially harmful products, should test their safety before marketing, and should withdraw spoiled and contaminated food items.
Q16
Under the role of consumers in consumer protection, testing laboratories to test the purity of goods should be set up at
- A. Each districtCorrect
- B. Each village
- C. Each state capital
- D. The national capital only
Explanation. Among the steps for activating consumer action councils, the lesson says there should be testing laboratories at each district to test the purity of goods.
Q17
On which date did the General Assembly of the United Nations pass a resolution adopting guidelines for consumer protection?
- A. April 9, 1985Correct
- B. April 15, 1987
- C. April 9, 1986
- D. April 15, 1985
Explanation. The UN General Assembly passed a resolution on April 9, 1985 adopting guidelines for consumer protection, persuading member countries to adopt policies and laws that better protect consumers.
Q18
Match the Act with its year:
A. Indian Contract Act - 1. 1955
B. Essential Commodities Act - 2. 2002
C. Competition Act - 3. 1872
D. Trademark Act - 4. 1999
- A. A-3, B-1, C-2, D-4Correct
- B. A-1, B-3, C-4, D-2
- C. A-3, B-2, C-1, D-4
- D. A-4, B-1, C-2, D-3
Explanation. The lesson lists the Indian Contract Act, 1872, the Essential Commodities Act, 1955, the Competition Act, 2002 and the Trademark Act, 1999 among consumer legislation.
Q19
The Weights and Measures Act, 1976 has been replaced by
- A. Legal Metrology Act, 2009Correct
- B. Food Safety Standard Act, 2006
- C. Competition Act, 2002
- D. Trademark Act, 1999
Explanation. The Weights and Measures Act, 1976 protected consumers against underweight and under measurement. The lesson says it has been replaced by the Legal Metrology Act, 2009.
Q20
Which Act protects consumers against artificial shortages created by sellers who hoard goods and sell them at high prices in the black market?
- A. The Essential Commodities Act, 1955Correct
- B. The Sale of Goods Act, 1930
- C. The Drugs and Cosmetics Act, 1940
- D. The Public Liability Insurance Act, 1991
Explanation. The Essential Commodities Act, 1955 protects consumers against artificial shortages created by hoarding and against black market sale of essential commodities at high prices.
Q21
Which of the following Acts, passed in 1954, deals with consumer protection?
1. The Prevention of Food Adulteration Act
2. The Drugs and Magic Remedies (Advertisements) Act
3. The Drugs and Cosmetics Act
- A. 1 only
- B. 1 and 2 onlyCorrect
- C. 2 and 3 only
- D. 1, 2 and 3
Explanation. The Prevention of Food Adulteration Act and the Drugs and Magic Remedies (Advertisements) Act were both passed in 1954. The Drugs and Cosmetics Act was passed in 1940.
Q22
The three-tier machinery set up by the Consumer Protection Act, 1986 for settling consumer disputes consists of
- A. District Forum, State Commission and National CommissionCorrect
- B. Village Panchayat, District Court and High Court
- C. Taluk Office, District Collector and State Government
- D. Consumer Club, Consumer Council and Supreme Court
Explanation. COPRA provides a three-tier machinery of District Forums, State Commissions and the National Commission, and also lays down consumer protection councils at district, state and apex levels.
Q23
Which of the following statements about the Consumer Protection Act, 1986 is/are correct?
1. It was amended in 1993.
2. It does not create rights or liabilities but provides a new forum to settle disputes.
3. It applies only to goods and not to services.
- A. 1 only
- B. 1 and 2 onlyCorrect
- C. 2 and 3 only
- D. 1, 2 and 3
Explanation. COPRA was amended in 1993 and does not create rights or liabilities; it sets up a forum to settle disputes. It applies to all goods and services, even medical services, so statement 3 is wrong.
Q24
As per the recommended structure, consumer clubs in schools hold monthly meetings and demonstrations for one hour after school on the
- A. First Thursday of each monthCorrect
- B. First Monday of each month
- C. Last Friday of each month
- D. Second Saturday of each month
Explanation. Consumer clubs hold monthly meetings and demonstrations for one hour after school hours on the first Thursday of each month, with a topic or activity scheduled as in the model calendar.
Q25
Mr. Narasimachary's refrigerator, bought with a seven-year warranty and used as per the manufacturer's guidelines, failed after two years, and the dealer refused free service. Which form of exploitation does this case show?
- A. Warranty and servicesCorrect
- B. Adulteration
- C. Artificial scarcity
- D. Duplicate goods
Explanation. Under warranty and services, free service promised for consumer durables during the warranty period is often denied on flimsy grounds, as happened in the lesson's case study of Mr. Narasimachary.
