(i) Correlation is a statistical device that helps to analyse the covariation of two or more variables.
(ii) Correlation is the relationship between two or more variables which vary with the other in the same or the opposite direction.

Gross National Product is the total total market value of all final goods and services produced within a nation in a particular year, plus income earned by its citizens (abroad) minus income of non residents located in that country.

1. Use of noise barriers
2. Newer roadway for surface transport
3. Traffic control
4. Regulating times for heavy vehicles
5. Installations of noise barriers in the work place
6. Regulation of Loudspeakers

(i) It involves fresh evaluation of expenditure in the Government budget assuming it as a new item.
(ii) A review is made to justify the project based on the socio-economic objectives and priorities of the society.
(iii) Government of India presented Zero Base Budgeting in 1987-88.

(i) Common market is established through trade pacts.
(ii)  A group formed by countries within a geographical area to promote duty free trade and free movement of labour and capital among its members.

(i) According to Adam Smith, the basis of international trade was absolute cost advantage.
(ii) To Ricardo the basis of trade is comparative cost advantage.
(iii) Trade can take place even if the absolute cost difference is absent but there is comparative cost difference.

(i) SLR is the amount which a bank has to keep with itself in the form of cash, gold or approved securities.
(ii) CRR is the proportion of deposits which the bank has to keep with RBI in the form of cash.

(i) The value of the monetary unit is directly linked with a certain weight of gold.
(ii) The purchasing power of a unit of money is maintained equal to the value of a fixed weight of gold.

It is the proportion of total income that the consumers save rather the spend on goods.

(i) Invention and innovations lead to the adoption of new techniques.
(ii) So existing workers are retrenched.
(iii) This is called technological unemployment.
(iv) It is due to the use of labour saving devices.

An Economy is refered to any system or area where economic activities are carried out.