Understanding the key concepts of Class 7 Social Science Chapter 12 – Understanding Markets is crucial for exam success. To make your revision easier, we have created chapterwise mcq questions with Answers for class 7 Social Science based on the latest syllabus and exam pattern. It is a part of MCQ Questions for CBSE Class 7 Social Science Series.
These multiple-choice questions will help you assess your knowledge, improve accuracy, and boost confidence for your exams. Whether you are preparing for school tests, online tests or competitive exams, these Understanding Markets MCQs will strengthen your conceptual clarity.
| Chapter | Understanding Markets |
| Book | Exploring Society: India and Beyond |
| Type of Questions | MCQ Questions |
| Nature of Questions | Competency Based Questions |
| Board | CBSE |
| Class | 7 |
| Subject | Social Science |
| Useful for | Class 7 Studying Students |
| Answers provided | Yes |
| Difficulty level | Mentioned |
| Important Link | Class 7 Social Science Chapterwise MCQ Questions |
MCQ Questions on Understanding Markets Class 7 Social Science – Exploring Society
MCQs
Q1. What is a market according to the textbook?
(a) A place to relax
(b) A place where people vote
(c) A place where buying and selling of goods and services occur
(d) A government office
Show Answer
Answer: (c)
Explanation: A market is defined as a place where people engage in the exchange of goods and services.
Q2. What is the most important feature of a market transaction?
(a) Number of products
(b) Decoration
(c) Agreement on price between buyer and seller
(d) Location of the market
Show Answer
Answer: (c)
Explanation: A market transaction happens only when both buyer and seller agree on the price of a good or service.
Q3. What does the term ‘negotiation’ mean in the context of markets?
(a) Reading books
(b) Discussing unrelated topics
(c) Bargaining to settle on a mutually acceptable price
(d) Ignoring the seller
Show Answer
Answer: (c)
Explanation: Negotiation is a dialogue between buyer and seller to settle on a price both can agree to.
Q4. Why are vegetables cheaper late at night in a weekly market?
(a) They are fresher
(b) Buyers are less
(c) Sellers want to clear perishable stock
(d) It’s a tradition
Show Answer
Answer: (c)
Explanation: Sellers often lower prices late in the day to quickly sell perishable items before they spoil.
Q5. What is an ‘aggregator’ in online markets?
(a) A delivery person
(b) A shopkeeper
(c) A platform that collects goods from sellers and sells them to consumers
(d) A government officer
Show Answer
Answer: (c)
Explanation: Aggregators are online platforms or apps that combine products from different sellers and sell them to consumers.
Q6. What kind of market is ‘Ima Keithal’ in Manipur?
(a) A mall
(b) A market run exclusively by women
(c) A digital market
(d) A vegetable mandi
Show Answer
Answer: (b)
Explanation: Ima Keithal is a unique market in Imphal where all shops are run by women.
Q7. What is the function of a wholesaler?
(a) Consumes products
(b) Manufactures goods
(c) Buys in bulk from producers and sells to retailers
(d) Makes online payments
Show Answer
Answer: (c)
Explanation: Wholesalers purchase large quantities from producers and distribute to retailers.
Q8. What does the government use to protect consumers from high prices?
(a) Street protests
(b) Price control policies
(c) Import bans
(d) Closing markets
Show Answer
Answer: (b)
Explanation: The government can set minimum and maximum prices for essential goods to protect consumers and producers.
Q9. What does the FSSAI mark indicate?
(a) Food is expensive
(b) Food is homemade
(c) Food meets safety standards
(d) Food is only for export
Show Answer
Answer: (c)
Explanation: FSSAI ensures that food items meet the safety and quality standards set by the government.
Q10. Why are BEE STAR ratings important for electronic items?
(a) Show popularity
(b) Represent price
(c) Indicate energy efficiency
(d) Indicate manufacturing location
Show Answer
Answer: (c)
Explanation: BEE STAR ratings indicate how energy-efficient an appliance is — the more stars, the better the efficiency.
Q11. What is the main difference between a weekly market and a shopping mall?
(a) Weekly markets are cleaner
(b) Malls have only vegetable vendors
(c) Malls have permanent shops, weekly markets are temporary
(d) Weekly markets only sell imported goods
Show Answer
Answer: (c)
Explanation: Weekly markets are set up temporarily, while malls consist of permanent shops and infrastructure.
Q12. What is MRP?
(a) Market Rate per Product
(b) Maximum Retail Price
(c) Minimum Rate of Purchase
(d) Mall Retail Policy
Show Answer
Answer: (b)
Explanation: MRP is the highest price at which a product can be sold to a customer, printed on packaged goods.
Q13. How do producers benefit from online markets?
(a) High rent costs
(b) Larger customer base without middlemen
(c) Low visibility
(d) Limited payment options
Show Answer
Answer: (b)
Explanation: Online platforms allow producers to reach more consumers directly, reducing intermediary costs.
Q14. What does the Consumer Protection Act ensure?
(a) Sellers’ monopoly
(b) No price control
(c) Protection of consumer rights
(d) MRP is ignored
Show Answer
Answer: (c)
Explanation: This act ensures consumers are not exploited and have the right to safety, information, and redressal.
Q15. What is an informal market?
(a) Government-controlled
(b) Online only
(c) Unregistered sellers working without formal licenses
(d) Inside corporate offices
Show Answer
Answer: (c)
Explanation: Informal markets include roadside vendors and temporary stalls not registered with authorities.
Q16. Why do rural haats still exist in India?
(a) For large-scale industries
(b) Because of mobile apps
(c) They serve as traditional, convenient, low-cost markets
(d) Because cities are nearby
Show Answer
Answer: (c)
Explanation: Rural haats are community-centric and affordable, meeting local needs especially where formal markets are scarce.
Q17. Which of the following is NOT a right of the consumer?
(a) Right to information
(b) Right to be heard
(c) Right to cheat
(d) Right to safety
Show Answer
Answer: (c)
Explanation: Consumers have the right to safety, information, and redressal — not to cheat others.
Q18. What is one major advantage of digital marketplaces?
(a) Cannot track purchases
(b) Difficult to compare prices
(c) Access to wide range of sellers and products
(d) Only available to vendors
Show Answer
Answer: (c)
Explanation: Online markets allow buyers to compare, choose, and order from various sellers conveniently.
Q19. What is the function of packaging in a market system?
(a) Make products heavier
(b) Increase confusion
(c) Protects goods, displays information, builds brand identity
(d) Helps spoil items faster
Show Answer
Answer: (c)
Explanation: Packaging protects the product, provides legal and nutritional info, and helps consumers identify brands.
Q20. How can students be responsible consumers?
(a) By ignoring expiry dates
(b) By avoiding bills
(c) By checking labels and reporting unethical practices
(d) By hoarding
Show Answer
Answer: (c)
Explanation: Students can practice consumer rights by making informed choices and speaking up when treated unfairly.
We hope the given mcq questions with Answers for Understanding Markets Class 7 helps you in your learning.
Also check
- Understanding Markets – Class 7 Social Science Chapter 12 MCQ Questions with Answers | Exploring Society Book
- From Barter to Money – Class 7 Social Science Chapter 11 MCQ Questions with Answers | Exploring Society Book
- The Constitution of India – An Introduction – Class 7 Social Science Chapter 10 MCQ Questions with Answers | Exploring Society Book
- From the Rulers to the Ruled: Types of Governments – Class 7 Social Science Chapter 9 MCQ Questions with Answers | Exploring Society Book
- How the Land Becomes Sacred – Class 7 Social Science Chapter 8 MCQ Questions with Answers | Exploring Society Book
- The Gupta Era: An Age of Tireless Creativity – Class 7 Social Science Chapter 7 MCQ Questions with Answers | Exploring Society Book
- The Age of Reorganisation – Class 7 Social Science Chapter 6 MCQ Questions with Answers | Exploring Society Book
- The Rise of Empires – Class 7 Social Science Chapter 5 MCQ Questions with Answers | Exploring Society Book
- New Beginnings: Cities and States – Class 7 Social Science Chapter 4 MCQ Questions with Answers | Exploring Society Book
- Climates of India – Class 7 Social Science Chapter 3 MCQ Questions with Answers | Exploring Society Book
- Understanding the Weather – Class 7 Social Science Chapter 2 MCQ Questions with Answers | Exploring Society Book
- Geographical Diversity of India – Class 7 Social Science Chapter 1 MCQ Questions with Answers | Exploring Society Book
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Topics from which mcq questions may be asked
- Markets and types
- Local and national trade
- Role of buyers and sellers
Markets are where exchange, trust, and society meet.
Frequently Asked Questions (FAQs) on Understanding Markets MCQ Questions
Q1: Why should I practice Class 7 Social Science Chapter 12 MCQs?
A1: Practicing MCQs helps in quick revision, improves problem-solving speed, and enhances conceptual understanding of important topics in Class 7 Social Science.
Q2: Are these Class 7 Social Science MCQs based on the latest syllabus?
A2: Yes, all the MCQs are designed as per the latest CBSE syllabus and exam pattern to help students prepare effectively.
Q3: Where can I find more MCQs for Class 7 Social Science?
A3: You can find more chapter-wise MCQs on our website. These are designed to cover important concepts and prepare you for exams.
Q4: Are the answers provided for all MCQs?
A4: Yes, each MCQ is accompanied by the correct answer and explanations to help students understand and learn better.
Q5: How can I improve my performance in Class 7 Social Science MCQs?
A5: To improve your performance, practice regularly, revise key concepts, and take mock tests to assess your knowledge.
Q6: Do these MCQs help in school exams?
A6: Yes, these MCQs are aligned with school exam patterns and help in scoring well by strengthening conceptual clarity.
Q7: Can I download these MCQs for offline practice?
A7: Yes, you can download or print these MCQs for convenient offline practice.
