McqMate
101. |
Pick the odd one out: |
A. | real national income |
B. | ni at constant price |
C. | ni at current prices |
D. | ni at base year price |
Answer» C. ni at current prices |
102. |
GDP deflator is given by: |
A. | nominal ni/real ni |
B. | nominal dgp/real gdp |
C. | nominal gdp/ nominal gnp |
D. | real gdp/real gnp |
Answer» B. nominal dgp/real gdp |
103. |
Value of output minus intermediate consumption is: |
A. | depreciation |
B. | value added |
C. | net value added |
D. | net exports |
Answer» B. value added |
104. |
Personal income minus personal taxes is: |
A. | national income |
B. | private income |
C. | disposable income |
D. | per capita income |
Answer» C. disposable income |
105. |
National income is a --------variable. |
A. | flow |
B. | stock |
C. | static |
D. | dynamic |
Answer» A. flow |
106. |
In India, National income is estimated at: |
A. | current prices |
B. | constant prices |
C. | both current and constant prices |
D. | none of these |
Answer» C. both current and constant prices |
107. |
Which of the following is true: |
A. | gdp is a geographical concept |
B. | gdp is not a geographical concept |
C. | gdp and gnp are same |
D. | none of them |
Answer» A. gdp is a geographical concept |
108. |
GNP measured in terms of current market prices is called: |
A. | nominal gnp |
B. | real gnp |
C. | both |
D. | none |
Answer» A. nominal gnp |
109. |
In India, the current base year is: |
A. | 1980-81 |
B. | 1993-94 |
C. | 1999-2000 |
D. | 2004-05 |
Answer» D. 2004-05 |
110. |
Which of the following doest not include in the group? |
A. | gdp |
B. | gnp |
C. | gva |
D. | ndp |
Answer» D. ndp |
111. |
The term “Classical Economics” was first used by: |
A. | j.m. keynes |
B. | adam smith |
C. | karl marx |
D. | david ricardo |
Answer» C. karl marx |
112. |
Who is the leader of the Classical school? |
A. | thomas robert malthus |
B. | j.s. mill |
C. | david ricardo |
D. | adam smith. |
Answer» D. adam smith. |
113. |
The core of classical economists is: |
A. | effective demand |
B. | employment |
C. | say’s law of market |
D. | socialism |
Answer» C. say’s law of market |
114. |
‘Law of Market’ is attributed to: |
A. | j.s. mill |
B. | j.b. say |
C. | alfred marshall |
D. | a.c. pigou |
Answer» B. j.b. say |
115. |
The Classicals adopted ---------policy: |
A. | governmental policy |
B. | laissez-faire |
C. | policy of restriction |
D. | none of these |
Answer» B. laissez-faire |
116. |
According to Classicals, full employment is a: |
A. | rare phenomenon |
B. | normal phenomenon |
C. | abnormal phenomenon |
D. | none of these |
Answer» B. normal phenomenon |
117. |
According to the Classical economists, general over production is: |
A. | possible |
B. | impossible |
C. | both |
D. | none |
Answer» B. impossible |
118. |
According to the Classical economists, savings and investments are: |
A. | always unequal |
B. | always equal |
C. | never equal |
D. | sometimes equal |
Answer» B. always equal |
119. |
Classical aggregate supply curve is: |
A. | perfectly elastic |
B. | perfectly inelastic |
C. | more elastic |
D. | unitary elastic |
Answer» B. perfectly inelastic |
120. |
Pick the odd one from the following: |
A. | law of market |
B. | j.b. say |
C. | full employment |
D. | j.m. keynes |
Answer» D. j.m. keynes |
121. |
According to the Classicals, investment is a function of: |
A. | saving |
B. | income |
C. | employment |
D. | rate of interest |
Answer» D. rate of interest |
122. |
“Supply creates its own demand” is called: |
A. | law of supply |
B. | law of market |
C. | law of demand |
D. | law of elasticity |
Answer» B. law of market |
123. |
Under the classical system, the equilibrium will be at: |
A. | under employment |
B. | full employment |
C. | voluntary employment |
D. | disguised unemployment |
Answer» B. full employment |
124. |
When savings exceeds the demand for savings, the rate of interest will: |
A. | rise |
B. | fall |
C. | remain constant |
D. | none of these |
Answer» B. fall |
125. |
Rate of interest will increase when the demand for saving is: |
A. | less than its supply |
B. | equal to its supply |
C. | more than its supply |
D. | less than or equal to its supply |
Answer» C. more than its supply |
126. |
In the Classical system, the role of the government is: |
A. | the highest |
B. | not at all needed |
C. | limited |
D. | important |
Answer» C. limited |
127. |
Equilibrium in the economy is settled by ---------, according to the Classicals. |
A. | centralized planning |
B. | price mechanism |
C. | both the planning and price mechanism |
D. | none of these |
Answer» B. price mechanism |
128. |
Self interest, competition, profit motive are the features of: |
A. | socialism |
B. | capitalism |
C. | marxism |
D. | mixed economy |
Answer» B. capitalism |
129. |
The Great Depression was during: |
A. | 1930s |
B. | 1920s |
C. | 1940s |
D. | 1830s |
Answer» A. 1930s |
130. |
The equilibrium price is determined by the forces of: |
A. | supply only |
B. | demand only |
C. | both demand and supply |
D. | none of these |
Answer» C. both demand and supply |
131. |
Temporary unemployment is -------------, according to the Classical economists: |
A. | impossible |
B. | permanent |
C. | possible |
D. | none of these |
Answer» C. possible |
132. |
J.B. Say was a ---------------Economist. |
A. | swedish |
B. | german |
C. | french |
D. | american |
Answer» C. french |
133. |
Pick the odd one out: |
A. | j.b. say |
B. | david ricardo |
C. | adam smith |
D. | j.m. keynes |
Answer» D. j.m. keynes |
134. |
Author of the book ‘The General Theory of Employment, Interest and Money’: |
A. | karl marxq |
B. | j.b. say |
C. | j.m. keynes |
D. | adam smith |
Answer» C. j.m. keynes |
135. |
‘The General Theory’, was published in : |
A. | 1776 |
B. | 1890 |
C. | 1936 |
D. | 1950 |
Answer» C. 1936 |
136. |
The branch of Economics that deals with economic aggregate is called: |
A. | micro economics |
B. | development economics |
C. | macro economics |
D. | welfare economics |
Answer» C. macro economics |
137. |
The central theme of Keynesian Theory is: |
A. | laissez-faire |
B. | free trade |
C. | effective demand |
D. | self interest |
Answer» C. effective demand |
138. |
Who repudiated Say’s law of market? |
A. | j.b. say |
B. | david ricardo |
C. | j.s. mill |
D. | j.m. keynes |
Answer» D. j.m. keynes |
139. |
Effective demand is that demand when: |
A. | aggregate demand is greater than aggregate supply |
B. | aggregate demand is less than aggregate supply |
C. | aggregate demand is equal to aggregate supply |
D. | all of these |
Answer» C. aggregate demand is equal to aggregate supply |
140. |
The concept of effective demand is associated with the name of: |
A. | marshall |
B. | keynes |
C. | krugman |
D. | adam smith |
Answer» B. keynes |
141. |
The proportion between total income and total consumption is called: |
A. | average propensity to consume |
B. | average propensity to save |
C. | marginal propensity to consume |
D. | marginal propensity to save |
Answer» A. average propensity to consume |
142. |
The proportion between incremental income and incremental consumption is called: |
A. | apc |
B. | aps |
C. | mpc |
D. | mps |
Answer» C. mpc |
143. |
The proportion between total income and total saving is called: |
A. | apc |
B. | aps |
C. | mpc |
D. | mps |
Answer» B. aps |
144. |
1- MPC is called: |
A. | apc |
B. | aps |
C. | mpc |
D. | mps |
Answer» D. mps |
145. |
APC + APS is equal to: |
A. | 0 |
B. | >0 |
C. | 1 |
D. | <0 |
Answer» C. 1 |
146. |
Multiplier is obtained by: |
A. | 1 – mpc |
B. | 1/1- mps |
C. | 1/1- apc |
D. | 1/1-mpc |
Answer» D. 1/1-mpc |
147. |
Exports minus imports is termed as: |
A. | net income |
B. | net imports |
C. | net exports |
D. | national income |
Answer» C. net exports |
148. |
As income increases consumption also increases, but: |
A. | proportionately |
B. | more than proportionately |
C. | less than proportionately |
D. | equally |
Answer» C. less than proportionately |
149. |
The expected return on investment is called: |
A. | marginal propensity to save |
B. | marginal propensity to consume |
C. | marginal revenue |
D. | marginal efficiency of investment |
Answer» D. marginal efficiency of investment |
150. |
Marginal efficiency of investment curve is: |
A. | slopping downwards |
B. | slopping upwards |
C. | parallel to x axis |
D. | parallel to y axis |
Answer» A. slopping downwards |
151. |
According to Keynes, unemployment is due to: |
A. | deficiency of capital |
B. | deficiency of labour |
C. | deficiency of education |
D. | deficiency in effective demand |
Answer» D. deficiency in effective demand |
152. |
“In the long run, we are all dead”. Who said this? |
A. | keynes |
B. | adam smith |
C. | karl marx |
D. | david ricardo |
Answer» A. keynes |
153. |
According to Keynes, investment is a function of: |
A. | rate of interest |
B. | rate of profit |
C. | rate of mei |
D. | mei and rate of interest |
Answer» D. mei and rate of interest |
154. |
Keynes believed in : |
A. | full employment equilibrium |
B. | under employment equilibrium |
C. | both |
D. | none |
Answer» B. under employment equilibrium |
155. |
According to Keynes, wages and prices are: |
A. | rigid |
B. | flexible |
C. | variable |
D. | automatic |
Answer» A. rigid |
156. |
In Economics, 1930s is popularly known as the period of: |
A. | great battle |
B. | great depression |
C. | industrial revolution |
D. | great devide |
Answer» B. great depression |
157. |
Keynes strongly argued for: |
A. | free trade |
B. | non-intervention of government |
C. | laissez-faire |
D. | governmental intervention |
Answer» D. governmental intervention |
158. |
Consumption expenditure directly varies with: |
A. | savings |
B. | investment |
C. | disposable income |
D. | rate of interest |
Answer» C. disposable income |
159. |
An important issue of macro economics is the determination of: |
A. | consumption |
B. | production |
C. | utility |
D. | income and employment |
Answer» D. income and employment |
160. |
Pick the odd one: |
A. | aggregate demand |
B. | effective demand |
C. | j.m. keynes |
D. | law of market |
Answer» D. law of market |
161. |
Which of the following items does not include in the group? |
A. | consumption |
B. | investment |
C. | rate of interest |
D. | net exports |
Answer» C. rate of interest |
162. |
If marginal propensity to consume is 0.8, the value of multiplier will be: |
A. | 1 |
B. | 2.5 |
C. | 5 |
D. | 2 |
Answer» C. 5 |
163. |
Who is known as the father of Modern Economics? |
A. | adam smith |
B. | j.m.keynes |
C. | robinson |
D. | ricardo |
Answer» A. adam smith |
164. |
Goods without which people can not live are called: |
A. | comforts |
B. | luxuries |
C. | necessaries |
D. | none |
Answer» C. necessaries |
165. |
The problem of what to produce is a problem of: |
A. | distribution |
B. | technological choice |
C. | consumption |
D. | allocation of resources |
Answer» D. allocation of resources |
166. |
Those things that possess both utility and scarcity are called: |
A. | economic goods |
B. | free goods |
C. | intermediate goods |
D. | luxuries |
Answer» A. economic goods |
167. |
If a worker specializes in the production of a single good, it is called: |
A. | product based division of labour |
B. | process based division of labour |
C. | worker based division of labour |
D. | none of these |
Answer» A. product based division of labour |
168. |
Goods produced for use in future productive process are called: |
A. | intermediate goods |
B. | final goods |
C. | consumer goods |
D. | capital goods |
Answer» D. capital goods |
169. |
In a horizontal straight line demand curve, the price elasticity of demand is: |
A. | unity |
B. | infinity |
C. | zero |
D. | less than one |
Answer» B. infinity |
170. |
Who wrote the article Laws of Returns Under Competitive Conditions? |
A. | joan robinson |
B. | e.h. chamberlin |
C. | a.c. pigou |
D. | p. sraffa |
Answer» D. p. sraffa |
171. |
Increase in output less than proportional to increase in inputs is called: |
A. | increasing returns |
B. | constant returns |
C. | diminishing returns |
D. | marginal returns |
Answer» C. diminishing returns |
172. |
A simplified representation of a real situation is called: |
A. | theory |
B. | hypotheses |
C. | evidence |
D. | economic model |
Answer» D. economic model |
173. |
When marginal product reaches its maximum, what can be said of total product? |
A. | total product must be at its maximum |
B. | total product starts to decline even if marginal product is positive |
C. | total product is increasing if marginal product is still positive |
D. | total product levels off |
Answer» C. total product is increasing if marginal product is still positive |
174. |
When a firm doubles its inputs and finds that its output has more than doubled, this is known as: |
A. | economies of scale. |
B. | constant returns to scale. |
C. | diseconomies of scale. |
D. | a violation of the law of diminishing returns. |
Answer» A. economies of scale. |
175. |
When average product is at a maximum, marginal product is: |
A. | zero |
B. | increasing |
C. | equal to average product |
D. | greater than average product |
Answer» C. equal to average product |
176. |
The want satisfying power of a commodity: |
A. | satisfaction |
B. | utility |
C. | value |
D. | marginal utility |
Answer» B. utility |
177. |
Supply curve represents -------- relationship between quantity and price. |
A. | direct |
B. | inverse |
C. | either direct or inverse |
D. | none of the above |
Answer» A. direct |
178. |
Laws of return shows ---------production function. |
A. | short-term |
B. | medium term |
C. | long term |
D. | annual |
Answer» A. short-term |
179. |
In classical theory the level of employment is a function of: |
A. | price level |
B. | money wage rate |
C. | quantity of money |
D. | real wage rate |
Answer» D. real wage rate |
180. |
Consumption of capital good in the process of production is called as: |
A. | capital consumption |
B. | depreciation |
C. | decay of capital |
D. | none of the above |
Answer» B. depreciation |
181. |
Economic Laws are: |
A. | statement of tendencies |
B. | exact and predictable |
C. | definite |
D. | none |
Answer» A. statement of tendencies |
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