McqMate
These multiple-choice questions (MCQs) are designed to enhance your knowledge and understanding in the following areas: Bachelor of Arts in Political Science (BA political science) , Union Public Service Commission (UPSC) , Indian Administrative Service (IAS) .
| 101. |
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 | |
| 102. |
National Income means: |
| A. | GNP at Factor Cost |
| B. | GNP at Market Price |
| C. | NNP at Factor Cost |
| D. | NNP at market Price |
| Answer» C. NNP at Factor Cost | |
| 103. |
The difference between GDP and NDP equals: |
| A. | Transfer payments |
| B. | Net indirect taxes |
| C. | Net factor income from abroad |
| D. | Depreciation |
| Answer» D. Depreciation | |
| 104. |
Which of the following is true? |
| A. | GNP + Depreciation = NNP |
| B. | GNP = GDP + Net factor income from abroad |
| C. | NDP = GNP minus net indirect taxes |
| D. | NNP = DGP minus depreciation |
| Answer» B. GNP = GDP + Net factor income from abroad | |
| 105. |
NNP is equal to: |
| A. | GNP plus Depreciation |
| B. | GNP minus depreciation |
| C. | GNP minus exports |
| D. | GNP plus exports |
| Answer» B. GNP minus depreciation | |
| 106. |
Which of the following is not a method of national income estimation? |
| A. | Matrix method |
| B. | Income method |
| C. | Expenditure method |
| D. | Product method |
| Answer» A. Matrix method | |
| 107. |
An accounting year in India is: |
| A. | Calendar year |
| B. | Academic year |
| C. | Fiscal year |
| D. | None of these |
| Answer» C. Fiscal year | |
| 108. |
Increase in real National Income (NI) means increase in: |
| A. | NI at current prices |
| B. | NI at constant prices |
| C. | Both |
| D. | None of these |
| Answer» B. NI at constant prices | |
| 109. |
Net indirect taxes means: |
| A. | Indirect taxes plus subsidies |
| B. | Income minus taxes |
| C. | Indirect taxes minus subsidies |
| D. | Exports minus imports |
| Answer» C. Indirect taxes minus subsidies | |
| 110. |
Net factor income from abroad shows the difference between: |
| A. | GDP and NDP |
| B. | NNP and NDP |
| C. | GNP and GDP |
| D. | GNP and NNP |
| Answer» C. GNP and GDP | |
| 111. |
Per capita income is equal to: |
| A. | Population/National income |
| B. | National income/population |
| C. | National income/GDP |
| D. | NNP/GNP |
| Answer» B. National income/population | |
| 112. |
National income in India is estimated by: |
| A. | RBI |
| B. | NSSO |
| C. | CSO |
| D. | World Bank |
| Answer» C. CSO | |
| 113. |
The first estimate of National income in India was done by: |
| A. | K.N. Raj |
| B. | V.K.R.V. Rao |
| C. | Dadabai Naoroji |
| D. | P.C. Mahalanobis |
| Answer» C. Dadabai Naoroji | |
| 114. |
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 | |
| 115. |
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 | |
| 116. |
Wear and tear of capital due to constant use means: |
| A. | Intermediate consumption |
| B. | Final consumption |
| C. | Depreciation |
| D. | Devaluation |
| Answer» C. Depreciation | |
| 117. |
Value of output minus intermediate consumption is: |
| A. | Depreciation |
| B. | Value added |
| C. | Net value added |
| D. | Net exports |
| Answer» B. Value added | |
| 118. |
Personal income minus personal taxes is: |
| A. | National Income |
| B. | Private income |
| C. | Disposable income |
| D. | Per capita income |
| Answer» C. Disposable income | |
| 119. |
Primary sector includes: |
| A. | Agriculture |
| B. | Industry |
| C. | Services |
| D. | Banking |
| Answer» A. Agriculture | |
| 120. |
National income is a --------variable. |
| A. | Flow |
| B. | Stock |
| C. | Static |
| D. | Dynamic |
| Answer» A. Flow | |
| 121. |
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 | |
| 122. |
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 | |
| 123. |
GNP measured in terms of current market prices is called: |
| A. | Nominal GNP |
| B. | Real GNP |
| C. | Both |
| D. | None |
| Answer» A. Nominal GNP | |
| 124. |
In India, the current base year is: |
| A. | 1980-81 |
| B. | 1993-94 |
| C. | 1999-2000 |
| D. | 2004-05 |
| Answer» D. 2004-05 | |
| 125. |
Which of the following doest not include in the group? |
| A. | GDP |
| B. | GNP |
| C. | GVA |
| D. | NDP |
| Answer» D. NDP | |
| 126. |
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 | |
| 127. |
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. | |
| 128. |
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 | |
| 129. |
‘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 | |
| 130. |
The Classicals adopted ---------policy: |
| A. | Governmental policy |
| B. | Laissez-faire |
| C. | Policy of restriction |
| D. | None of these |
| Answer» B. Laissez-faire | |
| 131. |
According to Classicals, full employment is a: |
| A. | Rare phenomenon |
| B. | Normal phenomenon |
| C. | Abnormal phenomenon |
| D. | None of these |
| Answer» B. Normal phenomenon | |
| 132. |
According to the Classical economists, general over production is: |
| A. | Possible |
| B. | Impossible |
| C. | Both |
| D. | None |
| Answer» B. Impossible | |
| 133. |
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 | |
| 134. |
Wages and prices are ----------, according to the Classicals. |
| A. | Rigid |
| B. | Flexible |
| C. | Both |
| D. | All of these |
| Answer» B. Flexible | |
| 135. |
Classical aggregate supply curve is: |
| A. | Perfectly elastic |
| B. | Perfectly inelastic |
| C. | More elastic |
| D. | Unitary elastic |
| Answer» B. Perfectly inelastic | |
| 136. |
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 | |
| 137. |
According to the Classicals, investment is a function of: |
| A. | Saving |
| B. | Income |
| C. | Employment |
| D. | Rate of Interest |
| Answer» D. Rate of Interest | |
| 138. |
“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 | |
| 139. |
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 | |
| 140. |
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 | |
| 141. |
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 | |
| 142. |
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 | |
| 143. |
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 | |
| 144. |
Say’s Law of market was proved wrong by: |
| A. | Industrial revolution |
| B. | Great Depression |
| C. | Green revolution |
| D. | Gulf war |
| Answer» B. Great Depression | |
| 145. |
Self interest, competition, profit motive are the features of: |
| A. | Socialism |
| B. | Capitalism |
| C. | Marxism |
| D. | Mixed economy |
| Answer» B. Capitalism | |
| 146. |
The Great Depression was during: |
| A. | 1930s |
| B. | 1920s |
| C. | 1940s |
| D. | 1830s |
| Answer» A. 1930s | |
| 147. |
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 | |
| 148. |
Temporary unemployment is -------------, according to the Classical economists: |
| A. | Impossible |
| B. | Permanent |
| C. | Possible |
| D. | None of these |
| Answer» C. Possible | |
| 149. |
J.B. Say was a ---------------Economist. |
| A. | Swedish |
| B. | German |
| C. | French |
| D. | Americal |
| Answer» C. French | |
| 150. |
Pick the odd one out: |
| A. | J |
| B. | Say B. David Ricardo |
| C. | Adam Smith |
| D. | J.M. Keynes |
| Answer» D. J.M. Keynes | |
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