Economics Quiz:
In economics, it is generally believed that the main objective of a bank, is to
(a) Employ more and more people
(b) Maximize total profits
(c) Maximize total production
(d) Provide financial services to the people across the country
Sellers market denotes a situation where
(a) Commodities are available at competitive rates
(b) Demand exceeds supply
(c) Supply exceeds demand
(d) Supply and demand are equal
To achieve high rates of growth of national output, the economy has to
(a) Reduce the rate of growth of population
(b) Borrow foreign capital
(c) Step up the rate of savings
(d) Increase the rate of investment and reduce the capital output ratio
What is TWI?
(a) Trade Weighted Index
(b) Trans World Incorporation
(c) Trending While Intransigent
(d) Taxation World Index
The fundamental cause for the collapse of the Bretton woods system was:
(a) Liquidity problem
(b) The Adjustment problem
(c) The Confidence problem
(d) All of these
Development means economic growth plus
(a) Inflation
(b) Deflation
(c) Price stability
(d) Social change
Related: type of unemployment quiz
The direction of trade indicates:
(a) The nature of goods that are exported and imported
(b) The value of goods that are exported and imported
(c) The countries to which commodities are exported and the countries from which commodities are imported
(d) The terms at which exports exchanges for imports
Relative poverty is basically related with
(a) Poor
(b) Rich
(c) Both
(d) None
Seawater, fresh air, etc., are regarded in Economics as
(a) Giffen goods
(b) inferior goods
(c) free goods
(d) national goods
Which among the following countries has the maximum amount of external debt?
(a) USA
(b) Mexico
(c) Brazil
(d) Japan
Which of the following theories was given by Karl Marx ?
(a) Functional theory
(b) Evolutionary theory
(c) Theory of class struggle
(d) None of these
Related: inflation quiz questions
Mixed economy envisages:
(a) Co-existence of capitalists and labourers
(b) Integrated economic development
(c) Development of agriculture and industry simultaneously
(d) Private and Public sectors
Which of the following terms is used in Economics ?
(a) Keynesian
(b) Adsorption
(c) Affinity Matrix
(d) Gene Flow
The important objectives of the development of cooperative sector are:
(a) Prevention of concentration of economic power
(b) Wider dispersal of ownership of productive resources
(c) Active involvement of people in the development programmes
(d) all of these
Which of the following terms is not used in Economics ?
(a) Demand and Supply
(b) Ad Valoram Tax
(c) Break even
(d) HIV positive
Related: Countries and Currencies
Who is called the Father of Economics?
(a) Nelson Mandela
(b) Vasco de Gama
(c) Adam Smith
(d) Niels Bohr
When too much money is chasing too few goods, the situation is __
(a) Deflation
(b) Inflation
(c) Recession
(d) Stagflation
Globalization promotes
(a) cultural industry
(b) environment
(c) economy
(d) taxes
Marx belonged to—
(a) Germany
(b) Holland
(c) France
(d) Britain
Related: economic development questions and answers
The economic development is in two ways. Which is that way?
(a) Urbanization and Industrialization
(b) Modernization and Industrialization
(c) Urbanization and Modernisation
(d) Secularism and Liberalism
The terms ‘Micro Economics’ and ‘Macro Economics’ were coined by—
(a) Alfred Marshall
(b) Ragner Nurkse
(c) Ragner Frisch
(d) J.M. Keynes
The economic doctrine Laissez faire simply means
(a) Let things alone
(b) Regulated Trade
(c) State intervention in Trade
(d) None of these
During period of inflation, tax rates should—
(a) Increase
(b) Decrease
(c) Remain constant
(d) Fluctuate
Related: managerial economics important questions and answers
As an economic doctrine, mercantilism was characterized by
(a) Control of economic activities
(b) free trade
(c) Price mechanism by demand and supply
(d) open market
‘Closed Economy’ is that economy in which ____
(a) Only export takes place
(b) Money supply is fully con-trolled
(c) Deficit financing takes place
(d) Neither export nor import takes place
The first phase of capitalism is generally known as
(a) Industrial capitalism
(b) Finance Capitalism
(c) Merchant capitalism
(d) MNC capitalism
Lack of access to financial services is technically known as
(a) Financial Instability
(b) Financial Stability
(c) Financial Inclusion
(d) Financial Exclusion
Related: International trade quiz
Money is
(a) Constant in purchasing power
(b) Acceptable only when it has intrinsic value
(c) The most Liquid of all assets
(d) None of these
Which of the following is generally free from trade barriers and where exports and imports from a large percentage of GDP ?
(a) Modern Economy
(b) Open Economy
(c) Closed Economy
(d) Macro Economics
Who is the father of capitalism?
(a) Adam Smith
(b) Vladimir Lenin
(c) Jean-Jacques Rousseau
(d) Martin Luther King Jr
GDP in a country is usually calculated by
(a) International Monetary Fund
(b) System of National Accounts
(c) Finance Minister
(d) National Statistical Agency
Related: What is account payee Cheque?
Economic activities, though, are grouped into different categories are highly
(a) independent
(b) autonomous
(c) unconnected
(d) interdependent
WTO prescribes export subsidies as:
(a) Competition
(b) Unfair competition
(c) Monopolistic competition
(d) Exploitation
Demand in Economics means
(a) Aggregate demand
(b) Market demand
(c) individual demand
(d) Demand backed by purchasing power
Each member of IMF is assigned a quota expressed in:
(a) Member country’s currency
(b) Dollar
(c) Special Drawing Rights
(d) None of the above
Related: World Capital quiz
The market value of all final goods and services produced and/or made with the geographical boundaries of a country in a year is known as __
(a) Gross Domestic Product
(b) Gross National Saving
(c) Gross Fiscal Deficit
(d) Gross Domestic Capital Formation
Industrial Revolution first began in
(a) Germany
(b) England
(c) Italy
(d) France
Generally people engaged in which activity face seasonal and disguised unemployment?
(a) Agriculture
(b) Manufacturing
(c) Construction
(d) Service
Which among the following is not an impact of Unemployment?
(a) Wastage of manpower resources
(b) Increase in economic overload
(c) Hamper the overall growth of an economy
(d) Increase in per capita income
What happens when an economy goes in the grip of ‘recession’ ?
1. GDP growth slows down.
2. People lose their jobs.
3. Foreign exchange reserve goes up substantially as lot of loans/grants start pouring in.
(a) Only 1
(b) Only 2
(c) Only 3
(d) Only 1 and 2
Related: Quadratic equation quizzes
Gross domestic product is a measure of _
(a) A country’s international economic activities
(b) A country’s domestic economic activities
(c) A country’s financial position
(d) A country’s industrial output
The norms of behaviors which satisfy the requirements of social rationality of economic activity are established by
(a) positive economics
(b) normative economics
(c) business economics
(d) mathematical economics
Under perfect competition, supply curve is identified as which one of the following?
(a) rising portion of marginal cost curve
(b) rising portion of average total cost curve
(c) rising portion of average variable cost curve
(d) portion of marginal cost curve above the average variable cost curve
Paper currency is known as ‘fiat money’
(a) because only a fraction of total currency is in coins
(b) because it is decreed legal tender
(c) because it cannot be used as payment for debts
(d) none of these
