Basics Of Economics Set 6
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This set of Basics of Economics Multiple Choice Questions & Answers (MCQs) focuses on Basics Of Economics Set 6
Q1 | In the Classical system, the role of the government is:
- the highest
- not at all needed
- limited
- important
Q2 | Equilibrium in the economy is settled by ---------, according to theClassicals.
- centralized planning
- price mechanism
- both the planning and price mechanism
- none of these
Q3 | Self interest, competition, profit motive are the features of:
- socialism
- capitalism
- marxism
- mixed economy
Q4 | The Great Depression was during:
- 1930s
- 1920s
- 1940s
- 1830s
Q5 | The equilibrium price is determined by the forces of:
- supply only
- demand only
- both demand and supply
- none of these
Q6 | Temporary unemployment is -------------, according to the Classicaleconomists:
- impossible
- permanent
- possible
- none of these
Q7 | J.B. Say was a ---------------Economist.
- swedish
- german
- french
- american
Q8 | Pick the odd one out:
- j.b. say
- david ricardo
- adam smith
- j.m. keynes
Q9 | Author of the book ‘The General Theory of Employment, Interest andMoney’:
- karl marxq
- j.b. say
- j.m. keynes
- adam smith
Q10 | ‘The General Theory’, was published in :
- 1776
- 1890
- 1936
- 1950
Q11 | The branch of Economics that deals with economic aggregate is called:
- micro economics
- development economics
- macro economics
- welfare economics
Q12 | The central theme of Keynesian Theory is:
- laissez-faire
- free trade
- effective demand
- self interest
Q13 | Who repudiated Say’s law of market?
- j.b. say
- david ricardo
- j.s. mill
- j.m. keynes
Q14 | Effective demand is that demand when:
- aggregate demand is greater than aggregate supply
- aggregate demand is less than aggregate supply
- aggregate demand is equal to aggregate supply
- all of these
Q15 | The concept of effective demand is associated with the name of:
- marshall
- keynes
- krugman
- adam smith
Q16 | The proportion between total income and total consumption is called:
- average propensity to consume
- average propensity to save
- marginal propensity to consume
- marginal propensity to save
Q17 | The proportion between incremental income and incrementalconsumption is called:
- apc
- aps
- mpc
- mps
Q18 | The proportion between total income and total saving is called:
- apc
- aps
- mpc
- mps
Q19 | 1- MPC is called:
- apc
- aps
- mpc
- mps
Q20 | APC + APS is equal to:
- 0
- >0
- 1
- <0
Q21 | Multiplier is obtained by:
- 1 – mpc
- 1/1- mps
- 1/1- apc
- 1/1-mpc
Q22 | Exports minus imports is termed as:
- net income
- net imports
- net exports
- national income
Q23 | As income increases consumption also increases, but:
- proportionately
- more than proportionately
- less than proportionately
- equally
Q24 | The expected return on investment is called:
- marginal propensity to save
- marginal propensity to consume
- marginal revenue
- marginal efficiency of investment
Q25 | Marginal efficiency of investment curve is:
- slopping downwards
- slopping upwards
- parallel to x axis
- parallel to y axis