economics MCQs – Page 372

Practise multiple-choice questions from economics for competitive examinations and subject revision. Review each marked answer and report any item that may be outdated or unclear.

economics Mcqs

1. the national economy 2. profit maximizing under perfect competition and monopoly 3. application of economics 4. the aggregate demand aggregate supply model 5. surplus 6. money interest rates and output 7. average and total cost 8. stabilization adjustment reform and privatization 9. risks and diversification efficient market hypothesis 10. the phillips curve 11. supply and demand 12. capital formation investment choice information technology and technical progress 13. aggregate supply unemployment and inflation 14. elasticity 15. comparative gdp 16. roots of modern macroeconomics 17. production factors 18. poverty malnutrition and income inequality 19. trade regulations and industrial policies 20. monetary union 21. exchange rate systems and currency crises 22. economic development in historical perspective 23. exchange rate determination 24. monopoly competition 25. the balance of payments 26. inflation productivity 27. macroeconomic issues and analysis 28. employment migration and urbanization 29. macroeconomic policy tools 30. supply side policies 31. exchange rate adjustments and the balance of 32. miscellaneous 33. taxation 34. trade policies for the developing nations 35. markets efficiency and the public interest 36. the external debt and financial crises 37. budget deficits and the trade balance 38. alternative theories of the firm 39. public goods 40. the meaning and measurement of economic development 41. characteristics and institutions of developing countries 42. agriculture irrigation system of pakistan 43. education health and human capital 44. economic problems of developing countries 45. theories of economic development 46. basic of economics 47. consumer theory vs real consumers 48. applied microeconomics 49. long term economic growth 50. externality internality 51. fiscal and monetary policy 52. prices wages taxes 53. balance of payments aid and foreign investment 54. international factor movements and multinational corporations 55. entrepreneurship organization and innovation 56. the international economy and globalization 57. population and development 58. non tariff trade barriers 59. foundations of modern trade theory 60. global economic development 61. market 62. rural poverty and agricultural transformation 63. regional trading arrangements 64. foreign exchange 65. introduction to economics 66. world economy miscellaneous 67. sources of comparative advantage 68. natural resources and the environment toward sustainable development 69. monopoly 70. asymmetric information 71. income inequality 72. labour market 73. tariffs 74. development planning and policy making the state and the market 75. oligopoly 76. industrial development 77. costs supply and perfect competition 78. human capital 79. monetary fiscal and incomes policy and inflation 80. stocks

7421. Which of the following is regarded as a factor of production ?
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A. None of these

B. Profit

C. Interest

D. Capital

7422. Which branch of accounting provides information to help the management of a firm evaluate production costs and efficiency ?
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A. Cost Accounting

B. Outcome risk

C. Efficient Account

D. Ultra-country economic risk

7423. Reduction in the circulation of money resulting from fall of prices is known as ?
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A. cost

B. inflation

C. cost effective

D. deflation

7424. Consumption spending does not include ?
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A. Households payment of rent for an apartment

B. Households purchases of food

C. Households purchase of a car

D. Households purchase of stock in any XYZ corporation

7425. Theory of comparative advantages was presented by ?
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A. Barron

B. Hicks

C. Adam Smith

D. Ricardo

7426. An exchange arrangement was formed in 1979 that governs the currencies of European union member countries. What this arrangement called ?
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A. Common Monetary System (CMS)

B. European Currency System (ECS)

C. European Monetary Fund (EMF)

D. European Monetary Mechanism (EMM)

7427. What is called that market in which supply overwhelms demand ?
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A. Deflated market

B. Weak market

C. Bearish market

D. Depressed market

7428. Term the average income of the people of a country during a year ?
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A. National income

B. Per capita Income

C. Domestic income

D. Protection Income

7429. Which of the following is known as foreign exchange ?
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A. Transaction of International monetary business

B. Negotiable bills drawn in one country to be paid in another country

C. Both of them

D. None of them

7430. Which company holds the world record for having the maximum number of shareholders ?
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A. State Bank

B. General Motors

C. Reliance Industries Ltd.

D. British Gas

7431. Rules and Particles that govern the management of an organization are called ?
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A. Character

B. By laws

C. Internal laws

D. Memorandum of articles

7432. What occurs when a firms business is terminated Assets are sold, proceeds are used to pay creditors, and any leftovers are distributed to shareholders ?
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A. Bankruptcy

B. Crash

C. Liquidation

D. Solvency

7433. When a commercial bank creates credit its immediate effect is that it raises__________________?
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A. The interest rates

B. The exchange rates

C. The money supplies

D. The real national income

7434. Term the shared of profits of a joint stock company ?
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A. Profit-share

B. Dividend

C. Share

D. Margin

7435. What is called when a private company first offers shares to the public market and investors ?
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A. Coming public

B. going public

C. Public floating

D. Public offering

7436. Which of the following is an example of government policy that could reduce inflation ?
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A. increasing import duties

B. increasing bank lending

C. None of these

D. reducing government expenditure

7437. What term is given to unemployment caused by a downturn in the business cycle ?
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A. Cyclical unemployment

B. Disguised unemployment

C. Temporary unemployment

D. Underemployment

7438. National Income is essentially composed of ?
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A. Income derived from taxes by the central government

B. All income of the people on a year

C. All wealth of a nation

D. Annual Income of the central government

7439. Which of the following is a form of international reserve assets, created by IMF in 1967 whose value is based on a portfolio of widely used currencies ?
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A. IMF Drawing Rights (SDR)

B. Sure, Drawing Rights (SDR)

C. International Drawing Right (IDR)

D. Special Drawing Right (SDR)

7440. If GNP of Pakistan rises. it will encourage ?
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A. None

B. Imports

C. Exports

D. Both

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