Determination of Income and Employment — Economics STD 12 Humanities & Commerce — Question

Contraction of demand is the result of:

1. Decrease in the number of consumers.
2. Increase in the price of goods concerned.
3. Increase in the prices of other goods.
4. Decrease in the income of purchasers.

A government shows a primary deficit of 10,000 crore. The revenue expenditure on interest payment is 8000 crore. How much is the fiscal deficit?

1. 8000 crore.
2. 18000 crore.
3. 1000 crore.
4. 8000 crore.

Demand of a commodity depends upon _______:

1. Price.
2. Income.
3. Price of related good.
4. All of these.

Pension payment is an example of:

1. Plan Expenditure.
2. Revenue Expenditure.
3. Capital Expenditure.
4. Non-Plan Expenditure.

There are only a few sellers under.

1. Perfect competition.
2. Monopolistic competition.
3. Monopoly.
4. Oligopoly.

______ are the important tools of macroeconomic studies.

1. Demand and supply.
2. Aggregate demand and aggregate supply.
3. Exports and imports.
4. All of the above.

All of the following items are determinants of demand except:

1. Tastes and preferences.
2. Quantity supplied.
3. Income.
4. Price of related goods.

An increase in the supply of a good is caused by:

1. Improvements in its technology.
2. Fall in the prices of other goods.
3. Fall in the prices of factors of production.
4. All of them.

Increasing returns is applicable because of ___________.

1. Increased efficiency of variable factor.
2. Fuller utilisation of fixed factor.
3. Indivisibility of factors.
4. Both (a) and (b).

How could an oligopolist increase his output without changing price?

1. Reduce output.
2. Reduce marketing efforts.
3. Through non price competition.
4. Reduce costs.