MCQ 11 MarkWithdrawal of income from circular flow of income$, e.g.$ savings, is known as:✓Leakage.BInjection.CCredit.DFinance.AnswerCorrect option: A. Leakage.View full question & answer→
MCQ 21 MarkWhich of the following is not an example of depreciation?AA plant producing rubber shoes becomes obsolete when demand shift from rubber shoes to leather shoes.BA plant producing black and white televisions becomes obsolete when technology is discovered to produce colour televeisions.✓Fall in the market value of the assets during the period of economic recession.DFall in the value of your school building.AnswerCorrect option: C. Fall in the market value of the assets during the period of economic recession.View full question & answer→
MCQ 31 Mark_______ refers to the flow of money across different sectors of the economy.AReal flow.BCircular flow.✓Money flow.DBoth (a) and (c).AnswerCorrect option: C. Money flow.Money flow refers to the flow of money across different sectors of the economy.View full question & answer→
MCQ 41 MarkThe goods which are ready to be used by the producers, are called ______.AFinal goods.BConsumer goods.CProducer goods.✓Both (a) and (c).AnswerCorrect option: D. Both (a) and (c).The goods which are ready to be used by the producers, are called both (a) and (c).View full question & answer→
MCQ 51 MarkWhich is not a characteristic of a service?AIntangibility.BVariability.CInseparability.✓Imperishability.AnswerCorrect option: D. Imperishability.View full question & answer→
MCQ 61 MarkGross Investment = Net Investment + ______.ANet Indirect Tax.BReserve.✓Depreciation.DNone of these.AnswerCorrect option: C. Depreciation.Gross Investment = Net Investment + Depreciation.View full question & answer→
MCQ 71 Mark_______ is addition to the stock of fixed assets of producers during an accounting year.ACurrent investment.✓Fixed investment.CInventory investment.DGross investment.AnswerCorrect option: B. Fixed investment.Fixed investment is addition to the stock of fixed assets of producers during an accounting year.View full question & answer→
MCQ 81 MarkWhen households and firms borrow from the financial market, they constitute ______.ALeakage.BFlow.✓Injection.DNone of these.AnswerCorrect option: C. Injection.When households and firms borrow from the financial market, they constitute injection.View full question & answer→
MCQ 91 MarkWhich of the following sector is engaged in consumption of goods and services and also provide factor services?✓Household sector.BProduction.CGovernment sector.DRest of the World.AnswerCorrect option: A. Household sector.View full question & answer→
MCQ 101 MarkThe process of adding to physical stock of capital is known as:AInvestment.BSavings.CCapital formation.✓Both $(a)$ and $(c).$AnswerCorrect option: D. Both $(a)$ and $(c).$View full question & answer→
MCQ 111 MarkWhich is$/$are the main problem$(s)$ addressed in macroeconomics?ADetermination of output of a firm.BDetermination of price of a product.✓Determination of income and employment level in the economy.DAll of the above.AnswerCorrect option: C. Determination of income and employment level in the economy.View full question & answer→
MCQ 121 MarkBuilding, plant and machinery are capital goods. In the light of this statement, following are the characteristics of capital goods excluding:AThey are of high value.BThey are the assets of the company.✓They are used for less than one year.DThey are used in production process.AnswerCorrect option: C. They are used for less than one year.View full question & answer→
MCQ 131 MarkWhich of the following is a Macroeconomic study?✓Government budget and economy.BPrice determination of a commodity.CProducer's equilibrium.DConsumer's equilibrium.AnswerCorrect option: A. Government budget and economy.View full question & answer→
MCQ 141 MarkWhat is the time period of the Great Depression?AFrom $1921$ to $1925$BFrom $1941$ to $1951$✓From $1929$ to $1933$DNone of these.AnswerCorrect option: C. From $1929$ to $1933$View full question & answer→
MCQ 151 Mark______ capital formation leads to lower rate of GDP growth.✓Lower.BConstant.CHigher.DNone of these.AnswerCorrect option: A. Lower.Lower capital formation leads to lower rate of GDP growth.View full question & answer→
MCQ 161 MarkWhich of the following are studied in Macroeconomics?✓National income.BPrice determination of a commodity.CBehavior of firms.DActivities of individual units.AnswerCorrect option: A. National income.View full question & answer→
MCQ 171 MarkThe study of macroeconomics deals with which of the following questions of an economy? Will prices as a whole rise or come down? Is the employment condition of country getting better or is it worsening? What steps can the government take to improve condition of the economy? Codes:ABoth $I$ and $II$BBoth $II$ and $III$COnly $II$✓All of these.AnswerCorrect option: D. All of these.View full question & answer→
MCQ 181 MarkThe goods used by manufacturer like tools, equipment and plant, etc are known as:AManufactured goods.BIntermediate goods.✓Final producer goods.DAll of the above.AnswerCorrect option: C. Final producer goods.View full question & answer→
MCQ 191 MarkWhich variables are defined as any quantity measured at a particular point of time?✓Stock.BFlow.CInvestment.DInventory.AnswerCorrect option: A. Stock.View full question & answer→
MCQ 201 MarkMacroeconomics is also called ______ economics.AExperimental.BApplied.✓Aggregated.DIndividual.AnswerCorrect option: C. Aggregated.Macroeconomics is also called aggregated economics.View full question & answer→
MCQ 211 MarkCircular flow in two sector economy includes:AProduct market.BFactor market.CGold market.✓Both $(a)$ and $(b).$AnswerCorrect option: D. Both $(a)$ and $(b).$View full question & answer→
MCQ 221 Mark_______ of the goods is the principle basis of classifying the goods into intermediate and final goods.AProduction.BConsumption.✓End-use.DExpenditure.AnswerCorrect option: C. End-use.End-use of the goods is the principle basis of classifying the goods into intermediate and final goods.View full question & answer→
MCQ 231 MarkWhich concept is known as the study of aggregates?AMicroeconomics.✓Macroeconomics.CMarket demand.DAggregate demand.AnswerCorrect option: B. Macroeconomics.View full question & answer→
MCQ 241 MarkIn $1936,$ macroeconomics become a separate branch of economics after a book published by:AAdam Smith.B$J.B.$ Say.✓John Maynard Keynes.DAlfred Marshall.AnswerCorrect option: C. John Maynard Keynes.View full question & answer→
MCQ 251 MarkIn a circular flow of income, ______ acts as intermediate between household and firms to facilitate savings and borrowings.✓Financial market.BGoods market.CGold market.DAll of these.AnswerCorrect option: A. Financial market.In a circular flow of income, financial market acts as intermediate between household and firms to facilitate savings and borrowings.View full question & answer→
MCQ 261 Mark_______ is a fund created by the producers to meet the upcoming depreciation losses in the process of production.ACapital reserve fund.✓Depreciation reserve fund.CShare reserve fund.DNone of the above.AnswerCorrect option: B. Depreciation reserve fund.Depreciation reserve fund is a fund created by the producers to meet the upcoming depreciation losses in the process of production.View full question & answer→
MCQ 271 MarkThe individuals or institutions which take decisions regarding consumption, production, budget, taxation, policy, etc are known as:AProducers.BConsumers.CGovernment.✓All of these.AnswerCorrect option: D. All of these.View full question & answer→