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MCQ on Economics & Law
Macro Economics is Based on General equilibrium analysis which
is an extensive study of number of economic variables, their
____________ and _____________for understanding the working
of the economic system as a whole
a) interrelations and interdependence
b) internal and external
c) interdependence and external
d) interrelations and internal
What is the sequence of Phases Business cycle?
• Prosperity ,Depression , Recession, peak
• Recovery , Prosperity , Recession ,Depression
• Recession ,Prosperity , Depression , Recovery
• Trough , Recession, prosperity , Peak
A State intervention took place due to which
of the correct reasons
• increase in private and social goods,rise in advertisement,increase in
divergence between private cost
• rise of monopolies,increase in private and social goods, rise in
advertisement,increase in divergence between private cost and social
cost
• increase in diversion between private and social goods,rise of
monopolies ,rise in advertisement,increase in divergence between
private cost and social cost
• rise in advertisement,increase in private cost and social cost,increase in
divergence between private cost
In Business Cycle revival or lower turning point
means?
• trough
• Prosperity
• Recovery
• peak
Business cycle are seasonal fluctuations such as
upswings in retail trade during Diwali or Christmas.
• Yes
• No
• Maybe
• parsley correct
Hindering Foreign Capital to invest in Indian
market
• to increase in foreign investment
• to decrease in foreign investment
• to make difficult
• to motivate to invest
According to Friedman definition increase in quantity
of money than output is only the factor affecting
inflation.
• True
• False
• No, there are other factor such as natural calamities
• No, there are other factor such as international finance
Which is correct in respect to inflation
• Rise in supply of commodity
• Rise in general price index
• Rise in Industrial goods
• Rise in consumer goods
_____________ Inflation is caused by wage
increases enforced by unions and profit increases
by employers
•Demand -Push
•Cost -Push
•Demand -pull
•supply-Push
A study which includes national Income ,
Economic growth ,Business cycle , economic
policies, is ______________
• Micro Economics
• macro economics
• Mixed Economics
• Capitalistic economy
When did the Great Depression hit the United
States?
•2007
•1929
•1936
•2001
When credit expands ,it raises the money income
of the borrowers which ,in turn ,raises aggregate
demand relative to supply ,there by leading to
inflation. This concept is known as____________
•cost -Induced inflation
•demand induced inflation
•credit induced inflation
•supply induced inflation
If a company in manufacturing more luxury goods
as compared to consumer goods than it a
____________ type of production.
•large-sided Production
•small sided production
•medium -sided production
•Lop-sided production
What is the Equation in inflation theory
•MV = PY
•MZ = MQ
•MV = PZ
•AV = AQ
According to Keynes C+G+I in his inflation
theory is ,________________
• Increase in consumer ,increase in private Expenditure,
Increase in Private investment
• Increase in Private consumption ,increase in
government Expenditure, Increase in Private
investment
• Decrease in Expenditure, Increase in Private
investment, increase in government
• Increase in production ,increase in government
Expenditure, Increase in public investment
When the money supply increases by a certain
percentage the price levels will also decrease by
an equal percentage
•True
•false
•very correct
•can't say
What does FMCG stands for
•fresh movable consumer goods
•Fast movable Consumer goods
•fair Manufactured Consumer goods
•Fixed moved consumer goods
Inflation is beneficial for whom
•Creditor
•Debtors
•manufacturer
•Supplier
When government is not able to pay expenses
they start printing notes it creates
•Walking inflation
•deficit -induced inflation
•creeping inflation
•Running inflation

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Mcq economics1.docx

  • 2. Macro Economics is Based on General equilibrium analysis which is an extensive study of number of economic variables, their ____________ and _____________for understanding the working of the economic system as a whole a) interrelations and interdependence b) internal and external c) interdependence and external d) interrelations and internal
  • 3. What is the sequence of Phases Business cycle? • Prosperity ,Depression , Recession, peak • Recovery , Prosperity , Recession ,Depression • Recession ,Prosperity , Depression , Recovery • Trough , Recession, prosperity , Peak
  • 4. A State intervention took place due to which of the correct reasons • increase in private and social goods,rise in advertisement,increase in divergence between private cost • rise of monopolies,increase in private and social goods, rise in advertisement,increase in divergence between private cost and social cost • increase in diversion between private and social goods,rise of monopolies ,rise in advertisement,increase in divergence between private cost and social cost • rise in advertisement,increase in private cost and social cost,increase in divergence between private cost
  • 5. In Business Cycle revival or lower turning point means? • trough • Prosperity • Recovery • peak
  • 6. Business cycle are seasonal fluctuations such as upswings in retail trade during Diwali or Christmas. • Yes • No • Maybe • parsley correct
  • 7. Hindering Foreign Capital to invest in Indian market • to increase in foreign investment • to decrease in foreign investment • to make difficult • to motivate to invest
  • 8. According to Friedman definition increase in quantity of money than output is only the factor affecting inflation. • True • False • No, there are other factor such as natural calamities • No, there are other factor such as international finance
  • 9. Which is correct in respect to inflation • Rise in supply of commodity • Rise in general price index • Rise in Industrial goods • Rise in consumer goods
  • 10. _____________ Inflation is caused by wage increases enforced by unions and profit increases by employers •Demand -Push •Cost -Push •Demand -pull •supply-Push
  • 11. A study which includes national Income , Economic growth ,Business cycle , economic policies, is ______________ • Micro Economics • macro economics • Mixed Economics • Capitalistic economy
  • 12. When did the Great Depression hit the United States? •2007 •1929 •1936 •2001
  • 13. When credit expands ,it raises the money income of the borrowers which ,in turn ,raises aggregate demand relative to supply ,there by leading to inflation. This concept is known as____________ •cost -Induced inflation •demand induced inflation •credit induced inflation •supply induced inflation
  • 14. If a company in manufacturing more luxury goods as compared to consumer goods than it a ____________ type of production. •large-sided Production •small sided production •medium -sided production •Lop-sided production
  • 15. What is the Equation in inflation theory •MV = PY •MZ = MQ •MV = PZ •AV = AQ
  • 16. According to Keynes C+G+I in his inflation theory is ,________________ • Increase in consumer ,increase in private Expenditure, Increase in Private investment • Increase in Private consumption ,increase in government Expenditure, Increase in Private investment • Decrease in Expenditure, Increase in Private investment, increase in government • Increase in production ,increase in government Expenditure, Increase in public investment
  • 17. When the money supply increases by a certain percentage the price levels will also decrease by an equal percentage •True •false •very correct •can't say
  • 18. What does FMCG stands for •fresh movable consumer goods •Fast movable Consumer goods •fair Manufactured Consumer goods •Fixed moved consumer goods
  • 19. Inflation is beneficial for whom •Creditor •Debtors •manufacturer •Supplier
  • 20. When government is not able to pay expenses they start printing notes it creates •Walking inflation •deficit -induced inflation •creeping inflation •Running inflation