Basic Of Economics MCQs

Option A: Relative Advantage

Option B: Complete Advantage

Option C: Comparative Edge

Option D: Comparative Advantage

Correct Answer: Comparative Advantage ✔

Option A: Business Crop

Option B: Cash crop

Option C: Money Crop

Option D: Earning Crop

Correct Answer: Cash crop ✔

Option A: Net assets

Option B: Assets

Option C: Holdings

Option D: Capital

Correct Answer: Capital ✔

Option A: free exchange of money

Option B: exchange of services

Option C: exchange of goods and services

Option D: None of them

Correct Answer: exchange of goods and services ✔

Option A: Malaysia

Option B: China

Option C: Russia

Option D: USA

Correct Answer: Malaysia ✔

Option A: Tin

Option B: Silver

Option C: Aluminum

Option D: Gold

Correct Answer: Silver ✔

Option A: Rubber

Option B: Manganese’s

Option C: Rice

Option D: Gold

Correct Answer: Rice ✔

Option A: Manganese

Option B: Rubber

Option C: Gold

Option D: Silver

Correct Answer: Manganese ✔

Option A: Iron Ore

Option B: Wheat

Option C: Both of these

Option D: None of these

Correct Answer: Both of these ✔

Option A: Mexico

Option B: USA

Option C: Brazil

Option D: Australia

Correct Answer: Brazil ✔

Option A: USA

Option B: Britain

Option C: France

Option D: Germany

Correct Answer: USA ✔

Option A: Value of all economic activity within nation’s border

Option B: Economic output of a country

Option C: Economic activity of federal government

Option D: None of these

Correct Answer: A. Value of all economic activity within nation’s border ✔

Option A: Charging an asset amount to expense of loss

Option B: To forget

Option C: To withdraw

Option D: None of these

Correct Answer: Charging an asset amount to expense of loss ✔

Option A: Wealth tax

Option B: Withholding tax

Option C: Income tax

Option D: None of these

Correct Answer: Withholding tax ✔

Option A: End benefit

Option B: Trickle down

Option C: Free market

Option D: Capitalism

Correct Answer: Trickle down ✔

Option A: A bond with a longer time to maturity

Option B: A certificate of deposit whose principal is payable at maturity

Option C: A certificate of deposit with a shorter time to maturity

Option D: certificate of deposit with a longer time to maturity

Correct Answer: A certificate of deposit whose principal is payable at maturity ✔

Option A: Baby company

Option B: Child company

Option C: Small holding

Option D: Subsidiary

Correct Answer: Child company ✔

Option A: Local currency

Option B: Cold currency

Option C: Lime currency

Option D: Soft currency

Correct Answer: Soft currency ✔

Option A: Reserve currency

Option B: Hot currency

Option C: Pegged currency

Option D: Hard currency

Correct Answer: Reserve currency ✔

Option A: Redemption

Option B: Guarantee

Option C: Repo

Option D: Repurchase arrangements

Correct Answer: Repo ✔

Option A: Liquidator

Option B: Solicitor

Option C: Receiver

Option D: Agent

Correct Answer: Receiver ✔

Option A: Solid asset

Option B: Unmovable property

Option C: Real estate

Option D: Property

Correct Answer: Real estate ✔

Option A: Mutual arrangement

Option B: Quid Pro quo

Option C: Bilateral arrangement

Option D: common interest

Correct Answer: Quid Pro quo ✔

Option A: Total amount of money being borrowed or lent

Option B: Party affected by agent decision in a principal agent relationship

Option C: Both of them

Option D: None of them

Correct Answer: Both of them ✔

Option A: Domestic risk

Option B: Political risk

Option C: National risk

Option D: Country risk

Correct Answer: Political risk ✔

Option A: Grey market

Option B: Over-the counter (OTC)

Option C: Open market

Option D: Back market

Correct Answer: Over-the counter (OTC) ✔

Option A: Oligopoly

Option B: Monopoly

Option C: Oligopsony

Option D: Grey market

Correct Answer: Oligopoly ✔

Option A: National Association of Securities Dealers Automatic Quotation system (Nasdaq)

Option B: New York Stock Exchange

Option C: Wall Street

Option D: Nikkei Stock Average

Correct Answer: National Association of Securities Dealers Automatic Quotation system (Nasdaq) ✔

Option A: Hard Leaf

Option B: Maple Leaf

Option C: Green Leaf

Option D: Gold Leaf

Correct Answer: Maple Leaf ✔

Option A: Liquid asset

Option B: Solid asset

Option C: Hard asset

Option D: None of these

Correct Answer: Liquid asset ✔

Option A: kickback

Option B: Commission

Option C: Bribe

Option D: Graft

Correct Answer: kickback ✔

Option A: Demand draft

Option B: Draft

Option C: Invoice

Option D: Bill of Intent

Correct Answer: Invoice ✔

Option A: Public Offering

Option B: First Public Offering

Option C: Initial Public Offering (IPO)

Option D: Going Public

Correct Answer: Public Offering ✔

Option A: Mother company

Option B: Father company

Option C: Holding company

Option D: joint company

Correct Answer: Holding company ✔

Option A: Common fund

Option B: Stock fund

Option C: Growth fund

Option D: Capital growth fund

Correct Answer: Growth fund ✔

Option A: Golden bonus

Option B: Golden shake hand

Option C: Friendly handshake

Option D: Golden handshake

Correct Answer: Golden handshake ✔

Option A: Infrastructure

Option B: Basic structure

Option C: Fundamentals

Option D: Basic infrastructure

Correct Answer: Infrastructure ✔

Option A: Fixed Direct Investment

Option B: Foreign Direct Investment (FDI)

Option C: Foreign Investment

Option D: Remote Foreign Investment

Correct Answer: Foreign Direct Investment (FDI) ✔

Option A: Pegged exchange rate

Option B: Floating exchange rate

Option C: Liberal exchanged rate

Option D: Open exchange rate

Correct Answer: Floating exchange rate ✔

Option A: Unmovable asset

Option B: Fixed property

Option C: Production line

Option D: Fixed asset

Correct Answer: Fixed asset ✔

Option A: Exchange Rate Mechanism (ERM)

Option B: Exchange Rate Equilibrium

Option C: Exchange Rate Balance

Option D: None of the above

Correct Answer: Exchange Rate Mechanism (ERM) ✔

Option A: Eurobank

Option B: Foreign bank

Option C: International Bank

Option D: Multinational Bank

Correct Answer: Foreign bank ✔

Option A: Charity funds

Option B: Attached funds

Option C: Endowment funds

Option D: Investment fund

Correct Answer: Endowment funds ✔

Option A: Production & Supply

Option B: Demand push Supply

Option C: Demand & Supply

Option D: Demand pull supply

Correct Answer: Demand & Supply ✔

Option A: Duty

Option B: Custom

Option C: Rebut

Option D: Drawback

Correct Answer: Drawback ✔

Option A: Lead to freer market

Option B: Lead to a more efficient marketplace

Option C: Both of them

Option D: None of them

Correct Answer: Both of them ✔

Option A: Demand curve theory

Option B: Cost-push inflation

Option C: Demand-pull inflation

Option D: Demand push inflation

Correct Answer: Demand-pull inflation ✔

Option A: Budget deficit

Option B: Deficient financing

Option C: Unbalanced spending

Option D: Deficit spending

Correct Answer: Deficit spending ✔

Option A: Debt retirement

Option B: Debt relief

Option C: Debt service

Option D: Payback

Correct Answer: Debt service ✔

Option A: Debt blast

Option B: Debt bomb

Option C: Bad debt

Option D: None of them

Correct Answer: Debt bomb ✔

Option A: Daisy chain

Option B: Illusion

Option C: False market

Option D: Manipulated market

Correct Answer: Manipulated market ✔

Option A: National economic risk

Option B: Country economic risk

Option C: Country finance risk

Option D: Foreign exchange risk

Correct Answer: Country finance risk ✔

Option A: Consortium

Option B: Pool

Option C: Incorporation

Option D: Conglomerate

Correct Answer: Consortium ✔

Option A: Conglomerate

Option B: Multinational

Option C: giant

Option D: Incorporation

Correct Answer: Conglomerate ✔

Option A: Savior

Option B: Company doctor

Option C: Super manager

Option D: Manager doctor

Correct Answer: Manager doctor ✔

Option A: Night Price

Option B: Closing Price

Option C: End price

Option D: Final price

Correct Answer: Closing Price ✔

Option A: Profit tax

Option B: Capital gains tax

Option C: Excise duty

Option D: Capital tax

Correct Answer: Capital gains tax ✔

Option A: A big company

Option B: Stock market

Option C: Joint-stock

Option D: A multinational company

Correct Answer: Stock market ✔

Option A: Call price

Option B: Bid price

Option C: Term Price

Option D: Future Price

Correct Answer: Call price ✔

Option A: Short-positioning

Option B: Buyback

Option C: Drawback

Option D: None of them

Correct Answer: Buyback ✔

Option A: Management

Option B: Board of Governor

Option C: Top brass

Option D: Board of Directors

Correct Answer: Board of Directors ✔

Option A: Open bond

Option B: Blank bond

Option C: Term bond

Option D: Bearer bond

Correct Answer: Bearer bond ✔

Option A: Bid

Option B: Offer price

Option C: Quote price

Option D: None of these

Correct Answer: Bid ✔

Option A: Market with upward and stock prices.

Option B: Market with a prolonged period of falling stock prices

Option C: A very big market

Option D: A very big industrial market

Correct Answer: Market with a prolonged period of falling stock prices ✔

Option A: Checking

Option B: Audit

Option C: Stock-taking

Option D: Accounting

Correct Answer: Audit ✔

Option A: A currency substitutes

Option B: Coins

Option C: De-valued currency

Option D: Silver

Correct Answer: A currency substitutes ✔

Option A: Value addition

Option B: Excise

Option C: Value added

Option D: Tax on stage

Correct Answer: Value added ✔

Option A: Employed only part time when one needs full time employment

Option B: Inadequately employed

Option C: Note fully used or employed

Option D: All of them

Correct Answer: All of them ✔

Option A: Insignia

Option B: Patent mark

Option C: Trade Mark

Option D: Identification mark

Correct Answer: Trade Mark ✔

Option A: Income from export

Option B: Difference between imports and exports

Option C: Income from imports

Option D: All of them

Correct Answer: Difference between imports and exports ✔

Option A: Application of science to achieve a commercial or industrial objective

Option B: Application of modern science in the country

Option C: Science based know low

Option D: All of these

Correct Answer: Application of science to achieve a commercial or industrial objective ✔

Option A: Prudent development

Option B: Sustainable development

Option C: Managed economy

Option D: None of these

Correct Answer: Sustainable development ✔

Option A: Cost push theory

Option B: Supply and Demand theory

Option C: Fundamental theory

Option D: Ricardo’s theory

Correct Answer: Supply and Demand theory ✔

Option A: Share holding

Option B: Stake

Option C: Partnership

Option D: None of these

Correct Answer: Stake ✔

Option A: Communism

Option B: Socialism

Option C: Capitalism

Option D: Authoritarianism

Correct Answer: Socialism ✔

Option A: Levied on the retail price of merchandise and collected by retailer

Option B: Tax deducted at source

Option C: Tax on local produce

Option D: Tax on gross sale

Correct Answer: Levied on the retail price of merchandise and collected by retailer ✔

Option A: Royalty

Option B: Rent

Option C: Share

Option D: Intellectual royalty

Correct Answer: Royalty ✔

Option A: Sending of money to someone at distance

Option B: The sum of money sent

Option C: Both of them

Option D: None of them

Correct Answer: Both of them ✔

Option A: Purchasing power

Option B: Income level

Option C: Gross purchasing power

Option D: Purchasing power parities (PPP)

Correct Answer: Purchasing power ✔

Option A: Registering

Option B: Going public

Option C: Debuting

Option D: Public offering

Correct Answer: Public offering ✔

Option A: Formal summary of proposed project

Option B: Document describing chief features of something for participants

Option C: Both of them

Option D: None of them

Correct Answer: Both of them ✔

Option A: Price competition

Option B: Price support

Option C: Price war

Option D: Price battle

Correct Answer: Price war ✔

Option A: Price index

Option B: Price indexing

Option C: Price fixing

Option D: Price choosing

Correct Answer: Price index ✔

Option A: Real value

Option B: Net value

Option C: Par value

Option D: Gross value

Correct Answer: Par value ✔

Option A: Grands

Option B: Official Development Assistance (ODA)

Option C: Foreign aid

Option D: Friendly aid

Correct Answer: Official Development Assistance (ODA) ✔

Option A: National debt

Option B: Public debt

Option C: Both of them

Option D: None of them

Correct Answer: Both of them ✔

Option A: Conveyance of property as security for debt

Option B: Conveyance of company security for debt

Option C: Guarantee for debt

Option D: Assurance of debt repayment

Correct Answer: Conveyance of property as security for debt ✔

Option A: Encroachment

Option B: Monotony

Option C: Unipolarity

Option D: Monopoly

Correct Answer: Monopoly ✔

Option A: small units, including individual companies and small group of consumers

Option B: Economics of homes

Option C: Economics of stock market

Option D: Economics of provinces

Correct Answer: small units, including individual companies and small group of consumers ✔

Option A: Rise in the price of an item for sale

Option B: An amount added to cost price in calculating selling price

Option C: Both of them

Option D: All of them

Correct Answer: Both of them ✔

Option A: Limited company

Option B: Incorporation

Option C: Cooperative

Option D: Corporation

Correct Answer: Limited company ✔

Option A: to make queue

Option B: items are removed in inverse order

Option C: turn by turn

Option D: make space for new production

Correct Answer: items are removed in inverse order ✔

Option A: Letter of intent

Option B: Letter of Credit

Option C: Letter of Expression

Option D: Papers of Landing

Correct Answer: Letter of intent ✔

Option A: Free market economy

Option B: Laissez faire also Laisser faire

Option C: Open market economy

Option D: Liberal market economy

Correct Answer: Laissez faire also Laisser faire ✔

Option A: Market Economy

Option B: Harvard Group

Option C: Keynesian

Option D: London Group

Correct Answer: Keynesian ✔

Option A: Payment made for the use of another person’s money

Option B: payment made for the use of bank’s money

Option C: Share in profit

Option D: Devaluation in the currency

Correct Answer: A. Payment made for the use of another person’s money ✔

Option A: Security against damages loss, or injury

Option B: A legal exemption from liability for damages

Option C: Compensation for damages loss, or injury suffered

Option D: All of these

Correct Answer: All of these ✔

Option A: Hinterland

Option B: Country land

Option C: Dependent land

Option D: Parasite land

Correct Answer: Hinterland ✔

Option A: Gross Domestic Product (GOP)

Option B: Gross National output (GNO)

Option C: Gross National Product (GNP)

Option D: Gross National output

Correct Answer: Gross National Product (GNP) ✔

Option A: God standard system

Option B: Gold based system

Option C: Bullion standard system

Option D: None of the above

Correct Answer: God standard system ✔