Economics MCQs

Option A: Financial assistance given by one person or government to another

Option B: Financial assistance given to poor people

Option C: Financial assistance given to aged people

Option D: Financial assistance given to small companies

Correct Answer: Financial assistance given by one person or government to another ✔

Option A: Idealism

Option B: Blind game

Option C: Speculation

Option D: Risk covering

Correct Answer: Speculation ✔

Option A: Economics assistance provided by social security

Option B: Economic assistance to persons who faced unemployment, disability of agedness, financed by assessment of employers and employees

Option C: Both a & b

Option D: Nor a nor b

Correct Answer: Both a & b ✔

Option A: Holdings

Option B: Reserves

Option C: Foreign currency

Option D: Treasure

Correct Answer: Reserves ✔

Option A: Power to buy foreign currency

Option B: Foreign currency holding

Option C: Ratio at which unit of one country’s currency is exchanged for unit of another country currency

Option D: None of them

Correct Answer: C. Ratio at which unit of one country’s currency is exchanged for unit of another country currency ✔

Option A: Public corporations

Option B: Central and local government.

Option C: Nationalized industries

Option D: All of them

Correct Answer: All of them ✔

Option A: Domestication

Option B: Protectionism

Option C: Localization

Option D: National interest

Correct Answer: Protectionism ✔

Option A: Promissory Note (PN)

Option B: Note of hand

Option C: Both of them

Option D: None of them

Correct Answer: Both of them ✔

Option A: To increase price artificially

Option B: Maintenance of price through public subsidy or government intervention

Option C: To enhance price

Option D: To maintain price at specific level

Correct Answer: Maintenance of price through public subsidy or government intervention ✔

Option A: Unlawful agreement between manufacturers to set and maintain specified price on typically competing products

Option B: Artificial setting of price of commodity by government

Option C: Both of them

Option D: None of them

Correct Answer: Both of them ✔

Option A: In which economists control production

Option B: In which production and distribution of wealth is under government’s control

Option C: In which technocrats control production

Option D: In which government controls distribution

Correct Answer: B. In which production and distribution of wealth is under government’s control ✔

Option A: Open door market

Option B: Open door country

Option C: Open sky market

Option D: Free economy

Correct Answer: Open door market ✔

Option A: National income

Option B: Public income

Option C: Local income

Option D: Gross income

Correct Answer: National income ✔

Option A: combine fund

Option B: Mutual fund

Option C: Liquid fund

Option D: Stock holding company

Correct Answer: Mutual fund ✔

Option A: Multinational corporation

Option B: Multinational company

Option C: Both of them

Option D: None of them

Correct Answer: Both of them ✔

Option A: Farming practice of growing a single crop

Option B: Homogeneous Nations

Option C: Homogeneous market

Option D: Homogeneous business

Correct Answer: Farming practice of growing a single crop ✔

Option A: Market Economy

Option B: Free Market

Option C: Both of them

Option D: None of them

Correct Answer: Both of them ✔

Option A: Macroeconomics

Option B: Gross economics

Option C: Mega economics

Option D: Micro economics

Correct Answer: Macroeconomics ✔

Option A: To convert assets into cash

Option B: Abolish

Option C: Both of them

Option D: All of them

Correct Answer: Both of them ✔

Option A: The free market

Option B: Gold standard

Option C: Laissez faire

Option D: All of these

Correct Answer: All of these ✔

Option A: letter of Credit

Option B: Letter of expression

Option C: Demand draft

Option D: Letter of intent

Correct Answer: letter of Credit ✔

Option A: Labor force

Option B: Labor potential

Option C: Work force

Option D: All of them

Correct Answer: Labor force ✔

Option A: List of stock a company own

Option B: List of assets of a corporation

Option C: Total obligation of a firm

Option D: An evaluation or a survey, as of abilities or resources

Correct Answer: An evaluation or a survey, as of abilities or resources ✔

Option A: Increase in the amount of circulating money

Option B: Lowering of purchasing power

Option C: Decrease in the amount of circulation money

Option D: None of the above

Correct Answer: Increase in the amount of circulating money ✔

Option A: Hyperinflation

Option B: Ultra-inflation

Option C: A cute inflation

Option D: Super inflation

Correct Answer: Hyperinflation ✔

Option A: Any currency backed by gold or silver bullion rather than credit

Option B: Stable currency value of which does not fluctuate greatly

Option C: Both of them

Option D: None of them

Correct Answer: Both of them ✔

Option A: Grey market

Option B: White market

Option C: Red market

Option D: Open market

Correct Answer: Grey market ✔

Option A: Generic

Option B: Forged goods

Option C: Contraband

Option D: Clean goods

Correct Answer: Generic ✔

Option A: Open trade

Option B: Free trade

Option C: Open sky trade

Option D: Easy trade

Correct Answer: Free trade ✔

Option A: Where no export duties are levied

Option B: Where no import duties are levied

Option C: Where no expert or import duties are levied

Option D: Where everything can be import or export

Correct Answer: Where no expert or import duties are levied ✔

Option A: Four Dragons

Option B: Little Tigers

Option C: Four Tigers

Option D: All of these

Correct Answer: Four Tigers ✔

Option A: Transaction of International monetary business

Option B: Negotiable bills drawn in one country to be paid in another country

Option C: Both of them

Option D: None of them

Correct Answer: Both of them ✔

Option A: Confiscation

Option B: Bankruptcy

Option C: Forfeiture

Option D: Debenture

Correct Answer: Forfeiture ✔

Option A: Fiscal period

Option B: Calendar year

Option C: Year unit

Option D: Fiscal year (FY)

Correct Answer: Fiscal year (FY) ✔

Option A: Military system

Option B: Land based system

Option C: Feudal system

Option D: Rural system

Correct Answer: Feudal system ✔

Option A: A tax levied on certain articles produced and consumed in a country

Option B: A licensing charge or a fee levied for certain privileges

Option C: Both of these

Option D: None of the above

Correct Answer: Both of these ✔

Option A: The market value of securities less any debt incurred and common stock and preferred stock

Option B: Funds provided to a business by the sale of stock

Option C: Both of them

Option D: None of them

Correct Answer: Both of them ✔

Option A: Embargo

Option B: Contraband

Option C: Ban

Option D: Restriction

Correct Answer: Embargo ✔

Option A: sale of goods in large quantities with high quality

Option B: Scale of goods in large quantities with low quality

Option C: Scale of goods in large quantities and at low price

Option D: Scale of goods in large quantities with High price

Correct Answer: Scale of goods in large quantities and at low price ✔

Option A: Nikki Index

Option B: NASDAQ

Option C: Dow Jones Index

Option D: Major Index

Correct Answer: Dow Jones Index ✔

Option A: Share

Option B: Profit-share

Option C: Dividend

Option D: Margin

Correct Answer: Dividend ✔

Option A: Demurrage

Option B: Penalty

Option C: Charges

Option D: Fine

Correct Answer: Demurrage ✔

Option A: Devolution

Option B: Devaluation

Option C: Price cap

Option D: Cut-rate

Correct Answer: Devaluation ✔

Option A: Demand push

Option B: Demand pulls

Option C: Cost pull

Option D: Demand supply

Correct Answer: Demand pulls ✔

Option A: Debt Payment

Option B: Service Charges

Option C: Debt Charges

Option D: Debt service

Correct Answer: Debt service ✔

Option A: Decreased production costs drive prices up

Option B: Decreased production costs drive prices down

Option C: increased production costs drive prices down

Option D: increased production costs drive prices up

Correct Answer: increased production costs drive prices up ✔

Option A: Free adjustment

Option B: Cost effective adjustment

Option C: Comparative adjustment

Option D: Cost of living adjustment

Correct Answer: Cost of living adjustment ✔

Option A: Cost of living

Option B: Basic requirement

Option C: Cost of life

Option D: None of the above

Correct Answer: Cost of living ✔

Option A: Property right

Option B: Sole right

Option C: Copyright

Option D: Right

Correct Answer: Copyright ✔

Option A: Human Development Index (HDI)

Option B: Consumer Price Index (CPI)

Option C: Complete Price Index (CPI)

Option D: Comparative Price Index (CPI)

Correct Answer: Complete Price Index (CPI) ✔

Option A: Adam Smith

Option B: David Ricardo

Option C: David Smith

Option D: Adam Ricardo

Correct Answer: David Ricardo ✔

Option A: Pledge

Option B: Assurance

Option C: Collateral

Option D: Guaranty

Correct Answer: Collateral ✔

Option A: State Bank

Option B: National Bank

Option C: Both of them

Option D: None of them

Correct Answer: State Bank ✔

Option A: Business Crop

Option B: Cash crop

Option C: Money Crop

Option D: Earning Crop

Correct Answer: Cash crop ✔

Option A: Capitalism

Option B: Socialism

Option C: Free market economy

Option D: Liberalism

Correct Answer: Capitalism ✔

Option A: Money flight

Option B: Capital drain

Option C: Free flow

Option D: Capital flight

Correct Answer: Capital flight ✔

Option A: capital asset

Option B: solid asset

Option C: solid capital

Option D: Future asset

Correct Answer: capital asset ✔

Option A: Corporate Laws

Option B: Secondary Laws

Option C: By laws

Option D: Internal Laws

Correct Answer: By laws ✔

Option A: Dealer

Option B: Broker

Option C: Agent

Option D: Commission agent

Correct Answer: Broker ✔

Option A: Open value

Option B: Book value

Option C: Real value

Option D: Artificial value

Correct Answer: Book value ✔

Option A: Certificates

Option B: Sureties

Option C: Security bonds

Option D: Bond

Correct Answer: Bond ✔

Option A: Bill of Exchange BE

Option B: Bill of Lading

Option C: Bearer Cheque

Option D: None of them

Correct Answer: Bill of Exchange BE ✔

Option A: Payable to anyone

Option B: payable to person holding it

Option C: payable through account only

Option D: payable after specific period

Correct Answer: payable to person holding it ✔

Option A: Profit in a year

Option B: Statements of accounts that shows debit and credit accounts under the broad heads

Option C: Performance of a company

Option D: Accurate economic position

Correct Answer: Statements of accounts that shows debit and credit accounts under the broad heads ✔

Option A: Balance between a nation’s expenditure on imports and its receipts from exports

Option B: Total sum a state owned

Option C: Total liabilities of a nation

Option D: Shortfall in budget

Correct Answer: A. Balance between a nation’s expenditure on imports and its receipts from exports ✔

Option A: Assembly line

Option B: Production line

Option C: Both of them

Option D: None of them

Correct Answer: Both of them ✔

Option A: All wealth of a nation

Option B: Annual Income of the central government

Option C: All income of the people on a year

Option D: Income derived from taxes by the central government

Correct Answer: All income of the people on a year ✔

Option A: Monetary policy

Option B: Fiscal policy

Option C: Commercial policy

Option D: Finance policy

Correct Answer: Commercial policy ✔

Option A: Business inventory accumulate

Option B: Unemployment exists

Option C: Price of consumer goods rise

Option D: People save more than they intended to save

Correct Answer: Business inventory accumulate ✔

Option A: Inflation

Option B: Deflation

Option C: Social change

Option D: Price stability

Correct Answer: Social change ✔

Option A: Capital

Option B: Deposit

Option C: Hoarding

Option D: Profit

Correct Answer: Hoarding ✔

Option A: Underemployment

Option B: Disguised unemployment

Option C: Temporary unemployment

Option D: Cyclical unemployment

Correct Answer: Cyclical unemployment ✔

Option A: Less than one

Option B: Greater than one

Option C: Equal to one

Option D: Zero

Correct Answer: Equal to one ✔

Option A: Balance of visible trade

Option B: Balance of invisible trade

Option C: Balance on the current account

Option D: Balance of payments

Correct Answer: Balance of invisible trade ✔

Option A: Exports

Option B: Imports

Option C: Both

Option D: None

Correct Answer: Both ✔

Option A: South Africa

Option B: UK

Option C: Canada

Option D: Australia

Correct Answer: UK ✔

Option A: Adam Smith

Option B: Ricardo

Option C: Hicks

Option D: Barron

Correct Answer: Ricardo ✔

Option A: Buying and selling bills of exchange

Option B: Buying and Selling govt. securities

Option C: Buying and selling shares of companies

Option D: Buying and selling foreign exchanges

Correct Answer: Buying and Selling govt. securities ✔

Option A: Interest rate

Option B: Discount rate

Option C: Money rate

Option D: Control rate

Correct Answer: Control rate ✔

Option A: Clearing house

Option B: Open-market operations

Option C: Discount rate

Option D: Issuing of notes

Correct Answer: Open-market operations ✔

Option A: As a pensioner

Option B: As a debtor

Option C: As an entrepreneur

Option D: As an equity-holder

Correct Answer: As a pensioner ✔

Option A: Taxation

Option B: Bank rate

Option C: Open-market operations

Option D: Credit rationing

Correct Answer: Taxation ✔

Option A: Liability

Option B: Assets

Option C: Both assets and liabilities

Option D: None

Correct Answer: Assets ✔

Option A: Increased employment

Option B: Increased unemployment allowance

Option C: More progressive taxes

Option D: More regressive taxes

Correct Answer: More regressive taxes ✔

Option A: Equal

Option B: Different

Option C: Undetermined

Option D: Decreasing

Correct Answer: Different ✔

Option A: Acceptability

Option B: Divisibility

Option C: Durability

Option D: Portability

Correct Answer: Durability ✔

Option A: Increasing demand for goods

Option B: Increasing supply of goods

Option C: Increasing money supply

Option D: Decreasing taxes

Correct Answer: Increasing supply of goods ✔

Option A: Bearish

Option B: Bullish

Option C: Crash

Option D: Fall down

Correct Answer: Bearish ✔

Option A: Reduce the deficit on the balance of trade

Option B: Reduce the repayment of loans

Option C: Reduce the surplus on the capital account

Option D: Reduce the volume of exports

Correct Answer: Reduce the deficit on the balance of trade ✔

Option A: Fixed exchange rate

Option B: Flexible exchange rate

Option C: controlled exchange rate

Option D: Increasing exchange rate

Correct Answer: Flexible exchange rate ✔

Option A: For examine

Option B: Foreign exchange

Option C: Foreign exports

Option D: None of these

Correct Answer: Foreign exchange ✔

Option A: Money value of goods and and services produced in a country during a year.

Option B: Money value of stocks and shares of a country during a year.

Option C: Money value of capital goods produced by a country during a year.

Option D: None of these

Correct Answer: Money value of goods and and services produced in a country during a year. ✔

Option A: Revenue deficit plus the net borrowings of the government

Option B: Budgetary deficits plus the net borrowings of the government

Option C: Capital deficit plus revenue deficit

Option D: Primary deficit minus capital deficit

Correct Answer: Budgetary deficits plus the net borrowings of the government ✔

Option A: Gross domestic product

Option B: National income

Option C: Gross domestic income

Option D: Gross national income

Correct Answer: National income ✔

Option A: An increase in indirect taxes

Option B: An increase in managers salaries

Option C: An increase in progressive taxation

Option D: An increase in the rate of inflation

Correct Answer: An increase in progressive taxation ✔

Option A: Increase in taxation

Option B: Increase in savings

Option C: Increase in govt. spending

Option D: Decrease in consumption spending

Correct Answer: Increase in govt. spending ✔

Option A: NI

Option B: NNP

Option C: GNP

Option D: Consumption

Correct Answer: GNP ✔

Option A: A loan from a bank

Option B: A loan from one’s parents

Option C: Gifts and donations

Option D: A broker’s commission

Correct Answer: D. A broker’s commission ✔

Option A: The sale of the sub-standard commodity

Option B: Sale in a foreign market of a commodity at a price below marginal cost

Option C: Sale in a foreign market of a commodity just at marginal cost without too much of profit

Option D: Smuggling of goods without paying any customs duty

Correct Answer: Sale in a foreign market of a commodity at a price below marginal cost ✔

Option A: To add up the values of goods and services for one year

Option B: Add up all savings

Option C: To count all imports

Option D: To add up the value of semi-finished goods

Correct Answer: To add up the values of goods and services for one year ✔