Economics MCQs

Page No. 398

What would reduce the role of central planning in a economy ?


aIncreasing government spending


b Increasing public ownership of firms


cIncreasing the role of markets


d Removing the profit motive



Transfer payments means ?


a Bank loans


bThe payment without work


c Tax payments


d Payments made to all factors of production



The standard of living in a country is represented by its ?


aNational income


b Per capita income


cPoverty ratio


dNone of these


View Answer Per capita income

A tax which is paid by the person on whom the tax is incident is called a ?


aLocal tax


b Indirect tax


cDirect tax


dRate


View Answer Direct tax

Who is a “Lame Duck” in a stock market ?


aA new investor


bA old investor


c A member of the stock exchange who cannot meet his obligations


d None of the above



Which company holds the world record for having the maximum number of shareholders ?


a Reliance Industries Ltd.


bBritish Gas


cGeneral Motors


dState Bank



Devaluation of currency helps to promote ?


aNational income


b Saving


cImports at lower cost


dExports


View Answer Exports

If saving exceeds investment the national income will ?


aFall


bRise


c Fluctuate


dRemain constant


View Answer Remain constant

Which function is performed by both commercial banks and central banks ?


a Acting as bankers to the government


bAdvising the government on monetary policy


cDealing in foreign exchange


dFixing the main interest rate



What is Black Money ?


a Income on which payment of tax is usually evaded


b Illegally earned money


cMoney earned through underhand deals


dNone of these



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