Economics MCQs

Page No. 398

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


aIncreasing government spending

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b Increasing public ownership of firms

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cIncreasing the role of markets

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d Removing the profit motive

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Transfer payments means ?


a Bank loans

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bThe payment without work

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c Tax payments

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d Payments made to all factors of production

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


aNational income

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b Per capita income

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cPoverty ratio

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dNone of these

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View Answer Per capita income

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


aLocal tax

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b Indirect tax

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cDirect tax

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dRate

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View Answer Direct tax

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


aA new investor

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bA old investor

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

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d None of the above

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


a Reliance Industries Ltd.

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bBritish Gas

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cGeneral Motors

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dState Bank

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Devaluation of currency helps to promote ?


aNational income

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b Saving

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cImports at lower cost

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dExports

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View Answer Exports

If saving exceeds investment the national income will ?


aFall

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bRise

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c Fluctuate

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dRemain constant

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View Answer Remain constant

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


a Acting as bankers to the government

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bAdvising the government on monetary policy

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cDealing in foreign exchange

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dFixing the main interest rate

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What is Black Money ?


a Income on which payment of tax is usually evaded

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b Illegally earned money

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cMoney earned through underhand deals

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dNone of these

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