Economics MCQs

Page No. 420

Which of the following payment instruments introduced by the banks is known as plastic money ?


aBearer cheques

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bCredit Cards

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cDemand Drafts

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d Gift Cheques

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View Answer Credit Cards

Which is the best measure of economic growth of a country ?


aGNP

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bGDP

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cNet revenue

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dNone of the above

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View Answer GNP

Hard currency is defined as ?


aCurrency traded in foreign exchange market for which demand is persistently relative to the supply

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bCurrency Which is used in times of war

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cCurrency which loses its value very fast

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dNone of these

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National income of a country is based on ?


aThe taxes earned by the State

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b The sum of all factors of income

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cPersonal incomes of all the citizens

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dSurplus of exports over imports

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What is more likely to be found in a free market economy than in a planned economy ?


a an even distribution of income

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ban incentive to innovate

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ca wide range of public goods

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dfull employment of labor

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To what does the phrase terms of trade refer ?


athe currency exchange rate

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bthe difference between the value of visible exports and visible imports

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cThe government’s policies to increase exports

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dthe rate at which exports are exchanged for imports

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Which economics term describes the takeover of one textile manufactures by another ?


aDiversification

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bhorizontal integration

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cmonopoly

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dvertical integration

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Who among the following is most benefited from inflation ?


aGovernment pensioners

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bCreditors

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c Savings Bank Account holders

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dDebtors

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View Answer Debtors

Monetary policy is regulated by ?


aMoney lenders

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bCentral Bank

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cPrivate entrepreneurs

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dGovernment policy

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View Answer Central Bank

A very rapid growth in prices in which money loses its value to the point where even barter may be preferable is known as ?


aInflation

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bHyper-inflation

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cDeflation

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dDisinflation

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View Answer Hyper-inflation

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