Question

1. Macro Economics is also known as:

(a) Micro Economics (b) International Economics

(c) Group Economics (d) Commercial Economics

2. In a Two Sector Economy Model, the flow of goods and services from one sector to another sector is called:

(a) Real Flow (b) Monetary Flow

(c) Financial Flow (d) All of the above

3. If as a result of increase in investment of Rs. 500 Crore in an economy, the income in the economy is increased by Rs.

1000 Crore, then what will be the value of Investment Multiplier?

(a) ½ (b) 2 (c) 20 (d) 200

4. If the value of average propensity to consume is 0.8, what will be the value of average propensity to save?

(a) 1.2 (b) -0.8 (c) 0.2 (d) 2.2

5. In which of the following form the commercial banks accept deposits from the people?

(a) Fixed Deposit Account (b) Current Account

(c) Recurring Deposit Account (d) All of the above

6. Net National Product at Factor Cost=

(a) Net Domestic Product at Factor Cost + Net Factor Income from Abroad

(b) Net Domestic Product at Factor Cost - Net Factor Income from Abroad

(c) Net Domestic Product at Factor Cost X Net Factor Income from Abroad

(d) Net Domestic Product at Factor Cost / Net Factor Income from Abroad

7. Which of the following is a function of Money?

(a) To work as a Medium of Exchange (b) To work as a Store of Value

(c) To work as a Measure of Value (d) All of these

8. Which of the following is a component of Aggregate demand?

(a) Consumption Demand (b) Investment Demand (c) Both a and b (d) None of these

9. Which of the following is an objective of government budget?

(a) Proper utilization of resources (b) To reduce economic inequalities

(c) To increase the welfare of the people (d) All of the above

10. Which of the following situation is faced during deficient demand?

(a) Inflationary gap (b) Deflationary gap (c) Both a and b (d) None of these

11. Which of the following is the characteristic of an underdeveloped economy?

(a) Low standard of living of people (b) Low per capita income

(c) More extent of poverty (d) All of the above

12. In the policy of Privatization, the government …………. the government securities.

(a) Purchased (b) Sold (c) Purchased and Sold (d) None of these

13. On which basis poverty line is determined in India?

(a) Consumption Expenditure (b) Income Level (c) Investment Expenditure (d) Price Level

14. Which of the following unemployment is associated with agriculture sector?

(a) Seasonal Unemployment (b) Disguised Unemployment (c) Both a and b (d) Educated Unemployment

15. When the government of India initiated the policy of economic reforms?

(a) 1986 (b) 1988 (c) 1990 (d) 1991

16. Which of the following problem is being faced by India regarding Education?

(a) More illiteracy (b) Urban biasedness of educational facilities

(c) Expensive educational facilities (d) All of the above

17. When the government of India initiated New Agricultural Policy?

(a) 1991 (b) 1995 (c) 2000 (d) 2001

18. In the Industrial policy of 1991, what investment limits were determined for small scale industries?

(a) Rs. 5000 (b) Rs. 5 Lakh (c) Rs. 5 Crore (d) Rs. 50 Crore

19. Sustainable development takes care of needs of which of the following generation?

(a) Present generation (b) Future generation

(c) Both a and b (d) None of these

20. Which of the following are the limits of Coefficient of Correlation?

(a) 0 to 1 (b) -1 to +1 (c) -1 to 0 (d) 0 to 2​

Answer 1

Answer:

theory of income and employment

Explanation:

because it's concerned with the economic issues of a county which occur on a national scale