MCQOPTIONS
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MCQOPTIONS
This section includes 657 Mcqs, each offering curated multiple-choice questions to sharpen your Testing Subject knowledge and support exam preparation. Choose a topic below to get started.
| 1. |
The supply-side economics lays greater emphasis on - |
| A. | Producer |
| B. | Global economy |
| C. | Consumer |
| D. | Middle Man |
| Answer» B. Global economy | |
| 2. |
The borrowing of a sum of money by one person, company, government or other organization from another is called: |
| A. | Usury |
| B. | Finance |
| C. | Loan |
| D. | Collateral |
| Answer» D. Collateral | |
| 3. |
Rent is a factor payment paid to - |
| A. | land |
| B. | restaurant |
| C. | building |
| D. | factory |
| Answer» B. restaurant | |
| 4. |
A legal document between a lender and a borrower whereby the later agrees to certain conditions for the repayment of the sum of money borrowed; is called: |
| A. | Promissory Note |
| B. | Bill of exchange |
| C. | Both of the above |
| D. | None of the above |
| Answer» B. Bill of exchange | |
| 5. |
What is the term used for airports, roads, railways, sewage, telephone and other public utilities? |
| A. | Understructure |
| B. | Substructure |
| C. | Infrastructure |
| D. | Superstructure |
| Answer» D. Superstructure | |
| 6. |
The population growth rate in the country is: |
| A. | 2.01% |
| B. | 2.61% |
| C. | 3.01% |
| D. | 3.61% |
| Answer» C. 3.01% | |
| 7. |
With the present population growth rate, Pakistan would become world s 3rd most populated country by the year: |
| A. | 2020 |
| B. | 2025 |
| C. | 2030 |
| D. | 2050 |
| Answer» E. | |
| 8. |
The opportunity cost of a factor of production is - |
| A. | what it is earning in its present use. |
| B. | what it can earn in the long period. |
| C. | what has to be paid to retain it in its present use. |
| D. | what it can earn in some other use. |
| Answer» E. | |
| 9. |
The 5th national census recorded the total population of Punjab with annual growth rate of : |
| A. | 47.292 million -2.51% |
| B. | 72.585 million -2.01% |
| C. | 73.585 million -2.61% |
| D. | 63.433 million -3.01% |
| Answer» C. 73.585 million -2.61% | |
| 10. |
Custom duty is an instrument of - |
| A. | Monetary Policy |
| B. | Foreign Trade Policy |
| C. | Industrial Policy |
| D. | Fiscal Policy |
| Answer» C. Industrial Policy | |
| 11. |
In Punjab, the lowest density of population is in: |
| A. | Multan Division |
| B. | Rawalpindi Division |
| C. | Bahawalpur Division |
| D. | D.G. Khan Division |
| Answer» D. D.G. Khan Division | |
| 12. |
Which part of Pakistan has lowest urban population? |
| A. | Islamabad |
| B. | Balochistan |
| C. | N.W.F.P |
| D. | FATA |
| Answer» E. | |
| 13. |
Which of the following of Punjab has the lowest population density? |
| A. | Rajanpur |
| B. | Bahawalpur |
| C. | Layyah |
| D. | D.G. Khan |
| Answer» B. Bahawalpur | |
| 14. |
Full employment is a situation where - |
| A. | there is no involuntary unemployment |
| B. | there is involuntary unemployment |
| C. | there is no voluntary unemployment |
| D. | there is voluntary unemployment |
| Answer» C. there is no voluntary unemployment | |
| 15. |
The main emphasis of Keynesian economics is on - |
| A. | Expenditure |
| B. | Exchange |
| C. | Foreign trade |
| D. | Taxation |
| Answer» B. Exchange | |
| 16. |
The Keynesian consumption function shows a relation between - |
| A. | aggregate consumption and total population. |
| B. | aggregate consumption and general price level. |
| C. | aggregate consumption and aggregate income |
| D. | aggregate consumption and interest rate |
| Answer» D. aggregate consumption and interest rate | |
| 17. |
Consumer goods that yield services or utility over time rather than being used up instantly are termed as |
| A. | Durable Goods |
| B. | Undurable Goods |
| C. | Both of the above |
| D. | None of the above |
| Answer» B. Undurable Goods | |
| 18. |
A trade of goods and services in the exchange for other goods or services rather than for money is known as: |
| A. | Foreign Trade |
| B. | Free Trade |
| C. | Barter Trade |
| D. | Limited Trade |
| Answer» D. Limited Trade | |
| 19. |
Thomas Robert Malthus (1766 1834) was a British economist who is remembered for his essays on population. In his which famous work he said, Population, when unchecked, increases in a geometrical ratio. Subsistence only increases in an arithmetical ratio. ? |
| A. | Principles of Political Economy |
| B. | An Inquiry into the Nature and Progress of Rent |
| C. | An Essay on the Principle of Population |
| D. | Illustrations of Political Economy |
| Answer» D. Illustrations of Political Economy | |
| 20. |
The excess of the value of imports of goods and services over the value of exports of goods and services is called: |
| A. | Trade Cycle |
| B. | Trade Credit |
| C. | Trade Gap |
| D. | Trade investment |
| Answer» D. Trade investment | |
| 21. |
The country with highest ratio of urban population in South Asia is: |
| A. | India |
| B. | Sri Lanka |
| C. | Pakistan |
| D. | Nepal |
| Answer» D. Nepal | |
| 22. |
Opportunity cost of production of a commodity is - |
| A. | the cost that the firm could have Incurred when a different technique was adopted |
| B. | the cost that the firm could have incurred under a different method of production |
| C. | the actual cost incurred |
| D. | the next best alternative output |
| Answer» E. | |
| 23. |
Goods which are produced for consumption rather than as an intermediate product used in the process of production are referred to as: |
| A. | By Product |
| B. | Final Goods |
| C. | Durable Goods |
| D. | Intermediate Goods |
| Answer» C. Durable Goods | |
| 24. |
Excise duty on a commodity is payable with reference to its - |
| A. | production |
| B. | production and sale |
| C. | production and transportation |
| D. | production, transportation and sale |
| Answer» B. production and sale | |
| 25. |
An index (index number) of the prices of goods and services purchased by consumers to measure the inflation rate or the cost of living is called |
| A. | Consumer Price Index |
| B. | Retail Price Index |
| C. | Both of the above |
| D. | None of the above |
| Answer» D. None of the above | |
| 26. |
The sixth Nobel Prize for Economics was introduced in 1969 in memory of Alfred Nobel. It is financed by |
| A. | Asian Development Bank |
| B. | Swedish National Bank |
| C. | World Bank |
| D. | International Monetary fund |
| Answer» C. World Bank | |
| 27. |
Depreciation is loss in value of . |
| A. | Final goods |
| B. | Machinery |
| C. | Capital stock |
| D. | Stock of inventory |
| Answer» C. Capital stock | |
| 28. |
The budgetary stance of central government is called: |
| A. | Trade Policy |
| B. | Fiscal Policy |
| C. | Economic Policy |
| D. | None of the above |
| Answer» C. Economic Policy | |
| 29. |
The total area of Pakistan is 80 million hectares, out of which area under forests is: |
| A. | 3.5% |
| B. | 4.8% |
| C. | 7.3% |
| D. | 9.3% |
| Answer» C. 7.3% | |
| 30. |
Which country has maximum foreign project investments in Pakistan? |
| A. | USA |
| B. | U.K |
| C. | China |
| D. | Japan |
| Answer» D. Japan | |
| 31. |
Acording to Keynesian theory of income determination, at full employment, a fall in aggregate demand causes - |
| A. | a fall in prices of output and resources |
| B. | a fall in real gross National product and employment |
| C. | a rise in real gross National product and investment |
| D. | a rise in prices of output and resources |
| Answer» B. a fall in real gross National product and employment | |
| 32. |
Which five year plan of Pakistan is yet to be implemented? |
| A. | 7th |
| B. | 8th |
| C. | 9th |
| D. | 10th |
| Answer» D. 10th | |
| 33. |
Personal disposable income is - |
| A. | always equal to personal income |
| B. | always more than personal income |
| C. | equal to personal income minus indirect taxes |
| D. | equal to personal income minus direct taxes |
| Answer» E. | |
| 34. |
The production of a commodity in which a higher proportion of capital is used is known as |
| A. | Labour Intensive |
| B. | Capital Intensive |
| C. | Both of the above |
| D. | None of the above |
| Answer» C. Both of the above | |
| 35. |
Aggregate net value of the output in one year is the - |
| A. | National income at factor cost |
| B. | Gross Domestic Product at market prices |
| C. | Net. National Product at market prices |
| D. | Gross National Product at market prices |
| Answer» D. Gross National Product at market prices | |
| 36. |
The tax levied on gross sales revenue from business transactions is called - |
| A. | Turnover Tax |
| B. | Sales Tax |
| C. | Capital Gains Tax |
| D. | Corporation Tax |
| Answer» B. Sales Tax | |
| 37. |
"Sales Tax" is ultimately paid by: |
| A. | The shopkeepers |
| B. | The producers |
| C. | The customers |
| D. | The wholesalers |
| Answer» D. The wholesalers | |
| 38. |
Ad Valorem tax is levied - |
| A. | according to value added by the Government. |
| B. | according to value addition to a commodity |
| C. | according to value given by producers |
| D. | according to value added by the finance ministry |
| Answer» D. according to value added by the finance ministry | |
| 39. |
General Sales Tax, under the constitution 1973 is a: |
| A. | Federal Subject |
| B. | Provincial Subject |
| C. | Concurrent subject |
| D. | None of the above one |
| Answer» B. Provincial Subject | |
| 40. |
Agricultural income tax in Pakistan will be levied on the farmers with land holdings of or more than: |
| A. | 30 acres |
| B. | 10 acres |
| C. | 6 acres |
| D. | 12 acres |
| Answer» E. | |
| 41. |
Tax on a Commodity according to its volume is: |
| A. | Real tax |
| B. | Direct Tax |
| C. | Indirect Tax |
| D. | Ad Valorem Tax |
| Answer» E. | |
| 42. |
The rebate or discount where ordinary share on a purchase that is accumulated for a particular period to encourage customers to remain with a specific supplier is called: |
| A. | Deferred Rebate |
| B. | Aggregated Rebate |
| C. | Both of the above |
| D. | None of the above |
| Answer» D. None of the above | |
| 43. |
Investment in the foreign operations of a company through acquisition of a foreign operation, or establishment of a new site is called: |
| A. | Direct Investment |
| B. | Installation |
| C. | Indirect Investment |
| D. | None of the above |
| Answer» B. Installation | |
| 44. |
The first class equity share, the purpose of which entails little risk in earnings in recession is called: |
| A. | Blue disc |
| B. | Blue chip |
| C. | Both of the above |
| D. | None of the above |
| Answer» C. Both of the above | |
| 45. |
Which of the characteristics of Islamic Economic System is/are true? |
| A. | An Islamic state is essentially a welfare state |
| B. | Ensures social justice |
| C. | All economic problems are solved in the light of moral values |
| D. | All of the above |
| Answer» E. | |
| 46. |
Legal Tender Money is - |
| A. | accepted only by Government |
| B. | accepted by people and Government as per the law |
| C. | not accepted for business purposes by law |
| D. | not accepted by Government |
| Answer» C. not accepted for business purposes by law | |
| 47. |
What is referred to as 'Depository Services'? |
| A. | A new scheme of fixed deposits |
| B. | A method for regulating stock exchanges |
| C. | An agency for safe-keeping of securities |
| D. | An advisory service to investors |
| Answer» D. An advisory service to investors | |
| 48. |
A plastic, personal magnetized card with the name and account number of the holder and the expiry date embossed is referred to as: |
| A. | Master Card |
| B. | Visa Card |
| C. | Credit Card |
| D. | Green Card |
| Answer» D. Green Card | |
| 49. |
Surplus earned by a factor other than land in the short period of referred to as- |
| A. | economic rent |
| B. | net rent |
| C. | quasi-rent |
| D. | super-normal rent |
| Answer» D. super-normal rent | |
| 50. |
Bank rate is that rate on which - |
| A. | Any bank lends money to an individual |
| B. | State Bank of India gives loan to the rural banks |
| C. | Central Bank of Country lends money to the commercial banks |
| D. | Rural bank gives loan to cooperative societies |
| Answer» D. Rural bank gives loan to cooperative societies | |