MCQOPTIONS
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MCQOPTIONS
This section includes 1254 Mcqs, each offering curated multiple-choice questions to sharpen your General Knowledge knowledge and support exam preparation. Choose a topic below to get started.
| 701. |
Economics assumes that |
| A. | people have unlimited desires but limited resources |
| B. | people have limited desires but unlimited resources |
| C. | allocation of resources if not centrally planned will cause inefficiency |
| D. | people are emotional and make irrational decisions |
| Answer» B. people have limited desires but unlimited resources | |
| 702. |
Economic sanctions are mainly used to |
| A. | to help international trade run smoothly. |
| B. | punish nations that disobey international law |
| C. | to impose tariffs on vehicles at the border |
| D. | all the above |
| Answer» C. to impose tariffs on vehicles at the border | |
| 703. |
Economic planning in India is in____ |
| A. | Union List |
| B. | State list |
| C. | Concurrent List |
| D. | None |
| Answer» D. None | |
| 704. |
Economic liberalization in India started with ___________. |
| A. | substantial changes in industrial licensing policy_x005F_x000D_ |
| B. | convertibility of Indian rupee_x005F_x000D_ |
| C. | doing away with procedural formalities for foreign direct investment |
| D. | significant reduction in tax rates_x005F_x000D_ |
| Answer» B. convertibility of Indian rupee_x005F_x000D_ | |
| 705. |
Economic growth is usually coupled with ___________._x005F_x000D_ |
| A. | deflation |
| B. | inflation |
| C. | Stagflation |
| D. | hyper inflation |
| Answer» C. Stagflation | |
| 706. |
Economic reasoning is based on the premise that |
| A. | only economic decisions or actions have a cost associated with them |
| B. | all decisions and actions have a cost associated with them |
| C. | all decisions or actions are costless because costs shared among decision-makers |
| D. | only decisions or actions that involve money have a cost associated with them |
| Answer» C. all decisions or actions are costless because costs shared among decision-makers | |
| 707. |
Economic growth is measured by |
| A. | % of GDP |
| B. | % of NDP |
| C. | % of expenditure |
| D. | % of percapita income |
| Answer» B. % of NDP | |
| 708. |
During a recession _____ |
| A. | Producers will be cautiously optimistic. |
| B. | there will be decrease in inventory |
| C. | There will be capacity under utilization. |
| D. | there will be expansion in bank credit |
| Answer» D. there will be expansion in bank credit | |
| 709. |
Earnings per share are calculated by dividing |
| A. | (net income less preferred stock dividends) by average common shares outstanding. |
| B. | gross profit by average common shares outstanding. |
| C. | net sales by average common shares outstanding. |
| D. | net income by average common shares outstanding. |
| Answer» B. gross profit by average common shares outstanding. | |
| 710. |
During which decade did the population of India record a negative growth rate |
| A. | 1911 - 21 |
| B. | 1921 - 31 |
| C. | 1931 - 41 |
| D. | 1941 -51 |
| Answer» B. 1921 - 31 | |
| 711. |
Disguised unemployment in India is mainly related to |
| A. | Agricultural sector |
| B. | Rural Area |
| C. | Factory sector |
| D. | Urban Area |
| Answer» B. Rural Area | |
| 712. |
Disguised unemployment generally means___________. |
| A. | Large number of people remain unemployed |
| B. | alternative employment is NOT available |
| C. | marginal productivity of labour is zero |
| D. | productivity of workers is low |
| Answer» D. productivity of workers is low | |
| 713. |
Deindustrialisation means |
| A. | uprooting of people from agriculture and planting them in industries |
| B. | uprooting of people from agriculture and planting them in industries |
| C. | a deliberate effort to compel the existing industries to shut down |
| D. | a deliberate effort to promote the new industries |
| Answer» C. a deliberate effort to compel the existing industries to shut down | |
| 714. |
Depreciation is loss in value of ________ |
| A. | Final goods |
| B. | Machinery |
| C. | Capital stock |
| D. | Stock of inventory |
| Answer» C. Capital stock | |
| 715. |
Demand is said to be elastic when the |
| A. | change in quantity demanded is less than the change in price |
| B. | change in quantity demanded is greater than the change in price |
| C. | percentage change in quantity demanded is greater than the percentage change in price |
| D. | percentage change in quantity demanded is less than the percentage change in price |
| Answer» C. percentage change in quantity demanded is greater than the percentage change in price | |
| 716. |
Debenture holders of a company are its ___________. |
| A. | Shareholders |
| B. | Creditors |
| C. | Debtors |
| D. | Directors |
| Answer» C. Debtors | |
| 717. |
Credit Rationing in India is done by |
| A. | RBI |
| B. | SBI |
| C. | LIC |
| D. | Finance Ministry |
| Answer» B. SBI | |
| 718. |
Customs duty is an instrument of _______._x005F_x000D_ |
| A. | Fiscal policy |
| B. | Monetary policy |
| C. | Trade policy |
| D. | Revenue policy |
| Answer» B. Monetary policy | |
| 719. |
Consumer surplus arises in a market because |
| A. | some consumers are willing to pay more than the equilibrium price but do not need to do so |
| B. | some consumers are willing to pay less than the equilibrium price but do not need to do so |
| C. | at market price, the quantity demanded is less than the quantity supplied |
| D. | at market price, the quantity demanded is greater than the quantity supplied |
| Answer» B. some consumers are willing to pay less than the equilibrium price but do not need to do so | |
| 720. |
Consider the market for new two-wheelers. If the price of steel increases, then the equilibrium price of new two wheelers will __________ and the equilibrium quantity will ___________._x005F_x000D_ |
| A. | increase; increase |
| B. | decrease; decrease |
| C. | increase; decrease |
| D. | decrease; increase |
| Answer» D. decrease; increase | |
| 721. |
Consider the following statements about impact of tax :_x005F_x000D_ 1. A tax is shifted forward to consumers if the demand is inelastic relative to supply._x005F_x000D_ 2. A tax is shifted backward to producers if the supply is relatively more inelastic than demand._x005F_x000D_ Which of the statements given above is/are correct?_x005F_x000D_ |
| A. | 1 only |
| B. | 2 only |
| C. | Both 1 and 2 |
| D. | Neither 1 nor 2 |
| Answer» D. Neither 1 nor 2 | |
| 722. |
Consider the following statements about a joint-stock company:_x005F_x000D_ 1. It has a legal existence._x005F_x000D_ 2. There is limited liability of shareholders._x005F_x000D_ 3. It has a democratic management._x005F_x000D_ 4. It has a collective ownership._x005F_x000D_ Which of the statements given above are correct? |
| A. | 1 and 2 only |
| B. | 1, 2 and 3 only |
| C. | 3 and 4 only |
| D. | 1, 2, 3 and 4 |
| Answer» E. | |
| 723. |
Consider the following statements about indifference curves:_x005F_x000D_ 1. Indifference curves are convex to the origin._x005F_x000D_ 2. Higher indifference curve represents higher level of satisfaction._x005F_x000D_ 3. Two indifference curves cut each other.Which of the statements given above is/are correct? |
| A. | 1 only |
| B. | 1 and 2 |
| C. | 2 and 3 |
| D. | 3 only |
| Answer» C. 2 and 3 | |
| 724. |
Consider the following statements with respect to Bitcoins or 'cryptocurrencies' as they are commonly known; I. Bitcoin is a decentralized electronic payment system II. Only a finite number of bitcoins can be created by miners III. Bitcoins are indivisible units of currency IV. Every single bitcoin transaction is recorded in a ledger called the blockchain. Which of the above statements are correct? |
| A. | (i), (ii) and (iii) |
| B. | (i), (iii) and (iv) |
| C. | (i), (ii) and (iv) |
| D. | (i), (ii), (iii) and (iv) |
| Answer» D. (i), (ii), (iii) and (iv) | |
| 725. |
CENVAT is related to which of the following ? |
| A. | Sales Tax |
| B. | Excise Duty |
| C. | Custom Duty |
| D. | Service Tax |
| Answer» C. Custom Duty | |
| 726. |
Census of population in India is done after |
| A. | 2 years |
| B. | 5 years |
| C. | 7 years |
| D. | 10 years |
| Answer» E. | |
| 727. |
Capitalism falls under _ economic system? |
| A. | Market |
| B. | Planned |
| C. | Command |
| D. | Mixed |
| Answer» B. Planned | |
| 728. |
Capitalism is an economic system in which |
| A. | private entities own capital goods |
| B. | Public entities own capital goods |
| C. | Both A & B |
| D. | None of the above |
| Answer» B. Public entities own capital goods | |
| 729. |
Consider the following statements:_x005F_x000D_ 1. Inflation in India continued to be moderate during 2017-18_x005F_x000D_ 2. There was significant reduction in food inflation, particularly pulses and vegetables during the period._x005F_x000D_ Which of the statements given above is/are correct? |
| A. | 1 only |
| B. | 2 only |
| C. | Both 1 and 2 |
| D. | Neither 1 nor 2 |
| Answer» D. Neither 1 nor 2 | |
| 730. |
Capital structure decisions refer to the |
| A. | capital gains available on the firm's stock. |
| B. | dividend yield of the firm's stock. |
| C. | maturity date for the firm's securities |
| D. | blend of equity and debt used by the firm. |
| Answer» E. | |
| 731. |
Capital budgeting decisions are generally based on:_x005F_x000D_ |
| A. | Tentative predictions of future outcomes. |
| B. | Perfect predictions of future outcomes. |
| C. | Speculation of interest rates and economic performance only. |
| D. | Results from past outcomes only. |
| Answer» B. Perfect predictions of future outcomes. | |
| 732. |
Calculate the economic profit for a firm if its total revenues are Rs 180 crores, explicit costs are Rs 95 crores, and implicit costs are Rs 25 crores. |
| A. | Rs 110 crores |
| B. | Rs 300 crores |
| C. | Rs 60 crores |
| D. | Rs 250 crores |
| Answer» D. Rs 250 crores | |
| 733. |
Calculate the economic profit for a firm if it's total revenues are Rs. 35 crores, explicit costs are Rs. 7 crores, and implicit costs are Rs. 10 crores. |
| A. | Rs. 32 crores |
| B. | Rs. 52 crores |
| C. | Rs. 18 crores |
| D. | Rs. 38 crores |
| Answer» D. Rs. 38 crores | |
| 734. |
Capital deepening refers to |
| A. | going for more fixed capital per worker |
| B. | emphasis on social overhead capital |
| C. | constant capital-output ratio |
| D. | increasing capital-output ratio |
| Answer» B. emphasis on social overhead capital | |
| 735. |
Calculate a country's GDP if for the year, consumer spending is $900 million, government spending is $250 million, investment by businesses is $180Â million, exports are $85 million and imports are $100 million. |
| A. | $1345 million |
| B. | $1315 million |
| C. | $955 million |
| D. | $815 million |
| Answer» C. $955 million | |
| 736. |
Calculate the accounting profits for a firm, if its economic profits for the year are Rs 60 crores, total implicit costs are Rs 18.5 crores and total explicit costs are Rs 35 crores |
| A. | Rs 113.5 crores |
| B. | Rs 43.5 crores |
| C. | Rs 76.5 crores |
| D. | Rs 78.5 crores |
| Answer» E. | |
| 737. |
Calculate a country's GDP if for the year, consumer spending is $400 million, government spending is $150 million, investment by businesses is $80Â million, exports are $35 million and imports are $40 million. |
| A. | $625 million |
| B. | $465 million |
| C. | $475 million |
| D. | $635 million |
| Answer» B. $465 million | |
| 738. |
Buyer’s market denotes the place where ___________. |
| A. | the demand exceed the supply |
| B. | the supply exceed the demand |
| C. | commodities are available at competitive rates |
| D. | the demand and supply are well balanced |
| Answer» B. the supply exceed the demand | |
| 739. |
Buying and Selling products are examples of |
| A. | investing activities. |
| B. | operating activities. |
| C. | delivering activities. |
| D. | financing activities. |
| Answer» C. delivering activities. | |
| 740. |
Business fluctuations refer to |
| A. | the ups and downs in overall business |
| B. | expansion is rapid |
| C. | contraction is severe |
| D. | None of the above |
| Answer» B. expansion is rapid | |
| 741. |
Brent Index is associated with which of the followings?_x005F_x000D_ |
| A. | crude oil prices_x005F_x000D_ |
| B. | copper future prices_x005F_x000D_ |
| C. | gold future prices |
| D. | shipping rate index |
| Answer» B. copper future prices_x005F_x000D_ | |
| 742. |
Bilateral monopoly situation is |
| A. | when there are only two sellers of a product |
| B. | when there are only two buyers of a product |
| C. | when there is only one buyer and one seller of a product |
| D. | when there are two buyers and two sellers of a product |
| Answer» D. when there are two buyers and two sellers of a product | |
| 743. |
Birth rate in a country is defined as |
| A. | Number of births per 100 in 1 year |
| B. | Number of births per 1000 in 1 year |
| C. | Number of births per km of area in 1 year |
| D. | Number of births per 100 km of area in 1 year |
| Answer» C. Number of births per km of area in 1 year | |
| 744. |
At the equilibrium price |
| A. | quantity demanded is equal to quantity supplied |
| B. | quantity demanded is greater than quantity supplied |
| C. | price elasticity of demand is unity |
| D. | elasticity of demand equals elasticity of supply |
| Answer» B. quantity demanded is greater than quantity supplied | |
| 745. |
Assessing opportunity cost involves |
| A. | choosing consequences over profits |
| B. | maximizing profit and loss |
| C. | making choices and dealing with consequences |
| D. | Both B & C |
| Answer» D. Both B & C | |
| 746. |
Bharat Nirman Programme does not cover which of the following areas |
| A. | Rural housing |
| B. | Rural water supply |
| C. | Irrigation facilities |
| D. | Rural Employment |
| Answer» E. | |
| 747. |
"Betting and gambling" is listed in the __________ list given in the Seventh Schedule in the Constitution of India. |
| A. | Union |
| B. | State |
| C. | Global |
| D. | Concurrent |
| Answer» C. Global | |
| 748. |
Backward bending supply curve belongs to which market? |
| A. | Capital |
| B. | Labour |
| C. | Money |
| D. | Inventories |
| Answer» D. Inventories | |
| 749. |
At present how many stock exchanges are listed in Securities and Exchange Board of India (SEBI)?_x005F_x000D_ |
| A. | 20 |
| B. | 10 |
| C. | 8 |
| D. | 15 |
| Answer» D. 15 | |
| 750. |
As the economy develops, the share of the tertiary sector in the GDP |
| A. | Decrease |
| B. | Decrease than Increase |
| C. | Increases |
| D. | Remain Constant |
| Answer» D. Remain Constant | |