Home > General Knowledge Questions Answers > Economics Questions Answers

Economics Questions Answers

Q31 :

Which one of the following is not correctly matched ?

A
  

Policy cut Motion → Budget demand be reduced to ₹ 1

B
  

Economy cut Motion → Budget demand be reduced by a specified amount

C
  

Token cut Motion → Budget demand be reduced by rupees one hundred

D
  

Vote on Account → Parliamentary sanction of all budgetary demands for grants in a financial year

View Answer
Correct Answer: D

Vote on Account → Parliamentary sanction of all budgetary demands for grants in a financial year

Description:

Parliament is not able to vote the entire budget before the commencement of the new financial year, the necessity to keep enough finance at the disposal of Government in order to allow it to run the administration of the country remains. A special pro- vision is, therefore, made for 'Vote on Account' by which Government obtains the Vote of Parliament for a sum sufficient to incur expenditure on various items for a part of the year. Normally, the Vote on Account is taken for two months only. But during election year or when it is anticipated that the main Demands and Appropriation Bill will take longer time than two months, the Vote on Account may be for a period exceeding two months.

Q32 :

Which of the following bank has installed world's first ATM?

A
  

Sveriges Riksbank

B
  

Royal Bank of Scotland

C
  

Berenberg Bank

D
  

Barclays

View Answer
Correct Answer: D

Barclays

No Description Available
Q33 :

Which is called Gossen's second law?

A
  

Law of Equi-marginal Utility

B
  

Law of Diminishing Marginal Utility

C
  

Revealed Preference Theory

D
  

Indifference Curve Approach

View Answer
Correct Answer: A

Law of Equi-marginal Utility

No Description Available
Q34 :

Who explained importance of time element in price determination, for the first time?

A
  

Chamberlin

B
  

Stigler

C
  

Mrs. Joan Robinson

D
  

Marshall

View Answer
Correct Answer: D

Marshall

No Description Available
Q35 :

Law of diminishing returns begins to operate when—

A
  

Total product begins to rise

B
  

Total product begins to fall

C
  

Marginal product begins to rise

D
  

Marginal product begins to fall

View Answer
Correct Answer: D

Marginal product begins to fall

No Description Available
Q36 :

Among the following what causes market failure?
1. Externality
2. Asymmetry of information
3. Perfect competition
Choose the correct answer from the codes given below :

A
  

1, 2 and 3 are correct

B
  

Only 1 is correct

C
  

1 and 2 are correct

D
  

2 and 3 are correct

View Answer
Correct Answer: C

1 and 2 are correct

No Description Available
Q37 :

Assuming wage-price flexibility, the classical economists asserted that a decline in money wages and price would lead to—

A
  

Unemployment

B
  

Deflation

C
  

High level of employment and output

D
  

Unemployment and decline in output

View Answer
Correct Answer: C

High level of employment and output

No Description Available
Q38 :

The relative income hypothesis of Duesenberry suggests that as income increases, consumption function curve shifts above and therefore—

A
  

Average propensity to consume rises

B
  

Average propensity to consume falls

C
  

Average propensity to consume remains constant

D
  

Average propensity to consume is equal to 1

View Answer
Correct Answer: C

Average propensity to consume remains constant

No Description Available
Q39 :

Who among the following said, "Inflation is everywhere and always a monetary phenomenon"?

A
  

James Tobin

B
  

John M. Keynes

C
  

Milton Friedman

D
  

Anna J. Schwartz

View Answer
Correct Answer: C

Milton Friedman

No Description Available
Q40 :

Accelerator is most closely related to—

A
  

interest rate

B
  

inventories

C
  

idle capacity

D
  

induced investment

View Answer
Correct Answer: D

induced investment

No Description Available
Page: