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#QuestionSubject and topicDifficulty
2861 The value of the investment multiplier will be larger when: Economics/Business Economics
Multiplier
Easy
2862 MPS in an economy is 0.25. Investment rises by ₹50 crore. By how much will equilibrium income rise? Economics/Business Economics
Multiplier
Medium
2863 The government wants income to rise by ₹500 crore and the MPC is 0.8. How much extra investment is needed? Economics/Business Economics
Multiplier
Medium
2864 An increase in investment of ₹40 crore raises income by ₹160 crore. What is the MPC? Economics/Business Economics
Multiplier
Hard
2865 Excess demand at full employment mainly leads to: Economics/Business Economics
Excess and deficient demand
Easy
2866 Which fiscal measure would help to correct deficient demand? Economics/Business Economics
Excess and deficient demand
Easy
2867 At full-employment output of ₹1,000 crore, aggregate demand is ₹1,100 crore. What is the situation? Economics/Business Economics
Excess and deficient demand
Medium
2868 Which monetary measure is appropriate when the economy faces an inflationary gap? Economics/Business Economics
Excess and deficient demand
Medium
2869 Equilibrium income is ₹800 crore but full-employment income is ₹1,000 crore. If the MPC is 0.75, by how much … Economics/Business Economics
Excess and deficient demand
Hard
2870 The government budget is a statement of estimated receipts and expenditure for: Economics/Business Economics
Government budget
Easy
2871 Street lighting is supplied by the government rather than by the market mainly because it is: Economics/Business Economics
Government budget
Easy
2872 The government raises income tax rates for the highest income group and spends the money on free health care … Economics/Business Economics
Government budget
Medium
2873 During a sharp rise in prices, the government cuts its own spending and raises indirect taxes. Which objectiv… Economics/Business Economics
Government budget
Medium
2874 Why does a private firm find it hard to supply national defence profitably? Economics/Business Economics
Government budget
Hard
2875 Which of the following is a capital receipt? Economics/Business Economics
Receipts and expenditure
Easy
2876 Interest paid by the government on its past loans is: Economics/Business Economics
Receipts and expenditure
Easy
2877 The government sells part of its shares in a public sector company. How is this classified? Economics/Business Economics
Receipts and expenditure
Medium
2878 Which item is capital expenditure of the government? Economics/Business Economics
Receipts and expenditure
Medium
2879 Which pair is correctly matched? Economics/Business Economics
Receipts and expenditure
Hard
2880 Fiscal deficit of the government is equal to its: Economics/Business Economics
Budget deficits
Easy