| 2851 |
In the consumption function C = c̄ + bY, the term c̄ represents: |
Economics/Business Economics
Aggregate demand and its components |
Easy |
| 2852 |
A household's income is ₹1,000 and its consumption is ₹800. What is its average propensity to save? |
Economics/Business Economics
Aggregate demand and its components |
Medium |
| 2853 |
When income rises from ₹500 crore to ₹600 crore, consumption rises from ₹420 crore to ₹500 crore. What is the… |
Economics/Business Economics
Aggregate demand and its components |
Medium |
| 2854 |
At a low income level, a family's average propensity to consume is 1.1. What does this mean? |
Economics/Business Economics
Aggregate demand and its components |
Hard |
| 2855 |
In the Keynesian two-sector model, equilibrium income is reached where: |
Economics/Business Economics
Income determination |
Easy |
| 2856 |
In the income determination diagram, the 45° line shows: |
Economics/Business Economics
Income determination |
Easy |
| 2857 |
In an economy C = 100 + 0.75Y and planned investment is 50. What is equilibrium income? |
Economics/Business Economics
Income determination |
Medium |
| 2858 |
At the current output level, firms find that unsold goods are piling up beyond what they had planned. What wi… |
Economics/Business Economics
Income determination |
Medium |
| 2859 |
Equilibrium income is 600 with C = 100 + 0.75Y and investment 50. If the full-employment income is 800, which… |
Economics/Business Economics
Income determination |
Hard |
| 2860 |
If MPC is 0.8, what is the value of the investment multiplier? |
Economics/Business Economics
Multiplier |
Easy |
| 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 |
| 2881 |
A budget in which estimated receipts exceed estimated expenditure is a: |
Economics/Business Economics
Budget deficits |
Easy |
| 2882 |
Fiscal deficit is ₹500 crore and interest payments are ₹200 crore. What is the primary deficit? |
Economics/Business Economics
Budget deficits |
Medium |
| 2883 |
Total expenditure is ₹1,500 crore, revenue receipts ₹1,000 crore and non-debt capital receipts ₹100 crore. Wh… |
Economics/Business Economics
Budget deficits |
Medium |
| 2884 |
In a budget the primary deficit is zero. What does this indicate? |
Economics/Business Economics
Budget deficits |
Hard |
| 2885 |
Balance of trade refers to the difference between: |
Economics/Business Economics
Balance of payments |
Easy |
| 2886 |
Money sent home by Indian workers employed abroad is recorded in the: |
Economics/Business Economics
Balance of payments |
Easy |
| 2887 |
A country exports goods worth ₹300 crore and imports goods worth ₹450 crore. Its net receipts from services, … |
Economics/Business Economics
Balance of payments |
Medium |
| 2888 |
A foreign company buys a factory in India. In India's BoP, this is: |
Economics/Business Economics
Balance of payments |
Medium |
| 2889 |
Which transaction is accommodating rather than autonomous? |
Economics/Business Economics
Balance of payments |
Hard |
| 2890 |
The exchange rate changes from ₹80 to ₹85 per US dollar under a flexible system. This means the rupee has: |
Economics/Business Economics
Foreign exchange rate |
Easy |
| 2891 |
In a fixed exchange rate system, an official reduction in the value of the domestic currency is called: |
Economics/Business Economics
Foreign exchange rate |
Easy |
| 2892 |
Why does the supply curve of foreign exchange usually slope upwards? |
Economics/Business Economics
Foreign exchange rate |
Medium |
| 2893 |
Indian residents suddenly increase their travel to Europe. Under a flexible exchange rate, what is the likely… |
Economics/Business Economics
Foreign exchange rate |
Medium |
| 2894 |
Which description fits a managed floating exchange rate? |
Economics/Business Economics
Foreign exchange rate |
Hard |
| 2895 |
Which land settlement system allowed landlords to collect rent from cultivators with little interest in impro… |
Economics/Business Economics
Indian economy on the eve of independence |
Easy |
| 2896 |
In which year were railways introduced in India? |
Economics/Business Economics
Indian economy on the eve of independence |
Easy |
| 2897 |
India had a large export surplus under colonial rule. Why did this not lead to a build-up of gold and foreign… |
Economics/Business Economics
Indian economy on the eve of independence |
Medium |
| 2898 |
The decline of Indian handicrafts under colonial rule was mainly due to: |
Economics/Business Economics
Indian economy on the eve of independence |
Medium |
| 2899 |
Which statement best describes the purpose of railways built under British rule? |
Economics/Business Economics
Indian economy on the eve of independence |
Hard |
| 2900 |
The Planning Commission of India was set up in: |
Economics/Business Economics
Five Year Plans |
Easy |