The branches of the subject Economics are

(a)

Wealth and Welfare

(b)

Production and Consumption

(c)

Demand and Supply

(d)

Micro and Macro

A steady increase in general price level is termed as_____________.

(a)

wholesale price index

(b)

Business Cycle

(c)

Inflation

(d)

National Income

Identify the necessity of Economic policies

(a)

to solve the basic problems

(b)

to overcome the obstacles

(c)

to achieve growth

(d)

all the above

An economy consists of

(a)

consumption sector

(b)

Production sector

(c)

Government sector

(d)

All the above

Identify the economic system where only private ownership of production exists

(a)

Capitalistic Economy

(b)

Socialistic Economy

(c)

Globalisic Economy

(d)

Mixed Economy

The country following Capitalism is ________________

(a)

Russia

(b)

America

(c)

India

(d)

China

Identify The Father of Socialism

(a)

J M Keynes

(b)

Karl Marx

(c)

Adam Smith

(d)

Samuelson

Identify the flow variable

(a)

money supply

(b)

assests

(c)

income

(d)

foreign exchange reserves

Identify the sectors of a Two Sector Model.

(a)

Households and Firms

(b)

Private and Public

(c)

Internal and External

(d)

Firms and Government

The Circular Flow Model that represents an open Economy

(a)

Two Sector Model

(b)

Three Sector Model

(c)

Four Sector Model

(d)

All the above

Macro means ________.

(a)

Large

(b)

Aggregate

(c)

Economy as a whole

(d)

All the above

Macro economics is also known as __________.

(a)

Price theory

(b)

Income theory

(c)

Business cycle

(d)

Poverty and unemployment

Example for Mixed Economy ________.

(a)

India

(b)

France

(c)

China

(d)

Both 'a' and 'b'

Market forces are _________.

(a)

Supply and price

(b)

Demand and price

(c)

Prices of commodity

(d)

Supply and demand

Non-interference of the state is a characteristic features of the ___________.

(a)

Socialist Economy

(b)

Capitalist Economy

(c)

Traditional Economy

(d)

Command Economy

_________ sector sells the entire output to house holds.

(a)

Firm

(b)

House hold

(c)

Government

(d)

Foreign trade

________ is a combination of both capitalism and socialism.

(a)

Socialistic economy

(b)

Capitalistic economy

(c)

Traditional economy

(d)

Mixed economy

Identify the stock variable.

(a)

Wealth

(b)

Income

(c)

Foreign exchange

(d)

Money

Inflation refers to steady ________ in general price level.

(a)

decrease

(b)

increase

(c)

constant

(d)

flat

Who defined the following statement for an economy? “An economy is a cooperation of producers and workers to make goods and services that satisfy the wants of the consumers".

(a)

A.J. Brown

(b)

J.R. Hicks

(c)

J.S. Mill

(d)

J.M. Keynes

Identify which of the following is not an external activity?

(a)

import and export

(b)

international relations

(c)

emigration and immigration

(d)

central bank policy

Identify which is not a part of classification of economy based on Level of National Income

(a)

Foreign Income Economies

(b)

Low Income Economies

(c)

Middle Income Economies

(d)

High Income Economies

What is considered as the heart of any capitalistic economy?

(a)

Sales mechanism

(b)

Price mechanism

(c)

Demand mechanism

(d)

Exchange mechanism

From the households sectors receives the income?

(a)

households sector

(b)

government expenditure

(c)

external sector

(d)

firm sector

Pick basic composition of two sector of model of economy

(a)

Y = C + I + G + (X – M)

(b)

Y = C + I + G

(c)

Y = C + S

(d)

Y = C + I