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

(a)

Socialist Economy

(b)

Capitalist Economy

(c)

Traditional Economy

(d)

Command Economy

How many models of circular flow of economy are there?

(a)

One

(b)

Three

(c)

Five

(d)

Two

GDP indicates productive capacity for an ______.

(a)

economy

(b)

employment

(c)

income

(d)

population

Match the correct codes

1	Simon Kuznets	i	Creator of GDP
2.	Disposal income	ii	consumption +saving
3.	NNP at factor cost	iii	NNP at Market prices – Indirect taxes + Subsidies
4.	Y	iv	w + r + i + π + (R-P)

(a)

(1) – (i) (2) – (ii) (3) – (iv) (4) – (iii)

(b)

(1) – (ii) (2) – (iii) (3) – (iv) (4) – (i)

(c)

(1) – (iv) (2) – (iii) (3) – (i) (4) – (ii)

(d)

(1) – (i) (2) – (ii) (3) – (iv) (4) – (iii)

________ theory is a turning point in the development of modern economic theory.

(a)

Keynes’

(b)

Say’s

(c)

Classical

(d)

Employment

Assertion: Aggregate demand curve increases at an increasing rate in the beginning and then increases at a decreasing rate.
Reason: Aggregate demand shows that as income increases owing to increase in employment, expenditure of the economy increases at a decreasing rate.

(a)

Both (A) and (R) are true and (R) is the correct explanation of (A)

(b)

Both (A) and (R) are true, but (R) is not the correct explanation of (A)

(c)

(A) is true, but (R) is false

(d)

(A) is false, but (R) is true

The sum of the MPC and MPS is________.

(a)

1

(b)

2

(c)

0.1

(d)

1.1

Head quarters of BRICS is in

(a)

Shanghai

(b)

India

(c)

Sri lanka

(d)

Bhutan

Which of the following is the anticipated effect of Global warming?

(a)

Rising sea levels

(b)

Changing precipitation

(c)

Expansion of deserts

(d)

All of the above

The term Uiin regression equation is

(a)

Residuals

(b)

Standard error

(c)

Stochastic error term

(d)

None