A) There is competition for fully employed resources
B) Guns cost more than butter
C) The consumer price index was calculated differently in wartime
D) Fewer people are living on fixed incomes
54. Sales taxes are generally considered to be
A) Proportional taxes
B) Progressive taxes
C) Regressive taxes
D) Indirect taxes
55. Economic growth is said to be …..
A) Subjective approach
B) Objective approach
C) Quantitative approach
D) Qualitative approach
56. SMEDA is one of the pioneers in the field of
A) Manufacturing goods
B) International trade
C) Microfinance
D) Marketing of goods
57. Which of the following is not the indicator of human resources development
A) Marginal efficiency of capital
B) Provision of Health facilities
C) Organized education
D) On the job training
58. To plan is to act with a purpose of choose and choice is the essence of economic activity was explained by
A) Dickinson
B) Robbins
C) Beverage
D) Lewis Larwin
59. Who is called the ‘founding father of modern economics
A) Adam Smith
B) John Keynes
C) Friedrich Hayek
D) Milton Friedman
60. When the marginal revenue of a firm is zero, total revenue will be
A) Minimum
B) Decreasing
C) Maximum
D) Increasing
61. The average revenue of a Firm is equal to
A) Price
B) Profit
C) Supply
D) Cost
62. If AC = MC = AR = MR = P, then a perfect competitor firm
A) Earns abnormal profit
B) Earns normal profit
C) Will be in shut down point
D) Firm will be in lose
63. Under price discrimination, a monopolist firm
A) Charges high prices in the local market
B) Charges the same price for the same kind of goods
C) Charges different prices for the same kind of goods
D) Charges high prices to increase the demand
64. Market price is ……
A) Smaller than normal price
B) Greater than normal price
C) Equal to normal price
D) None of these
65. It is considered a transfer payments
A) Salaries of an employees
B) Bonus for bank employees
C) Wages of laborers
D) Unemployment allowances paid by the Government
66. The four factors payments are
A) Money, capital, salaries, and income
B) Wages, rent, interest, and profit
C) Both A & B
D) None of these
67. Corporate tax is levied on
A) Landlords
B) Municipal corporations
C) Big companies
D) Importers
68. Quantity of money has relation to the value of money
A) Direct
B) Indirect
C) Inverse
D) No relation
69. Utility in economics means the capacity to
A) Provide comfort
B) Satisfy human wants
C) Earn and income
D) Satisfy human motives
70. Purchasing power of money during deflation is
A) Reduced
B) Constant
C) Increased
D) Fluctuating
71. The equation of exchange PT = MV was given by
A) Fisher
B) Crowther
C) Kuznt
D) Keynes
72. Paper money is called fiat money because
A) It is issued by the authority of govt.
B) It is convertible into gold
C) It can be easily printed
D) It is lightweight
73. An underground worker is a worker
A) Counted as being employed
B) Counted as being unemployed
C) Whose income is not fully reported to the Govt.
D) That has no skills to offer in the Job market
74. The IS curve under monetarists is
A) Steeper
B) Flatter
C) Both A and B
D) None of these
75. The general equilibrium shows equilibrium in
A) Single market
B) All markets
C) Both A and B
D) None of these
