PPSC Economics Topic 10 MCQS Test Preparation

Punjab Public Service Commission, PPSC is an organization regulated by the Punjab government to sort out the suitable and deserving candidates for several vacant positions at the Punjab province level. The organization makes sure that the exams are conducted in a peaceful and satisfactory environment. Moreover, the organization also announces the results with complete transparency and helps in the further recruiting process at the provincial level.

MCQ's Test For PPSC Economics Topic 10 Public Finance

Try The MCQ's Test For PPSC Economics Topic 10 Public Finance

  • Total Questions20

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PPSC Economics Topic 10 Public Finance

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Question # 1

Industrial polices intended to foster comparative advantage for domestic industries could result in the implementation of.

Question # 2

Indifference curves shows various combinations of.

Question # 3

A demand curve shows the relation between the quantity demanded to a commodity over a given time and.

Question # 4

The impact and incidence of sales tax is

Question # 5

Suppose that the supply curve of lin is highly inelastic if the demand curve of lin decreases and increases cyclically along the supply curve of lin then in this market the size of the quantity fluctuations will be _____ the size of the price fluctuations.

Question # 6

A decrease in lump sum taxes is an examples of.

Question # 7

Starting from a position where the nation's money demand equals the money supply and its balance of payments is it equilibrium, economic theory suggest that the nation's balance of payments would more into a surplus position if there occurred in the nation a.

Question # 8

Which of the following is automatic stabilizer.

Question # 9

According to the crowding out effect, a there is a government deficit, the real interest rate will.__________ and investment will_________

Question # 10

A politician proposes reducing business taxes, a move she says will encourage risk taking entrepreneurship This proposed cut in business taxes is intended to stimulate the economy mainly though.

Question # 11

The nation, that, following currency depreciation, the balance of trade falls for a while before increasing is called a ________ effect.

Question # 12

If the autarky price of S were lower in country A than in country B, then if trade were allowed.

Question # 13

Suppose that the domestic government allows a specific number of goods to be imported each year but it does not spicily from where the product is shipped or who is permitted to import such a trade barrier is known as

Question # 14

That the division of labor is limited by the size of the market best applies to which explanation of trade.

Question # 15

The largest trading partner of Pakistan is

Question # 16

International trade forces domestic firms to become more competitive in terms of.

Question # 17

An Engel curve is based on which one of the following assumptions.

Question # 18

According to the cost based definition of dumping dumping occurs when a firm sets a product abroad at a price that is less than

Question # 19

According the Keynes when the great depression started , the government should have.

Question # 20

The "balance trade" is a record of.

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10th Chapter

PPSC Economics Chapter 10 Test

Here you can prepare PPSC Economics Chapter 10 (Most Frequently Asked Economics MCQS) Test. Click the button for 100% free full practice test.

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PPSC Economics Chapter 10 Important MCQ's

Sr.# Question Answer
1 The "balance trade" is a record of.
A. Exports and imports of financial assets
B. The current account plus capital account
C. The export of goods and services.
D. the value of merchandise exports minus imports
2 The theory of ___________ suggests that government can assist domestic competitors.
A. International dumping
B. Countervailing duties
C. Strategic trade policy
D. Export promotion policy
3 There is positive relationship between multiplier and.
A. Marginal propensity to consume
B. Marginal propensity to save
C. Marginal efficiency of capital
D. all of these
4 An indifference curve gives
A. the actual combination of goods that consumer chooses
B. the minimum choice of the consumer
C. the highest level of satisfaction
D. None of these
5 A tariff that probibits imports ahs only
A. A revenue effect and redislnbution effect
B. Revenue effect and protection effect
C. Consumption effect and production effect
D. Redistribution effect and consumption effect
6 According to factor price equalization theorem the ______ factor should oppose free trade policies in any given country.
A. Abundant
B. Scarce
C. Neither
D. Can't tell without more information
7 Compared to the case of perfect competition.
A. Monopolist is more likely to
B. Charge a higher price
C. Produce a lower quantity of the product
D. All of the above
8 ____________ represents the difference between what consumers have to pay for a product and what they are willing and able to pay.
A. Producer surplus
B. Deadweight surplus
C. Government surplus
D. Consumer surplus
9 If the autarky price of S were lower in country A than in country B, then if trade were allowed.
A. A would likely exports s to B
B. A would likely import s from B
C. Neither country would want to trade
D. None of the above
10 The largest trading partner of Pakistan is
A. Italy
B. US
C. USA
D. None of these

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