PPSC Economics Topic 11 MCQS Test Preparation

Have you decided to apply and appear for the PPSC test this year but are worried about your preparation? You are advised that do not to be worried at all. This is because here you can find the complete solution to your preparation. Here you can find the PPSC online tests. Once after attempting these tests you can take the complete idea that what types of questions the examiners can ask from you and how to attempt the paper under the given timeframe. You can get the PPSC online sample test consist of 20 MCQs that you can cover in 20 minutes.

MCQ's Test For PPSC Economics Topic 11 Assess Your Basics

Try The MCQ's Test For PPSC Economics Topic 11 Assess Your Basics

  • Total Questions20

  • Time Allowed20

Start Test Download PDF

PPSC Economics Topic 11 Assess Your Basics

00:00
Question # 1

Market some times fall to exist because of.

Question # 2

If the diagram of a line shows that lower values on the vertical scale are associated with higher values on the horizontal scale this is an example of.

Question # 3

The long run Philips curve is _________ at the ______

Question # 4

In the short run the level of floating exchange rates is determined mainly by.

Question # 5

A fixed exchange rate, plus perfect capital mobility _______ the scope for monetary policy.

Question # 6

In the short run, the supply of capital is _______ and in the long run iwll depend on.

Question # 7

The primary function of a bank is to.

Question # 8

The increase in total cost when one more units is produced is known as.

Question # 9

In an open economy leakages to imports ______ the value of the multiplier.

Question # 10

Starting from a position of internal and external balance a reduction in aggregate demand will cause a current account.

Question # 11

A rise in the real exchange rate will __ the competitiveness of the domestic economy.

Question # 12

By restricting labour supply a trade union can _________ and_______

Question # 13

In the classical model, potential output can not be increased by

Question # 14

If banks and the private sector decide to hold less cash the money multiplier will be.

Question # 15

In the circular flow we would expect leakages to __________ injections.

Question # 16

LDC's often have a comparative advantage in the production of.

Question # 17

Economic transition involves high inflation because ______ and _____

Question # 18

International specialization takes place because of.

Question # 19

The allocation of resources is not efficient it

Question # 20

All of the following are benefits of the single market except.

Submit

Prepare Complete Set Wise PPSC Economics Topic 11 Assess Your Basics MCQs Online With Answers


 
Economics
11th Chapter

PPSC Economics Chapter 11 Test

Here you can prepare PPSC Economics Chapter 11 (Assess Your Basics) Test. Click the button for 100% free full practice test.

Start Chapter 11 Test

Top Scorers Of PPSC Economics Topic 11 Assess Your Basics MCQ`s Test

  • T
    Tayyeba 03 - Dec - 2021 12 Min 05 Sec 16/20
  • A
    Amjad Ali 09 - Jun - 2023 07 Min 36 Sec 14/20
  • R
    romana 28 - Jun - 2021 03 Min 45 Sec 13/20
  • A
    Abdul Qayyum 26 - May - 2024 06 Min 48 Sec 13/20
  • S
    Shama Suleman 22 - May - 2022 07 Min 15 Sec 13/20
  • M
    Mona Bajwa 23 - May - 2022 07 Min 39 Sec 12/20
  • A
    Abdul subhan 02 - Jul - 2021 07 Min 28 Sec 11/20
  • M
    Murtaza Gillani 13 - Jul - 2024 07 Min 48 Sec 11/20
  • H
    Hamza 23 - Aug - 2021 10 Min 10 Sec 10/20
  • A
    Aleeza Aslam 15 - Nov - 2022 03 Min 52 Sec 9/20
  • A
    Ayesha siddiqa 08 - Jun - 2021 12 Min 06 Sec 8/20
  • H
    huma 30 - Jun - 2021 12 Min 23 Sec 8/20
  • S
    savera 03 - Jul - 2021 04 Min 58 Sec 6/20
  • A
    Abdul Basit 26 - May - 2022 05 Min 13 Sec 6/20
  • A
    abuzar 02 - Aug - 2023 08 Min 12 Sec 6/20
Sr.# Question Answer
1 If the government increase spending and raises taxes by just enough to finance the increase it will.
A. Leave output unchagned
B. Increase output
C. Reduce output
D. Increase the MPC
2 A firm that breaks even after all economic costs are paid is earning.
A. Economic profit
B. Accounting profit
C. Normal profit
D. Supernormal profit
3 The multiplier accelerator model assumes _______ depends on.
A. Consumption, expected future profits.
B. Investment, interest rates.
C. Investment expected future profits.
D. Stock building, interest rates.
4 A monopoly may be self perpetuating because profits may be used for
A. research
B. Cost saving
C. Technical advance
D. All of the above
5 Potential output can be increased by _________ or by_________
A. Increasing the use of labour, increasing the use of land
B. Increasing the use of capital, increasing the use of labour
C. Increasing the use of land, increasing the use of capital
D. Increasing the use of all inputs technical advances
6 In the event of an increase in the international price of oil that encouraged the central bank to accept lower real interest rates, inflation would most likely.
A. Fall
B. Increases
C. Remain the same
D. Fluctuate
7 The Philips curve shows the trade off between ________ and _____
A. The inflation rate, interest rates
B. The inflation rate, the unemployment rate
C. interest rates, output
D. Output, employment
8 Real business cycle theory suggests that __________ not important in explaining short term fluctuations around actual output.
A. aggregate supply is
B. aggregate demand is
C. Potential output is
D. Real variables are
9 the Maastricht criteria for entry to the EMU are that applicants should have
A. Low inflation
B. Low interest rates
C. Stable nominal exchange rate
D. All of the above
10 In the short run the level of floating exchange rates is determined mainly by.
A. Interest rates
B. Competitiveness
C. Trade
D. Speculation
11 All of the following are types of imperfect competition except
A. Monopolistic competition
B. Oligopoly
C. Monopoly
D. Unfair competition
12 import substitution is the replacement of ________ by domestic production under the protection of.
A. exports, subsidies
B. Exports, patents
C. imports, high tariffs or import quotes
D. Imports, subsidies
13 On a graph a positive linear relation ship.
A. Moves down to the right
B. Moves up to the left
C. Moves up to the right
D. Modes down to the left
14 LDC's often have a comparative advantage in the production of.
A. Primary products
B. Intermediate products
C. Manufactured products
D. Financial services.
15 The allocation of resources is not efficient it
A. The marginal cost of production does not equal society marginal benefit
B. The distribution is inequitable
C. Economic growth is low
D. Unemployment is high
16 The level of the equilibrium exchange rate offsets international difference in.
A. Comparative advantage
B. Absolute advantage
C. Opportunity cost
D. Relative costs
17 A reduction in interest rates, causes an increases in the monetary base that result in an_____ in the availability of consumer credit and a _ in the cost of consumer credit.
A. Reduction, increases
B. reduction,reduction
C. increase, reduction
D. increases, increases
18 A current account deficit means that a country may.
A. Reduce its stock of foreign assets
B. Increases its stock of foreign assets
C. Increases its savings
D. Increases its foreign currency reserves.
19 The participation rate in the labour force is affected by
A. Higher real wages
B. Lower fixed costs of working
C. Lower non labor income
D. All of the above
20 GDP per head may be an imperfect measure of economic welfare because it excludes.
A. The value of leisure
B. Externalities
C. Untraded goods
D. All of the above

Test Questions

Is this page helpful?