PPSC Economics Topic 11 MCQS Test Preparation

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

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

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PPSC Economics Topic 11 Assess Your Basics

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Question # 1

A production technique is technically efficient if.

Question # 2

Adding up the quantities demanded of a good by different people facing the same price gives us the.

Question # 3

Expansionary fiscal policy in the classical model will cause aggregate demand to ______ potential output.

Question # 4

An increase in consumer income will increase demand for a __________ for decrease demand for a.

Question # 5

Comparing a monopoly and a competitive firm the monopolist will.

Question # 6

Potential output can be increased by _________ or by_________

Question # 7

In the ERM, each country fixed ___ against each other ERM participant collectively the group._____ against the rest of the world.

Question # 8

The business cycle is not transmitted from one country to another through.

Question # 9

Higher export demand _______ output and a higher MPZ______ output..

Question # 10

Efficiency wages are_______ that raise

Question # 11

When the S/L exchange rate rises the pounds______ and whent he S/L rate falls the pounds.

Question # 12

A tariff causes domestic firms to __________ and consumers to

Question # 13

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

Question # 14

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

Question # 15

When capital mobility is perfect, interest rate differentials will tend to be offset by

Question # 16

A dominant strategy is.

Question # 17

An upward shift in marginal cost ___________ output and an upward shift in _____ marginal revenue __ output.

Question # 18

The effect of a tax to offset a negative eternality will be to ________ price and ____ quantity.

Question # 19

a demand curve can shift because of changing.

Question # 20

If the government increase spending and raises taxes by just enough to finance the increase it will.

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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.

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PPSC Class Economics Chapter 11 Important MCQ's

Sr.# Question Answer
1 All of the following are type of monetary policy except
A. A nominal money stock target
B. A balances budget
C. An inflation target
D. The pursuit of a target real interest rate
2 a demand curve can shift because of changing.
A. Incomes
B. Prices of related goods
C. Testes
D. All of the above
3 If British Residents want more French francs to purchases more fresh wine, other things equal than the equilibrium value of the pound against the French farce will.
A. Rise
B. fall
C. not changes
D. fluctuate
4 A fixed exchange rate, plus perfect capital mobility _______ the scope for monetary policy.
A. Enhances
B. Undermines
C. Encourages
D. Facilitates
5 Micro economics is conceded with
A. The economy as a whole
B. The electronics industry
C. The study of individual economic behavior
D. the interactions within the entire economy
6 Nominal GNP measures income
A. At the present time
B. Corrected for tax changes
C. Corrected for changes in interest rates
D. At current prices
7 For a competitive firm its short run supply curve is ________ and its long run supply curve is.
A. SMC , LMC
B. SMC above SAVC, LMC above LAC
C. SMC below SAVC, LMC above LAC
D. SMC Below SAVC, LMC below LAC
8 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
9 Macro economics is the study of.
A. Individual building blocks in the economy
B. The relationship between different sectors of the economy
C. Household purchased decisions
D. The economy as a whole
10 The multiplier tells us how much __________ chagnes after a shift in.
A. Consumption, income
B. Investment , output
C. Savings, investment
D. output, aggregate demand

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