PPSC Economics Topic 11 MCQS Test Preparation

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

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PPSC Economics Topic 11 Assess Your Basics

00:00
Question # 1

The key issues of macroeconomics are

Question # 2

Except for taxes to offset ___ taxes are.

Question # 3

If a country has a burden of debt it cannot sustain it can.

Question # 4

A fall in investment demand can result from

Question # 5

Short run average total costs are equal to the sum of _______ and______

Question # 6

Efficiency wages are_______ that raise

Question # 7

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

Question # 8

Holding all factors constant except one and increasing a variable factor is expected to lead to steadily decreasing marginal product of the factor this is an example of.

Question # 9

If a long average cost rises, output rises from left to right this is an example of.

Question # 10

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

Question # 11

Within circular flow of income, an increase in domestic income iwll lend to increase.

Question # 12

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

Question # 13

All of the following represent obstacles to LDC development except.

Question # 14

Leakages from the circular flow are____ and _____

Question # 15

If two firms doing the same thing in the same industry join together this is known as a.

Question # 16

The level of the equilibrium exchange rate offsets international difference in.

Question # 17

The allocation of resources is not efficient it

Question # 18

a demand curve can shift because of changing.

Question # 19

Starting from a balanced budget, for a given tax rate an increase in income will cause the government budget to.

Question # 20

The multiplier is calculated as.

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Economics
11th Chapter

PPSC Economics Chapter 11 Test

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PPSC Economics Chapter 11 Important MCQ's

Sr.# Question Answer
1 Possible causes of involuntary unemployment are
A. Minimum wage agreements
B. Trade unions
C. Scale economies
D. All of the abvoe
2 The prisoners Dilemma Game demonstrates that.
A. Players are better off to act independently
B. Monopoly is better than competition
C. People will always cheat
D. Players are better off if they con operate
3 Short run average total costs are equal to the sum of _______ and______
A. Short run opportunity costs, profit
B. Short run average variable costs, profit
C. short run average variable costs, profit.
D. Short run average variable costs short run average fixed costs
4 The equilibrium price clears the market it is the price at which.
A. Everything is sold
B. Buyers spend all their money
C. Excess demand is zero
D. c and d
5 The neoclassical theory of growth identities the steady state rate of growth as the _________ just sufficient to keep _______ constant while labour grows.
A. Saving investment
B. Capital per person productivity
C. Labour growth , output
D. Investment capital per person
6 a demand curve can shift because of changing.
A. Incomes
B. Prices of related goods
C. Testes
D. All of the above
7 If a price increase of good A increases the quantity demanded of good B, then good B is a.
A. substitute good
B. Complementary good
C. Bargain
D. Interior good
8 In an open economy leakages to imports ______ the value of the multiplier.
A. Reduce
B. Increase
C. do not change
D. None of these
9 Perfect international capital mobility suggests that international funds will be responsive to _______ differentials.
A. Current account
B. Interest rate
C. Tax
D. Price
10 A competitive equilibrium is Pareto efficient because.
A. Producers are price takers
B. Consumers and producer's face the same prices
C. Marginal costs and benefits are equal
D. All of the above

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