PPSC Economics Topic 4 Monetary & Fiscal Policy

Top Scorers Of PPSC Economics Topic 4 Monetary & Fiscal Policy MCQ`s Test

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Shiza Amir 25 - May - 2022 02 Min 08 Sec 18/20
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Shahida 01 - Sep - 2021 06 Min 25 Sec 17/20
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Shama Suleman 21 - May - 2022 12 Min 21 Sec 12/20
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Amjad Ali 07 - Jun - 2023 12 Min 49 Sec 12/20
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Shad Ali Shah 27 - Jul - 2024 15 Min 17 Sec 12/20
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DJ DJ 12 - Aug - 2022 11 Min 02 Sec 11/20
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zaheer hussain 18 - Jan - 2024 14 Min 06 Sec 11/20
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Mahnoor NaSir 24 - May - 2022 07 Min 27 Sec 9/20

PPSC Economics Chapter 4 Important MCQ's

Sr.#	Question	Answer
1	Money and income are.	A. Mirror image of each other B. Two quite different concepts C. Both measured as a per annum flow D. Two ways of looking at the same thing.
2	What happens to the money supply if the deficit is financed by selling bonds to the central bank.	A. The money supply increases B. The money supply decreases C. The money supply is unaffected D. We cannot tell what will happen to the money supply
3	Factor that cause the IS curve to shift include.	A. Change in autocoups consumer spending B. Change in taxes C. Change in government spending D. All of the above
4	In the ISLM framework the decreasing investment spending believed by Keynes to be the cause of the Great Depression would be illustrated by a shift of the ____ curve to the.	A. IS ;right B. IS ;Left C. LM ; Left D. LM ; Right
5	An increases in the value of the Rupee makes foreign goods cheaper relative to Pakistan goods, resulting in a _______ in net exports and a __ shift of the IS curve	A. fall ; leftward B. rise ; leftward C. fall ; rightward D. rise ; rightward
6	An increase in money _______ shifts the LM curve to the _____ causing the interest rate to fall and output to rise	A. demand ; right B. demand ; left C. supply ; right D. supply ; left
7	Which of the following would qualify as an aggregate demand shocks.	A. An unexpected increase in oil prices B. A seasonally expected increase in oil prices C. An unexpected reduction in consumer confidence D. an anticipated tax cut
8	If the original money supply is MSo and the original demand for money is MDo then	A. The equilibrium interest rate and savings are 5% and 50 B. The money supply is 200 and equilibrium income is 500 C. The equilibrium interest rate and income are 5% and 600 D. The speculative demand is 25
9	If the central Bank wished to Tighten money is would.	A. Lower the discount rate B. Sell government securities C. Lower the legal reserve ratio D. Lower the tax rate
10	Monetary policy can affect output.	A. this statement is always true B. This statements always false C. This statement is true only in the short run D. This statement is true only in the medium run and the long run

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PPSC Economics Topic 4 MCQS Test Preparation

MCQ's Test For PPSC Economics Topic 4 Monetary & Fiscal Policy

PPSC Economics Topic 4 Monetary & Fiscal Policy

Factor that cause the IS curve to shift include.

What's the most common way for a central bank to reduce the money supply.

In the Keynesian cross diagram, an increase in autonomous consumer function to shift _______ the equilibrium level of aggregate output to rise and the IS curve to shift to the.

In the Keynesian corss diagram, and cline in autonomous consumer expenditure causes the aggregate demand function to shift down the equilibrium level of aggregate output to___________ and the IS curve to shift to the.

How do the banks gain from this corporate behavior.

"Transactions" money is money used as a

If the demand for money increase relative to the supply of money

A tax increase __________ disposable income ____ consumption expenditure and shifts the IS curve to the.

When considering any kind of economics indicator, prices are important because.

The intersection of the IS and LM curves captures.

A decrease iin money demand other thing equal shifts the _____ curve to the

The economic logic behind granting central bank's independence from governmental the conduct of monetary policy is.

The function of money do not include.

In the ISLM frame work a contractionary fiscal policy causes aggregate output to ___________ and the interest rate to

When there is no change in central banking holding of international reserve balances a country's

How much of the Rs.5 billion dollar increase in government expenditures will be recouped in taxes.

The Central Bank controls money and credit with the exception of.

The quantity of money demanded varies.

In the case of an expansionary ___ policy the interest rate rise while in the case of an expansionary _______ policy the interest rate falls.

The largest source of tax revenue for the federal government is.

Prepare Complete Set Wise PPSC Economics Topic 4 Monetary & Fiscal Policy MCQs Online With Answers

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Set 12

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Topic Test

Top Scorers Of PPSC Economics Topic 4 Monetary & Fiscal Policy MCQ`s Test

PPSC Economics Chapter 4 Important MCQ's

Test Questions

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A tax increase ______ disposable income consumption expenditure and shifts the IS curve to the.

In the case of an expansionary _ policy the interest rate rise while in the case of an expansionary _____ policy the interest rate falls.