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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khurram shazzz 02 - Mar - 2022 04 Min 47 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	A shift in tastes toward Pakistan goods ________ net exports and causes the IS curve to shift to the.	A. decreases ; right B. decreases ; fall C. increases ; rise D. increases ; fall
2	In the 1930s, when Keynes was alive a expansionary fiscal policy taking everything else constant would have led to.	A. A relative large increase in Y, a smaller increate n P B. A relative large increase in P, a smaller increase in Y C. Both Y and P increasing with an percentage D. Only Y increase
3	During the early years of the Great depression there was a significant decrees n the the money supply that causes. the ______ to shift____	A. LM ; Leftward B. LM ; rightward C. IS ; Leftward D. IS ; rightwards
4	If the Central Bank wanted to decrease the quantity of money held by the public it would.	A. Sell government securities B. Buy government securities C. Lower the legal reserve requirement D. Raise taxes
5	Which policies are expenditure changing policies.	A. Currency devaluation and revaluation B. Import quotas and tariffs C. Monetary and fiscal policy D. Wage and price controls
6	An increase in spending those results from expansionary _______ policy cause the interest rate to.	A. fiscal ; rise B. fiscal ; fall C. incomes ; rise D. income ; fall
7	When a government prints money to finance its expenditures it is likely to cause	A. Unemployment B. Inflation C. Deflation D. Reductions in the use of barter
8	in The Liquidity trap region	A. Fiscal policy is not effective B. Monetary policy is completely ineffective C. Monetary policy is completely effective D. Fiscal policy and monetary policy are equally effective
9	What technical terminology do economists use to refer to how much the money will multiply as this process unfolds.	A. The multiplier B. The money multiplier C. Required reserve ratio D. Open market operations
10	A decrease iin money demand other thing equal shifts the _____ curve to the	A. IS ; right B. Is ; Left C. LM ; Left D. LM ; Rfight

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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

An increase in autonomous consumer expenditure causes the equilibrium levelof aggregate output to _______ at any given interest rate and shifts the ____ curve to the

A decrease in the quantity of money supplied shifts the money supply curve to the _____ and the LM curve to the

What happens to the money supply if the deficit is financed by selling bonds to the central bank.

Those who favor setting the target rate of inflation at about 3% believe.

An increase in the quantity of money supplied shifts the money supply curve to the_______ and the equilibrium interest rate

a contractionary monetary policy

Money is

During the early years of the Great depression there was a significant decrees n the the money supply that causes. the ______ to shift____

Under system fixed exchange rates which of the following policies promotes internal balance for a nation.

As the interest sensitivity of money demand increases

Actual equilibrium is Rs. 1,500 billion and full employment is Rs. 2,500 MPC = 0.75 taxes are zero , and prices are adjustable To eliminate the observed deflationary gap , the government should.

A change in the money supply has a greater effect upon equilibrium income.

An increase in autonomous consumer expenditure causes the equilibrium levelof aggregate output to _______ at any given interest rate and shifts the ____ curve to the

If the State bank of Pakistan wished to pursue a light monetary policy it would.

Fiscal policy refers to.

The rate of which central bank lends to commercial banks is known as

An autonomous rise in __________ note causes by a change in the price level aggregate output of the interest shifts the _________ curve to the

In the Keynesian cross diagram a decrease in investment spending because companies become more pessimistic about investment profitability causes the aggregate demand function to shift ______ and the equilibrium level of aggregate output to ______

In the money market a condition of excess supply of money cna be eliminated by a _________ in aggregate output or a __ in the interest rate , both of which increase the quantity of money demanded.

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

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Set 3

Set 4

Set 5

Set 6

Set 7

Set 8

Set 9

Set 10

Set 11

Set 12

Set 13

Set 14

Topic Test

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

PPSC Economics Chapter 4 Important MCQ's

Test Questions

An increase in autonomous consumer expenditure causes the equilibrium levelof aggregate output to ___ at any given interest rate and shifts the curve to the

During the early years of the Great depression there was a significant decrees n the the money supply that causes. the __ to shift

An increase in autonomous consumer expenditure causes the equilibrium levelof aggregate output to ___ at any given interest rate and shifts the curve to the

An autonomous rise in __ note causes by a change in the price level aggregate output of the interest shifts the _ curve to the

In the Keynesian cross diagram a decrease in investment spending because companies become more pessimistic about investment profitability causes the aggregate demand function to shift and the equilibrium level of aggregate output to

In the money market a condition of excess supply of money cna be eliminated by a _______ in aggregate output or a in the interest rate , both of which increase the quantity of money demanded.