PPSC Economics Topic 4 Monetary & Fiscal Policy

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

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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	The IMF is an agency charged with providing.	A. Technical assistance to stock market and financial market problems. B. Loans for post World War II reconstruction C. Short term credit for international balance of payments deficits D. Bonds denominated in U.S. dollars as a loan to LDCs
2	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
3	Money's primary role in the economy comes from the benefits of lowering transactions costs and allowing specialization This function of money is called.	A. Store of value B. Medium of exchange C. Standard of deferred payment D. Unit of account
4	The equilibrium level of saving is.	A. Rs.120 B. Rs.75 C. Rs.40 D. Rs.80
5	The limit of an economy's total productive capacity at any given time is set by	A. The amount of money in circulation B. Business demand for goods and services C. The level of government spending and taxation D. the quantity and quality of its productive resources
6	A shift in tastes loward foreign goods______ net exports and causes the quantity of aggregate output demanded to.	A. decreases ; rise B. decreases ; fall C. increases ; rise D. increases ; fall
7	A decline in planned investment spending unrelated to the interest rate focuses the equilibrium level of aggregate output to ________ and shifts the _ curve to the _______	A. rise; Lm ; RIGHT B. RISE ; is; right C. fall ; IS; Left D. rise ; LM; left
8	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
9	As the interest sensitivity of money demand increases	A. The multiplier term increases B. Fiscal policy has a greater effect on output C. Monetary policy has a smaller effect on output D. All of the above
10	A shift in tastes toward foreign goods ______ net exports and causes the IS curve to shift to the	A. decreases ; right B. decrease ; left C. increase ; right D. increases ; left

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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

When the reserve requirement on checking deposits is 0.10 and the Federal Reserve purchases government securities values at Rs. 100,000, the MI money supply.

The ratio of debt to GDP will be larger

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

A decrease in the legal reserve ratio from 25% to 20% will

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

A shift in tastes toward Pakistan goods ______ net exports and causes the quantity of aggregate output demanded to______

Increasing the government budget deficit.

The quantity of money demanded increases with income Thus if income increases the opportunity cost of holding money demand and re establish equilibrium in the money market This relation is captured by.

Other things equal a decrease in autonomous consumption 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____

Which of the following would qualify as an aggregate demand shocks.

The main role of the Federal Reserve is to

To move from point E to point E1 is consistent with.

The parable of Riding a Switchback suggests that stabilizing policy.

The idea that the money supply should change to accommodate changes in aggregate demand is associated with the ideas of.

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

A decline in the value of the rupee makes Pakistan goods cheaper relative to foreign goods, resulting in a _________ in net exports and a ________shifts of the IS curve.

"Far better for central bankers to get out of the fine tuning business instead they should d try to keep.

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

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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 shift in tastes toward Pakistan goods net exports and causes the quantity of aggregate output demanded to

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

A decline in the value of the rupee makes Pakistan goods cheaper relative to foreign goods, resulting in a _ in net exports and a shifts of the IS curve.