Question # 1

"The impact on this monetary aggregate of extensive finance innovation -the changes in the kinds of deposits and services offered by banks led the central bank to drop M1 as a n intermediate target with the changes in the way the public was holding payments balances the M1 aggregate no longer that the same reliable link to.

Choose an answer

Tax rates

The money supply

Aggregate demand

Government spending

In economics money refers to

Choose an answer

Income

Wealth

Assets use and accepted an payment

Currency

Which of the following is a characteristic of monopolistic competition.

Choose an answer

One seller serving the entire market

When each firm sells an identical product

When firms do not compete on a product quality price and marketing

When firms are free is enter and exit the market

Which of the following explains why demand curves slope downward.

Choose an answer

Prices and income

substitutes and complements

Resources and technology

Substitution effect and income effect

In the home country government grants a subsidy of a domestically produced good domestic producers tend to.

Choose an answer

Capture the entire subsidy in the form of higher profits

Increase their level of production

Reduce wages paid to domestic workers

Consider the subsidy as an increase in production cost

One of money's primary roles in the economy comes from the use of money to transfer purchasing power to the future This role of money is called.

Choose an answer

store of value

Unit of account

Medium of exchange

Standard of deferred payment

A _________ is a regional trading block in which member countries eliminate intercanal trade barriers but maintain existing barriers against countries that are not members.

Choose an answer

Free trade area

Customs union

Common market

Monetary union

Gender is categorized as

Choose an answer

Nominal data

Ordinal data

Interval data

Ratio data

The funds used for further investment in joint stock company refers to.

Choose an answer

Distributed

Undistributed

Remaining

All of the above

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

Choose an answer

Milton Friedman

Ronald reagan

Margaret Thatcher

John Maynard Keynes

A good that is used as a medium of exchange as well as being a consumption good is called.

Choose an answer

A barter money

A commodity money

A legal tender

A debased money

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.

Choose an answer

IS ;right

IS ;Left

LM ; Left

LM ; Right

A monetary action consistent with the central bank selling bonds in the open market would be.

Choose an answer

An increase in the reserve ratio

A reduction in the discount rate of interest

An increase in government spending.

a reduction in excise taxes

Which of the following macro economic variables is the most seasonally pro cyclical.

Choose an answer

Expenditure on services

The unemployment rate

Expenditure on durable goods

The real wage

During the last eight years the per capita income in Pakistan has been

Choose an answer

Increasing substantially because of decline in population growth

Decreasing

increasing only marginally

Constant

Skills that embodied in a person are called

Choose an answer

Human capital

Emboded skills

Physical capital

Expeneces skills.

Total revenue equals

Choose an answer

Price Plus quantity

Price multiplied by quantity sold

Price divided by the quantity sold

Price minus quantity sold

The negative relation ship between unemployment and inflation is know as the

Choose an answer

Aggregate supply curve

Aggregate demand curve

Philipps curve

Efficiency wage line

If an individual has a money income M of Rs. 999 , the price of X is rs.7.00 per unit and ithe price of Y is Rs. 300 per unit find the equation for the budget lines.

Choose an answer

Y = 333 - (7/3) x

Y = 142 - (7/3) x

Y = 142- (3/7) x

Y = 323 - (7/3) x

The form of intonational price discrimination normally associated with economic recession or excess inventions in the exporting nation is known as.

Choose an answer

Predatory dumping

sporadic dumpling

Persistent dumpling

Year and dumping

Who among the following is concerned with deep acology.

Choose an answer

Arne Naes

Warwick fox

Kant

None of these

A product will be traded only if the pre trade price difference between the two countries

Choose an answer

Is less than the cost of transporting it between them

is greater than the cost of transporting it between them

Equals the cost of transporting it between them

More information is needed to answer this question

The concept of carbon credit originated from which one of the following.

Choose an answer

Earth summit rio de jeneiro

Kyoto protocol

Montreal protocol

G-8 summit Helligendamm

In perfect price discrimination

Choose an answer

Consumer surplus is maximized

Produce surplus is zero

Community surplus is maximized

Consumer surplus is zero

Which of the following is an automatic stabilizer.

Choose an answer

Unemployment benefits

Spending on education

Defense spending

Net interest

The multiplier that applies to changes in autonomous investment is identical to changes in.

Choose an answer

Autonomous government expenditures

Autonomous consumption expenditures

Autocoups exports

All of the responses above

According the Keynes when the great depression started , the government should have.

Choose an answer

Done nothing

Decreased the money supply

Had a large increase in government spending.

Enacted high tariffs, such as the smoot Hawley tariff

A beneficial supply shock would cause.

Choose an answer

A movement up the short run Phillips

a movement down the short run Phillips curve

The short run Phillips curve to shift upward and to the rights

The short run Phillips curve to shift down ward and to the left

Which among the following is the sensible theory of sampling.

Choose an answer

Induction

Inertia

Regularity

None of the above

Unfair competition does not include

Choose an answer

Price cutting

predatory pricing

Cartels

Price fixing

In a competitive industry each buyer and seller.

Choose an answer

Is a price taker

Produce different products

Believes that can influence price

Prevents the entry of competitors

More Classes

Other Links

PPSC Economics Full Book MCQ Test MCQs With Answers

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer