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 Indian Economy Questions

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Q:

Economics involves marginal analysis because

A) marginal benefits always exceed marginal costs B) much economic behavior is irrational
C) most decisions involve changes from the present situation D) marginal costs always exceed marginal benefits
 
Answer & Explanation Answer: C) most decisions involve changes from the present situation

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Q:

Which amongst the following is not a component of monetary policy in India?

A) Repo rate B) Moral suasion
C) Credit Rationing D) Public Debt
 
Answer & Explanation Answer: D) Public Debt

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Q:

If depreciation exceeds gross investment

A) the economy's stock of capital is growing B) the economy's stock of capital may be either growing or shrinking
C) net investment is zero D) the economy's stock of capital is shrinking
 
Answer & Explanation Answer: D) the economy's stock of capital is shrinking

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Q:

Bilateral monopoly occurs where

Answer

Bilater monopoly occurs in a market where a single seller i.e, a only one monopoly and a single buyer i.e, one monopsony exists.

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Subject: Indian Economy Exam Prep: AIEEE , Bank Exams , CAT , GATE
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Q:

A trial balance is prepared to

A) measure credits B) measure debits
C) measure credits = debits are not D) None of the above
 
Answer & Explanation Answer: C) measure credits = debits are not

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Q:

The study of economics is primarily concerned with

A) choices that are made in seeking to use scarce resources efficiently B) keeping private businesses from losing money
C) demonstrating that capitalistic economies are superior to socialistic economies D) None of the above
 
Answer & Explanation Answer: A) choices that are made in seeking to use scarce resources efficiently

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Q:

Another name for false productivity is

A) making poor decisions B) filling your mind with negative self-talk
C) driving toward success D) spinning your wheels
 
Answer & Explanation Answer: D) spinning your wheels

Explanation:

Another name for false productivity is Spinning your wheels. They use the term for false productivity because your wheels are spinning as you're doing work but you're not going anywhere i.e, making any progress.

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Q:

For economists, the word "utility" means

A) pleasure and satisfaction B) purposefulness
C) versatility and flexibility D) rationality
 
Answer & Explanation Answer: A) pleasure and satisfaction

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