Indian Economy Questions

Q:

Which among the following is the difference in valuebetween a countrys imports and exports?

A) Balance of Trade B) Balance of Payment
C) Balance of power D) Credit Balance
 
Answer & Explanation Answer: A) Balance of Trade

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Q:

Disguised unemployment in India is mainly related to

A) Agricultural sector B) Rural Area
C) Factory sector D) Urban Area
 
Answer & Explanation Answer: A) Agricultural sector

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Q:

The collection of all possible combinations of the goods and services that can be produced from a given amount of resources and a given stock of technological knowledge is called the ____________ of the economy.

A) Resource Probability Set B) Production Probability Set
C) Resource Possibility Set D) Production Possibility Set
 
Answer & Explanation Answer: D) Production Possibility Set

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Q:

Find arc elasticity of demand, if quantity demanded falls from 4600 to 4200 when price of the item is increased from Rs 960 to Rs 1000?

A) -2.23 B) -­2.09
C) 2.23 D) 2.09
 
Answer & Explanation Answer: A) -2.23

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Q:

If demand curve for radial car tyres is D = 230000 ­ 19P and supply curve is S = 180000 + 6P, find the equilibrium Quantity?

A) 19200 units B) 291000 units
C) 29100 units D) 192000 units
 
Answer & Explanation Answer: D) 192000 units

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Q:

Income and consumption are ___________.

A) directly related B) partially related
C) inversely related D) unrelated
 
Answer & Explanation Answer: A) directly related

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Q:

Depreciation is loss in value of ________

A) Final goods B) Machinery
C) Capital stock D) Stock of inventory
 
Answer & Explanation Answer: B) Machinery

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Q:

If the break­even quantity for a factory whose variable cost of manufacturing a cell is Rs. 15 and selling price is Rs. 24 is 2,400 units, find the fixed cost of the factory?

A) Rs. 21600 B) Rs. 36000
C) Rs. 57600 D) Rs. 14400
 
Answer & Explanation Answer: A) Rs. 21600

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