ECONOMICS QUIZ

What do you mean by the supply of goods?

• Stock available for sale

• Total stock in the warehouse

• The actual production of the goods

• Quantity of the goods offered for sale at a particular price per unit of time

What do you mean by ‘under conditions of a perfect competition in the product market’?

• MRP = VMP

• MRP > VMP

• VMP > MRP

• None of the above

Which of the following is the relation that the law of demand defines?

• Income and price of a commodity

• Price and quantity of a commodity

• Income and quantity demanded

• Quantity demanded and quantity supplied

Answer explanation

What do you mean by a mixed economy?

• Modern and traditional industries

• Public and private sectors

• Foreign and domestic investments

• Commercial and subsistence farming

What factors are taken into consideration while revising the poverty line periodically?

• By conducting a survey every five years

• Survey carried out by National Sample Survey Organisation

• Both a and b

• None of the above

In India, which banks/institutions have the highest share in the disbursement of credit to agriculture and allied activities?

• Cooperative banks

• Regional Rural Banks

• Commercial banks

• Microfinance institutions

When price floor is set above equilibrium price it will result in?

• Shortage

• Surpluses

• Equilibrium

• None of the above

What does the bowed-out shape of the production possibilities curve illustrate?

• Law of increasing opportunity cost

• The production is inefficient

• The production is unattainable

• The demand is relatively elastic

What do you mean by Gross National Product?

• The total value of goods and services produced in the country

• The total value of all the transactions in the country

• The depreciation in the total value of goods and services produced in the country

• The total value of goods and services produced in the country and the net factor income from abroad

Starting from the time of independence, why did India follow a planned economy?

1.India followed a five-year plan and required an outlook.

2.Directive Principles of Indian Constitution indicated the planned vision of India.

3.There was no indication whatsoever from the five year plans regarding how much of each and every good and service is to be produced.

• Only 2

• 2 and 3

• 1 and 3

• All of the above