Economic Concepts Quiz

What is the primary function of the household sector in the economy?

• Exporters of goods

• Government welfare agency

• Producers of goods and services

• Consumers of goods and services

Which of the following is considered an intermediate good?

• A car

• A loaf of bread

• A television

• Steel used in construction

What does GDP stand for?

• Gross Demand Product

• General Domestic Product

• Gross Development Product

• Gross Domestic Product

Which of the following is NOT included in the calculation of national income?

• Final goods

• Profits earned by companies

• Intermediate goods

• Wages paid to workers

What is the formula for calculating Net National Product (NNP)?

• GNP + Depreciation

• GDP - Indirect Taxes

• GNP - Depreciation

• GDP + Net Factor Income

Which of the following is a type of inflation characterized by a price rise of less than 3% per annum?

• Walking Inflation

• Hyper Inflation

• Creeping Inflation

• Running Inflation

What is the primary role of the capital market?

• To control inflation

• To provide short-term funds

• To facilitate long-term capital raising

• To manage government expenditure

Which of the following is a method of measuring national income?

• Value Added Method

• Cost-Benefit Analysis

• Market Equilibrium Method

• Supply-Demand Method

What is the main purpose of a Demat account?

• To facilitate online trading of securities

• To hold shares in physical form

• To manage bank loans

• To track government bonds

Which of the following is a characteristic of bonds?

• High risk

• Fixed interest payments

• No maturity period

• Ownership in a company