Principles Of Economics And Management (3140709) MCQs

MCQs of Basic Economic Problems

Showing 21 to 30 out of 34 Questions
1 2 3 4
21.
As inflation rises, every rupee you own buys _________.
(a) a greater percentage of a good or service
(b) a smaller percentage of a good or service
(c) the same percentage of a good or service
(d) None of these
Answer:

Option (b)

22.
The value of a rupee ________ when Inflation is decreasing.
(a) Increase
(b) Decrease
(c) Remains Constant
(d) Can not say anything
Answer:

Option (a)

23.
If the inflation rate is 10% annually, then theoretically a RS 100 pack of gum will cost RS ____ in a year.
(a) 90
(b) 100
(c) 110
(d) None of these
Answer:

Option (c)

24.
Which is not a type of Inflation based on causes?
(a) Cost-push inflation
(b) Credit inflation
(c) Deficit-induced inflation
(d) Demand-push inflation
Answer:

Option (d)

25.
Which is not a type of Inflation based on the degree of rising in price?
(a) Trotting inflation
(b) Slipping inflation
(c) Creeping inflation
(d) Galloping inflation
Answer:

Option (b)

26.
Which is not the correct cause of cost-push inflation?
(a) Government regulation and taxation
(b) Shift in exchange rates
(c) Natural disasters
(d) Growing economy
Answer:

Option (d)

27.
Find the odd man out.
(a) Walking inflation
(b) Galloping inflation
(c) Moderate inflation
(d) Trotting inflation
Answer:

Option (b)

28.
When a price rise at 30% per annum than that is known as :
(a) Hyper inflation
(b) Running inflation
(c) Walking inflation
(d) Slipping inflation
Answer:

Option (a)

29.
Which is not a cause of Inflation?
(a) Increase in the money supply
(b) Increase in government spending through deficit financing
(c) Increase in Bank Rate
(d) The existence of parallel black money economy
Answer:

Option (c)

30.
Which is not a measure to reduce Inflation?
(a) Increase in CRR
(b) Increase in SLR
(c) Increase in Bank Rate
(d) Increase in the money supply
Answer:

Option (d)

Showing 21 to 30 out of 34 Questions
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