Description : Which of the following results by dividing national income by size of population? (1) Per capita income (2) Subsistence level (3) Subsistence expenditure- (4) Per capita production
Last Answer : (1) Per capita income Explanation: Per capita income or average income or income per person is a measure of mean income within an economic aggregate, such as a country or city. It is calculated by ... in the aggregate (such as GDP or Gross National Income) and dividing it by the total population.
Description : Which of the following results by dividing national income by size of population ? (1) Per capita income (2) Subsistence level (3) Subsistence expenditure (4) Per capita production
Last Answer : Per capita income
Description : Gross National Product - Depreciation Allowance =? (1) Per Capita Income (2) Gross Domestic Product (3) Personal Income (4) Net National Product
Last Answer : (4) Net National Product Explanation: Net National product (NNP) is Gross National Product minus a depreciation allowance for the wearing out of machines and buildings during the period. In other words, NNP= ... Since NNP counts only the net additions to the nation's stock, it is less than GNP.
Description : Gross National Product – Depreciation Allowance = ? (1) Per Capita Income (2) Gross Domestic Product (3) Personal Income (4) Net National Product
Last Answer : Net National Product
Description : Which among the following method is used to calculate poverty in India? (a) Investment Method. (b) Capital Method. © Savings Method. (d) Income Method.
Last Answer : (d) Income Method.
Description : Which of the following is not required while computing Gross National Product (GNP)? (1) Net foreign investment (2) Private investment (3) Per capita income of citizens (4) Purchase of goods by government
Last Answer : (3) Per capita income of citizens Explanation: Gross National Product (GNP) is the market value of all products and services produced in one year by labour and property supplied by the ... measures the value of goods and services that the country's citizens produced regardless of their location.
Description : Which of the following is not required while computing Gross National Product (GNP) ? (1) Net foreign investment (2) Private investment (3) Per capita income of citizens (4) Purchase of goods by government
Last Answer : Per capita income of citizens
Description : Which state in India now has the highest per capita income? (a) Goa (b) Delhi © Punjab (d) Kerala.
Last Answer : (a) Goa
Description : What base year is used to calculate per capita income in India? (a) 2004-05 (b) 2011-12 © 2001-02 (d) 2014-15
Last Answer : (b) 2011-12
Description : The supply of labour in the economy depends on - (1) Population (2) National income (3) Per capita income (4) Natural resources
Last Answer : (1) Population Explanation: The supply curve for labor depends on variables such as population, wage rates, etc. in developing countries, the vast population base explains the relatively lower wage ... accessibility to labour supply. This is just the opposite in the case of developed countries.
Description : Which is the parameter for the economic development? (1) Per capita monetary income (2) National income (3) Per capita rural income (4) Population
Last Answer : (1) Per capita monetary income Explanation: A majority of economists such as Simon Kuznets, Meter and Baldwin, Hicks D. Samuelson, Pigeon and others consider national income as the most suitable ... economic growth is meaningless if it does not improve the standard of living of the common masses.
Description : Which is the parameter for the economic development ? (1) Per capita monetary income (2) National income (3) Per capita rural income (4) Population
Last Answer : Per capita monetary income
Description : The supply of labour in the economy depends on (1) Population (2) National income (3) Per capita income (4) Natural resources
Last Answer : Population
Description : Savings rate is relatively low in developed economies because of - (1) Low per capita income (2) Welfare programmes (3) Liquidity/ Borrowing constraint (4) High interest rate
Last Answer : (2) Welfare programmes Explanation: As a general rule, saving is considered as a derivative of consumption. Developed economies have lower saving rates than developing countries because ... generations raises national consumption and lowers national saving (The Concise Encyclopedia of Economics).
Description : Savings rate is relatively low in developed economies because of (1) Low per capita income (2) Welfare programmes (3) Liquidity/Borrowing constraint (4) High interest rate
Last Answer : Welfare programmes
Description : The difference between gross investment and net investment is (a) Depreciation (b) Acceleration © Deceleration (d) Capital investment
Last Answer : (a) Depreciation
Description : The marginal propensity to consume is equal to (a) Total spending/Total consumption (b) Total consumption/ Total income. © Change in consumption/ Change in income (d) Change in consumption/ Change in savings.
Last Answer : © Change in consumption/ Change in income
Description : The total value of goods and services produced in a country during a given period is - (1) Disposable income (2) National income (3) Per capita income (4) Net national income
Last Answer : (2) National income Explanation: National income is the total value a country's final output of all new goods and services produced in one year. Understanding how national income is created is the starting point for macroeconomics.
Description : The total value of goods and services produced in a country during a given period is (1) Disposable income (2) National income (3) Per capita income (4) Net national income
Last Answer : National income
Description : If an increase in investment leads to a bigger increase in national income (a) Accelerator (b) Aggregate demand © Monetarism (d) Multiplier
Last Answer : (d) Multiplier
Description : An increase in investment is caused by (a) Lower interest rates (b) Expectations of lower national income © A decrease in the marginal propensity to consume (d) An increase in withdrawals
Last Answer : (a) Lower interest rates
Description : Classical economists’ neglects---- side in their theories. (a) demand (b) supply © savings (d) investment
Last Answer : (a) demand
Description : In India agricultural income is calculated by (a) Income method (b) Output method © Expenditure method (d) None of them.
Last Answer : (b) Output method
Description : Savings represent (a) An injection to the circular flow of income (b) A withdrawal into the circular flow © Both an injection and a withdrawal (d) None of the above.
Last Answer : (b) A withdrawal into the circular flow
Description : Depreciation of machines fails under the indirect expenses head. As per income tax regulations, it is calculated by the __________ method. (A) Diminishing balance (B) Sinking fund (C) Multiple straight line (D) Sum of the years digit
Last Answer : (A) Diminishing balance
Description : The standard of living in a country is represented by its: (1) poverty ratio (2) per capita income (3) national income (4) unemployment rate
Last Answer : (2) per capita income Explanation: Per capita income or average income or income per person is the mean income within an economic aggregate, such as a county or city. It is calculated by taking a ... not a good standard of measuring standard of living as it is income of one person of the country.
Description : An individual's actual standard of living can be assessed by - (1) Gross National Income (2) Net National Income (3) Per Capita Income (4) Disposable Personal Income
Last Answer : (3) Per Capita Income Explanation: The standard of living is a measure of the material welfare of the inhabitants of a country. The baseline measure of the standard of living is real ... GDP increases a nation's standard of living providing that output rises faster than the total population.
Description : The best measure to assess a country's economic growth is - (1) per capita income at constant prices (2) per capita income at current prices , (3) gross domestic product at current prices (4) gross national product at current prices
Last Answer : (1) per capita income at constant prices Explanation: Gross domestic product (GDP) is the market value of all officially recognized final goods and services produced within a country in a given period ... the aggregate (such as GDP or Gross National Income) and dividing it by the total population.
Description : From the national point of view, which of the following indicates micro approach? (1) Study of sales of mobile phones by BSNL (2) Unemployement among Women (3) Per capita income in India (4) Inflation in India
Last Answer : (1) Study of sales of mobile phones by BSNL Explanation: Macroeconomics is a branch of economics in which a variety of economy-wide phenomena is thoroughly examined such as, inflation, price levels, rate ... and firms. So the study of sales of mobile phones by BSN I, comes under microeconomics.
Description : The picture above explains a. we cannot take national income as indicator for development. b. per capita income is better measure for development. c. average income hide disparities. d. none of the above
Last Answer : c. average income hide disparities.
Description : An individual’s actual standard of living can be assessed by (1) Gross National Income (2) Net National Income (3) Per Capita Income (4) Disposable Personal Income
Last Answer : Per Capita Income
Description : The best measure to assess a country’s economic growth is (1) per capita income at constant prices (2) per capita income at current prices (3) gross domestic product at current prices (4) gross national product at current prices
Last Answer : per capita income at constant prices
Last Answer : per capita income
Last Answer : Study of sales of mobile phones by BSNL
Description : According to Acceleration principle investment depends on change in the level of------ (a) rate of interest. (b) level of income. © price (d) saving.
Last Answer : (b) level of income.
Description : .Induced investment depends on (a) Price level and rate of interest (b) Level of income and rate of interest © Level of employment and wage rate (d) Price level and wage rate.
Last Answer : (b) Level of income and rate of interest
Description : n the simple Keynesian model investment is (a) Fixed. (b) A function of level of income. © Either fixed or a function of level of income. (d) None of the above.
Last Answer : © Either fixed or a function of level of income.
Description : Which of the following statement is inconsistent with Say's Law (a) The economy has flexible wages and prices. (b) The economy's level of investment solely depends on the level of income. © The ... produce at full employment level of output. (d) The economy has an environment of laissez faire .
Last Answer : (b) The economy’s level of investment solely depends on the level of income.
Description : In National Savings Certificates, investment up to ________ per annum qualifies for IT Rebate under section 80C of Income Tax Act. A. Rs.10 lakh B. Rs.2 lakh C. Rs.5 lakh D. Rs.1 lakh
Last Answer : D. Rs.1 lakh Explanation: There is no maximum limit for investment. Certificates can be kept as collateral security to get loan from banks. Investment up to INR 1,00,000/- per annum qualifies for ... Tax Act. Trust and HUF cannot invest. Rate of interest effective from 1st April 2016 is 8.10%
Description : .An increases in investment is most likely to be caused by (a) Lower interest rates (b) Expectations of lower national incomes © A decrease in the marginal propensity to consume (d) An increase in withdrawals.
Description : Consumptions function refers to - (1) relationship between income and employment (2) relationship between savings and investment (3) relationship between input and output (4) relationship between income and consumption
Last Answer : (4) relationship between income and consumption Explanation: The Consumption function is a single mathematical function used to express consumer spending. It was developed by John Maynard Keynes and ... by current income and induced consumption that is influenced by the economy's income level.
Description : Investment multiplier shows the effect of investment on - (1) Employment (2) Savings (3) Income (4) Consumption
Last Answer : (3) Income Explanation: Investment multiplier is simply the multiplier effect of an injection of investment into an economy. The multiplier effect refers to the idea that an initial spending rise can lead to even greater increase in national income
Description : Investment and savings are kept equal through a change in the level of - (1) Consumption (2) Investment (3) Government expenditure (4) Income
Last Answer : (1) Consumption Explanation: Desired savings are kept equal to desired investment by responses to interest rate changes. Savings identity or the savings investment identity is a concept in ... brings savings and investment into balance without any intention by business to increase investment.
Description : Consumption function expresses the relationship between consumption and - (1) savings (2) income (3) investment (4) price
Last Answer : (2) income Explanation: The consumption function is a mathematical formula laid out by famed economist John Maynard Keynes. The formula was designed to show the relationship between real disposable ... being what Keynes considered the most important determinant of short-term demand in an economy.
Description : Investment Multiplier is a (a) ratio between income and investment. (b) ratio between investment and savings (c) ratio between consumption and investment (d) None of the abov
Last Answer : (b) ratio between investment and savings
Description : Investment multiplier shows the effect of investment on (1) Employment(2) Savings (3) Income (4) Consumption
Last Answer : Income
Description : Consumption function expresses the relationship between consumption and (1) savings (2) income (3) investment (4) price
Last Answer : income
Description : Consumptions function refers to (1) relationship between income and employment (2) relationship between savings and investment (3) relationship between input and output (4) relationship between income and consumption
Last Answer : relationship between income and consumption
Description : Investment and savings are kept equal through a change in the level of (1) Consumption (2) Investment (3) Government expenditure (4) Income
Last Answer : Consumption
Description : EPS (Earning Per Share) is calculated by a. adding net profit by the number of current shares. b. dividing net profit by the number of current shares. c. adding net profit to the number of shares outstanding. d. dividing net profit by the number of shares outstanding. e. none of these.
Last Answer : d. dividing net profit by the number of shares outstanding.