Recent questions tagged fundamentals-of-economics-and-management

Description : Economic order quantity is that quantity at which cost of holding and carrying inventory is: (a) Maximum and equal (b) Minimum and equal (c) It can be maximum or minimum depending upon case to case. (d) Minimum and unequal

Last Answer : (b) Minimum and equal

Description : ……………. States that rapid growth of per capita income will be associated with a reduction in poverty. (a) The trickle down theory ; (b) Multiplier theory ; (c) Malthus population theory ; (d) None

Last Answer : (a) The trickle down theory ;

Description : Which of the following is not an economic activity? (a) Painting for self use ; (b) Maintenance of Public Park by Local administration (c) Painting for commercial use ; (d) Running an Academic school 

Last Answer : (a) Painting for self use ;

Description : Which of these is a secondary sector (a) Manufacturing sector ; (b) Transport ; (c) Forestry ; (d) Animal husbandry

Last Answer : (a) Manufacturing sector ;

Description : Which of these is primary sector. (a) Communication ; (b) Banking ; (c) Construction ; (d) Poultry firming

Last Answer : (d) Poultry firming 

Description : Which of these is/are the feature of an underdeveloped economy? (a) Greater inequalities ; (b) High incidence of unemployment ; (c) Orthodox means of production ; (d) All the three

Last Answer :  (d) All the three 

Description : In an agricultural family all the family members are working the farmland of the family. Due to addition of two more person in the family they are also working in the farmland of the ... (a) Cyclical unemployment ; (b) Disguised unemployment ; (c) Frictional unemployment (d) Seasonal unemployment

Last Answer :  (b) Disguised unemployment ;

Description : Unemployment due to mismatch between skill possessed and present available jobs (a) Cyclical unemployment (b) Structural unemployment ; (c) Frictional unemployment; (d) Seasonal unemployment 

Last Answer : (b) Structural unemployment ;

Description : Which of these measures would not reduce natural rate of unemployment? (a) Creation of more jobs ; (b) Reducing the age of superannuation (c) Hike in unemployment allowance ; (d) Employment oriented education system

Last Answer : (c) Hike in unemployment allowance ;

Description : The type of unemployment that includes those persons who are unemployed for an intervening period of change over in job for better job is known as (a) Seasonal unemployment ; (b) Voluntary unemployment ; (c)Frictional unemployment (d) Technical unemployment

Last Answer : (c)Frictional unemployment 

Description : Labour cost consists of (a) All people officially employed or unemployed (b) All people over the age of 18 but less than 58 years of age (c) All youth having passed matriculate examination ; (d) All the three

Last Answer : (a) All people officially employed or unemployed

Description : Which of the following is not a cause of unemployment in India? (a) Growing population ; (b) Lack of employment opportunity ; (c)Inappropriate education system ; (d) Liberalization

Last Answer : (d) Liberalization

Description : Which of the following is a cause of frictional unemployment? (a) Non-availability of work due to strike and lock-out. (b) Temporary unemployment due to change over in jo(b) ; (c) Both ; (d) None

Last Answer : (c) Both ;

Description : Structural unemployment is mainly due to (a) Structural changes in the economy ; (b) Technological development (c) Growth in GDP ; (d) Population explosion.

Last Answer : (a) Structural changes in the economy ;

Description : Disguised unemployment refers to the situation when (a) Marginal Productivity of the surplus workers is zero (b) Marginal productivity of the surplus workers is less than average productivity ( ... surplus workers is falling sharply (d) Marginal productivity of the surplus workers is falling sharply

Last Answer : (a) Marginal Productivity of the surplus workers is zero

Description : Disguised unemployment is mainly found in (a) Urban areas ; (b) Rural areas ; (c) Small scale sector ; (d) Highly qualified work force

Last Answer :  (b) Rural areas ;

Description : Disguised unemployment is mainly due to (a) Under employment ; (b) Seasonal nature of work ; (c) Strike and lock-out ; (d) Structural changes in the economy

Last Answer : (a) Under employment ;

Description : Sarvya Siksha Abhiyan policy was declared in (a) 2004 ; (b) 2001 ; (c) 1999 ; (d) 2003 ; 

Last Answer :  (b) 2001 ;

Description : NTPC stands for (a) National Thermal Power Corporation ; (b) Naturopathy treatment project commission. (c) Natural thermal project company ; (d) National Thermal power commission 

Last Answer : (a) National Thermal Power Corporation ;

Description : TRAI stands for (a) Trans Communication Regulatory Authority of India ; (b) Telecom Regulatory Authority of India (c) Telegraphic Regulatory Authority of India ; (d) Traffic Regulatory Authority of Indi(a) 

Last Answer :  (b) Telecom Regulatory Authority of India

Description : Regulatory framework for Telecom sector is provided by (a) MTNL ; (b) VANL ; (c) BSNL ; (d) TRAI

Last Answer : (d) TRAI

Description : BSNL stands for (a) British Sanchar Nigam Lt(d) ; (b) Bidesh Sanchar Nigam Lt(d) ; (c) Bharat Sanchar Nigam Lt(d) (d) Bhartiya Swadeshi Nigam Lt(d) 

Last Answer : (d) Bhartiya Swadeshi Nigam Lt(d)

Description : Green revolution was successful because of use of ……. Seeds (a) HYV ; (b) Imported ; (c)Australian ; (d) Local seeds

Last Answer : (a) HYV ;

Description : Green revolution is also known as (a) Wheat revolution ; (b) Milk revolution ; (c) Grain revolution ; (d) Chipko movement

Last Answer : (a) Wheat revolution ;

Description : Which of the following would not reduce the transaction cost in a market? (a) a real estate agent, when buying a house (b) a stock broker, when purchasing stock (c) a full page newspaper ad to sell your used lawn mower (d) a farmer’s market for fresh produce

Last Answer : (c) a full page newspaper ad to sell your used lawn mower 

Description : What will happen to the equilibrium price and quantity of peanut butter if peanuts increase in price and the price of jelly decreases? (a) the equilibrium price and quantity increase (b) the ... ) the equilibrium price will rise and the equilibrium quantity will be indeterminate (d) None of above 

Last Answer : (c) the equilibrium price will rise and the equilibrium quantity will be indeterminate 

Description : Which of the following is correct for the price ceiling which is set below the market s equilibrium price? (a) quantity demanded exceeds quantity supplied at the set price; (b) quantity demanded is less than quantity ... the set price ; (c) at the set price there is a surplus ; (d) None of above 

Last Answer : (a) quantity demanded exceeds quantity supplied at the set price;

Description : Which of the following is correct for a price floor set above the equilibrium price? (a) quantity supplied is less than quantity demanded at the set price.; (b) at the set price there will be a shortage; (c) quantity supplied exceeds quantity demanded at the set price ; (d) None of above

Last Answer : (c) quantity supplied exceeds quantity demanded at the set price ;

Description : If supply and demand both shift outward, but demand shifts outward more than supply, the equilibrium price (a) will increase and quantity will increase ; (b) will increase and quantity will decrease; (c) will decrease and quantity will decrease ; (d) will decrease and quantity will increase

Last Answer : (a) will increase and quantity will increase ;

Description : As a certain type of clothing becomes more fashionable, we would expect its equilibrium price (a) to decrease and quantity will remain constant ; (b) and quantity will decrease; (c) to increase and quantity to decrease ; (d) and quantity to increase 

Last Answer : ; (d) and quantity to increase

Description : A reduction in the number of producers will result in equilibrium price (a) increasing and quantity increasing ; (b) increasing and quantity decreasing ; (c) decreasing and quantity increasing ; (d) decreasing and quantity decreasing

Last Answer : (b) increasing and quantity decreasing ;

Description : A shift outward in supply curve will result in equilibrium price (a) increasing and quantity increasing ; (b) increasing and quantity decreasing ; (c) decreasing and quantity increasing ; (d) decreasing and quantity decreasing

Last Answer : (c) decreasing and quantity increasing ;

Description : An improvement in technology would shift (a) the demand curve inward ; (b) the demand curve outward ; (c) the supply curve inward (d) the supply curve outward

Last Answer : (d) the supply curve outward

Description : The price of Ford automobiles increases and the price of Chevrolets remains constant, the demand for Chevrolets will (a) increase ; (b) decrease ; (c) decrease then increase ; (d) increase then decrease

Last Answer : (a) increase ;

Description : Which of the following would not be considered substitutes? (a) butter and margarine ; (b) Coke and Pepsi ; (c) Fords and Chevrolets (d) Hamburgers and french fries

Last Answer : (d) Hamburgers and french fries

Description : Which of the following would not be considered compliments? (a) shoes and socks ; (b) tennis racquet and tennis balls ; (c) Coke and Pepsi ; (d) automobiles and gasoline 

Last Answer : (c) Coke and Pepsi ;

Description : A typical demand curve will normally have a (a) positive slope ; (b) horizontal slope ;(c) vertical slope ; (d) negative slope

Last Answer : (d) negative slope 

Description : Which of the following would not be considered a normal good? (a) Steaks ; (b) flour ; (c). oranges ; (d) meals at restaurants

Last Answer :  (b) flour ;

Description : Assume Samantha likes hot dogs and hamburgers equally, and the price of hamburgers (a normal good) declines. She will most likely purchase more hamburgers; this is (a) a reflection of the income ... substitution effect; (c) a reflection of the income and substitution effects ; (d) None of above 

Last Answer : (b) a reflection the substitution effect;

Description : At a given time and in a given marketplace, the entire market demand curve indicates the (a) quantity of a good consumers would be willing and able to purchase at a given price. (b) quantity of a ... a given price (d) quantity of a good consumers have purchased at a series of prices over the year.

Last Answer : (b) quantity of a good consumers would be able to purchase at a series of prices. 

Description : Which of the following is not the function of World Trade Organization? (a) To settle border disputes of member countries. ; (b) To handle trade disputes. (c) To provide technical ... and training to developing countries. (d) To provide forum for trade negotiation between the member countries.

Last Answer : (a) To settle border disputes of member countries. ; (b) To handle trade disputes. 

Description : Which of these is not the function of World Bank? (a) To arbitrate on international trade disputes. (b) To help the member countries in the reconstruction and development of their countries. ... and credit by guaranteeing repayment. (d) To promote long term balanced growth of international trade.

Last Answer : (a) To arbitrate on international trade disputes. 

Description : Which of these is not the function of IMF? (a) It provides mechanism for orderly adjustment of exchange rate (b) It provides mechanism for international consultation (c) It provides forum for ... of international trade disputes (d) It is a reservoir of the currencies of all the member countries

Last Answer : (c) It provides forum for settlement of international trade disputes  

Description : Supply of money refers to (a) Total money held by the public ; (b) Total money held by RBI ; (c) Total money with all the commercial banks and RBI ; (d) Total money in Government account

Last Answer : (a) Total money held by the public ; 

Description : Given the supply quantity which is fixed an increase in aggregate demand will have direct impact on (a) Increase in GDP ; (b) Inflationary pressure ; (c) Greater employment opportunity; (d) More equitable distribution of income and wealth 

Last Answer : (b) Inflationary pressure ;

Description : Inflationary conditions may co-exist with which of the following situation (a) Increase in factor cost ; (b) Increase in employment opportunities; (c) Growth in GDP and imports ; (d) All the three 

Last Answer : ; (d) All the three

Description : Deficit financing means (a) Financing budgetary deficit by borrowing (b) Financing budgetary deficit by printing money ; (c) Both ; (d) None

Last Answer : (c) Both ;

Description : Which of these is one of the causes of inflation? (a) Increase in public expenditure ; (b) Deficit financing ; (c) Increase in administrative prices (d) All the three

Last Answer : (d) All the three

Description : Deflation is a state when (a) Prices are falling ; (b) Consistent increase in prices ; (c) Fall in GDP ; (d) Collapse of sensex 

Last Answer : (a) Prices are falling ;

Description : Cost push inflation arises due to (a) Persistent rise in factor cost ; (b) Mismatch between demand and supply of commodities (c) Combine phenomena of demand pull and cost-push inflation. ; (d) Increase in price of precious metal

Last Answer : (a) Persistent rise in factor cost ;