12th Class Principles of Economics Chapter 2 Test

12th class I.Com Part 2 Principles of Economics chapter 2 Online MCQs test with answers for Principles of Economics


I.Com Part 2 Principles of Economics
Chapter 2 Test

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I.Com Part 2 Principles of Economics Chapter Wise Test
(English Medium)

12th class I.Com Part 2 Principles of Economics chapter 2 Online MCQs test with answers for Principles of Economics

Sr. # Questions Answers Choice
1 This will cause decrease in natioal income.
  • A. Rise in exports
  • B. Rise in saving
  • C. Increas in taxese
  • D. B and C above
2 Equilibrium of national income will be when
  • A. S >I
  • B. S < I
  • C. S = I
  • D. S - 1
3 GDP atconstnat prices, calculated according to some base year is called.
  • A. acutal GDP
  • B. Real GDP
  • C. Net GDP
  • D. Nominal GDP
4 Which of the following is a withdrawal from the circular flow of income stream.
  • A. Taxation
  • B. Consumption
  • C. Subsides
  • D. Investment
5 MPC is always.
  • A. Positive
  • B. Negative
  • C. Zero
  • D. More then APC
6 Consumption is a function of.
  • A. Saving
  • B. Investment
  • C. Income
  • D. Expenditure
7 Marginal propensity to consume MPC is.
  • A. Total income spent on consumption
  • B. Ratio of additionalincome consumed
  • C. Ratio of total income consumed
  • D. Consumption divided by saving
8 Which shows equilibrium of national income
  • A. Consumption = investment
  • B. Saving = investment
  • C. Saving > investment
  • D. Saving < investment
9 If C = 200 and I = 40 then Y will equal
  • A. 160
  • B. 240
  • C. 8000
  • D. None of the above
10 Which one is investment in economics
  • A. Building a factory
  • B. Buyig shares in stock exchange
  • C. Depositing money in bank
  • D. Deposting money wiht housing society

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