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Online Tests
PPSC Economics Chapter 8 Development Economics MCQs With Answers
Question # 1
According to the balances growth theory
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UDCs can be developed by foreign aid
UDCs can be developed by national saving
UDCs have to start from beginning
DCS are responsible for the development of UDCs
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Question # 2
The developing countries need to have a big push or big comprehensive package for economic development is the view of.
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Nurkse
M.P Todaro
Rosenstein Rodan
Leibenstein
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Question # 3
The conjecture that inequality first increases with development then decreases with further development has been
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Strongly supported by most studies
Supported mainly by cross section not time series studies.
Supported mainly by time sereis not cross section studies
Generally repudiated by empirical studies.
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Question # 4
in UDCs a potential resource of saving is
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Structural unemployment
Over employment
Domestic saving
Disguised unemployment
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Question # 5
The Lorenz curve is used to show relative in equality in the distribution of.
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Wages
Income
Wealth
Profit
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Question # 6
Historically countries at early stages of rapid economics development have tended to experience.
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Trade deficits and an excess of investment over domestic saving.
Trade surpluses and an excess of investment over domestic saving
Trade deficits and an increase of domestic saving over investment.
Trade surpluses and an excess of domestic saving over investment.
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Question # 7
According to the .A.H Hasen the capitalistic economy is basically characterized with
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Instability
Stability
Inefficiency
Efficiency
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Question # 8
According to Keynes the exogenous factors like technology increase in population and discovery of new markets are the reasons. of.
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Underemployment
Structural dualism
Low capital formation
Secular stagnation
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Question # 9
The Harrod -Domar models are based on the restrictive assumption of.
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Increasing saving income ratio
Decreasing saving income ratio
Low saving income ratio
Constant saving income ratio
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Question # 10
Economic growth rate of a country is determined by the
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Capital formation rate
Employment rate
Saving rate
Investment rate
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Question # 11
In Kaldor model saving income ratio in the growth process is considered.
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Constant
Positive
Variable
Negative
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Question # 12
In the Harrod - Domar equation g = s/v , v is defined as.
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the value of the country a capital stock
The ratio of the country's capital stock to its output.
The change in the country's capital stock
None of the above
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Question # 13
One of the following is not a necessary characteristics of UDCs
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Low saving ratio
Low capital formation
Disguised unemployment
Insufficient human resources.
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Question # 14
The hidden momentum of population growth is caused by
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the demographic transition
Population age structure
the opportunity coast of woman's time
Children contribution to income
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Question # 15
According to solo growth model capital and labor are.
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Not substitution of each other
Substation of each other
Substation in a way
All of these
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Question # 16
R.M. Solow in his model assumes that the prices and wages are.
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Flexible
Non flexible
Rigid
None of these
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Question # 17
The measure used to examine the distribution of wealth at the world level is.
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Gini coefficient
Lorenz curve
Philips curve
None of these
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Question # 18
Theories of surplus labor describe that
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In UDCs unemployment rate is high
The margin productivity labor is near to zero
Overpopulation is much more in UDCs
DCs have less uemployment
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Question # 19
The largest lenders to less developed countries are
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Western government
Multi lateral agencies
Private banks
Invidia investors who purchase government bonds
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Question # 20
Due to indivisibilities in demand and infrastructure economic development can be achieved.
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Balance growth according to its advocates
Unbalanced growth according to its advocates
Big pus
None of these
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