Question # 1

The fifth five year plan was an attempt to stabilize the economy and improve the standard to living of the poorest segment of the population from __________ to ____

Choose an answer

1975-80

1980--85

1978-83

None of the above

In a perfectly competitive labour market firms are wage takers and the marginal cost of labour equals.

Choose an answer

the average cost of labour

The marginal product

The marginal revenue

The total cost of labour

Economists tend to judge a model based upon

Choose an answer

the realty of its assumptions

The accuracy of its predications

Its simplicity

Its complexity

Debit entries on the balance of payments are the entries that would.

Choose an answer

Mean a loss of foreign exchange

Bring foreign exchange into the country

Indicate a surplus exists

Exist at the bottom line a after all accounts are totaled.

The mathematical theory of probability has helped to form the.

Choose an answer

Statistical theory

Law of inertia of large numbers

Law of statistical Relativity

Law of statistical Regularity

The fact that the long run Phillips curve is vertical implies that

Choose an answer

Monetary policy can't effect unemployment

Money is neutral in the long run

There is a natural rate of inflation

Money can't affect inflation in the long run

Currency speculations is_________ if speculators bet against market forces that cause exchange functions, thus moderating such fluclutions.

Choose an answer

Destabilizing

Stabilizing

Inflationary

Deflationary

According to the cost based definition of dumping occurs when a firm sells a product abroad at a price that is less than

Choose an answer

Average total cost

Average variable cost

Average fixed cost

Marginal cost

___________ are quotas that lead to a complete abolishment of trade.

Choose an answer

Nontariff barriers

Embargoes

Voluntary export restraints

Orderly marketing agreements

The institutional framework developed in 1974 to promote trade liberalization is known as.

Choose an answer

WTO

GATT

IMF

World bank

The main cause of cyclical unemployment is that.

Choose an answer

Firms engage in race gender and sex discrimination in their hiring practices.

Some induvial do not have marketable job skills.

the level of overall economic activity fluctuates

Workers offer voluntarily quit a job to look for a better job.

Net National product equals.

Choose an answer

Gross national product minus indirect business taxes

Gross national product minus depreciation

National income minus indirect business taxes

National income pluses depreciation

Normal profit occurs when

Choose an answer

Average revenue equals average variable cost

Marginal revenue equals marginal cost

Average revenue equals marginal cost

Average revenue equals average cost

Which of the following best describes the selling of a production license to another firm.

Choose an answer

Hands over all rights to its products

Sells its products abroad

Sells the right to produce to another business

Sells the business to another business

A normal good can be defined as one which consumers purchase more of as.

Choose an answer

Price fall

Price rise

Income fall

Incomes increase

The largest trading partner of Pakistan is

Choose an answer

Italy

US

USA

None of these

The ABC corporation.

Choose an answer

Is earning a pure economic profit

Should produce zero units of output

Is sustaining an economic loss

Is breaking even

Academic community is otherwise called.

Choose an answer

General public

Target audience

Participant audience

Scientific community

According to M.P Todaro model of ruler -urban migraton the migrationis assumed to be a.

Choose an answer

Social phenomenon

Cultural phenomenon

Uneconomic phenomenon

Economic phenomenon

In which of the following situations will an increase in the money supply have no effect upon equilibrium income.

Choose an answer

LM is steeply sloped and IS is relatively flat

LM is vertical and IS si steeply sloped

LM is steeply sloped and IS is vertical

LM is relatively flat as is IS

A disadvantage of chain weighting is that

Choose an answer

Past inflation rates change whenever the base year changes.

Past growth rates of real GDP change whenever the base year changes.

It causes output growth to slow

The components of real GDP don't sum to real GDP

Using the Keynesian model the effect of a government imposed celling on interest rates paid on personal checking accounts that is lower than the current market interest rate would be to cause._ in the real interest rate and _ in input out in the short sun.

Choose an answer

A decrease ; a decrease

A decrease ; no change

A decrease ; an increase

An increase ; a decrease

If an economy is productively efficient.

Choose an answer

Everyone is wealthy

Resources are unemployed

More of one product can only be produced if less of another product is produced.

The distribution of income is equal

The resources in an economy are

Choose an answer

Constantly increasing

Fixed at any moment

Constant decreasing

Able to be transferred easily between industries

If the MPC is 0.5 the multiplier is

Choose an answer

2

1/2

0.2

20

The expected real interest rate minus expected inflation rate.

Choose an answer

Nominal interest rate minus inflation rate

Nominal interest rate minus expected inflation rate.

Expected nominal interest rate minus inflation rate

Nominal interest rate plus expected inflation rate.

Which of the following is an example of primary data.

Choose an answer

Book

Journal

News paper

group interview

If equilibrium national income is less than the full employment the gap can be closed by.

Choose an answer

Raising taxes

Decreasing government expenditures

Raising taxes and decreasing government expenditures.

Increasing government expenditures.

The difference between gross investment and net investment is.

Choose an answer

Depreciation

Acceleration

Deceleration

Capital investment

Desired national saving would increase unambiguously if there were

Choose an answer

An increase in current output and expected future output

An increase in expected future output and government purchases

An increase in expected future output and the expected real interest rate

A fall in both government purchases and expected future output

In perfect competition price is settled by

Choose an answer

Sellers

Buyers

Producers

Both a and b

More Classes

Other Links

PPSC Economics Full Book MCQ Test MCQs With Answers

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer