economics mcq questions BA Level India
economics questions bank of objective question
Practice Test Paper
Model Test paper
1. Frequency density of a class is defined as—
(A) Frequency of the class/Interval of the class
(B) Frequency of the class/ Cumulative frequency for the class
(C) Cumulative frequency for the class/Frequency of the class
(D) Frequency of the class/ Frequency of the previous class
2. Which of the following is statistics?
(A) Profit of a firm has gone up
(B) The production of wheat has increased
(C) The temperature of Delhi is 5 degree more than the temperature of Mumbai
(D) The birth rate has declined in India
3. At end March 2009, India’s total foreign exchange reserves stood at?
(A) Approximately $ 150 billion
(B) Approximately $ 200 billion
(C) Approximately $ 250 billion
(D) Approximately $ 300 billion
4.A firm is called maximum efficient firm if it has?
(A) Minimum Total Cost
(B) Minimum Average Cost
(C) Minimum Variable Cost
(D) Minimum Marginal Cost
5. Implicit cost may be considered as?
(A) Social cost
(B) Private cost
(C) Normal cost
(D) Variable cost
6 ‘The Mid-day Meal’ scheme is covered under the Ministry of?
(A) Human Resource Development
(B) Health and Family Welfare
(C) Social Justice and Empowerment
(D) Consumer Affairs, Food and Public Distribution
7. Which of the following associate bank has been taken over by the State Bank of India in 2008?
(A) State Bank of Travancore
(B) State Bank of Hyderabad
(C) State Bank of Mysore
(D) State Bank of Saurashtra
8. Which of the following demand curves is not a constant elasticity curve?
9. The following theory of profit has been given by J. A. Schumpeter?
(A) Risk theory of profit
(B) Uncertainty bearing theory of profit
(C) Innovation theory of profit
(D) Dynamic theory of profit
10. The formula for determination of number of class-interval for a frequency distribution is given by?
11. In the Union Budget, the term ‘Primary Deficit’ means?
(A) Revenue Deficit — Interest Payment
(B) Fiscal Deficit — Interest Payment
(C) Revenue Expenditure — Revenue Receipts
(D) Total Expenditure — Total Borrowing
12. As a measure to unearth black money, the demonetisation of Rupees 1000 currency notes in
India was done in the year?
13. The Lead Bank scheme was launched in India on the recommendation of?
(A) M. Narasimhan
(B) F. K. F. Nariman
(C) D. T. Lakdawala
(D) V. M. Dandekar
14. Firms have chronic excess production capacity in?
(C) Pure competition
(D) Monopolistic competition
15. In a two sector model when consumption is equal to 40 + 0.90 Y and investment is equal to 50, the equilibrium output will be equal to?
16. The positional average is shown by ?
(A) Mean deviation
(B) Standard deviation
17. The shutdown point is that level of output of a firm where?
18. Which of the following functions is not a component of Kaldor’s model of grow?
(A) Employment function
(B) Technical progress function
(C) Saving function
(D) Investment function
19. Walra’s Law states that the sum of the excess demand for money, bonds and current output must be?
(A) Less than zero
(B) Equal to zero
(C) Equalto one
(D) More than zero
20. For a unitary elastic demand curve, when price increases ,the amount spent by a consumer on a /good?
(C) Remains unchanged
(D) Becomes zero
21. Correlation coefficient is significant if it is?
(A) Less than 6 times of pro able error
(B) More than 6 times of probable error
(C) Equal to probable error
(D) Equal to standard error
22. The term rainy day’ used by Keynes is related with?
(A) Effective demand
(B) Precautionary demand
(C) Investment multiplier
(D) Inflationary gap
23. Root mean square of all the deviations is known as?
(A) Mean deviation from median
(B) Mean deviation from mode
(C) Standard deviation
(D) Quartile deviation
24. If there is perfect correlation between two variables, then the regression lines are?
25. A producer’s surplus is equal to?
26. According to 2001 census, the total number of persons living in urban slums was approximately?
(B) 2 crore
(D) 4 crore
27. The tax called CENVAT is related to?
(A) Central Sales Tax
(B) Union Excise Duty
(C) Corporate Tax
(D) Custom Duty
28. The price and quantity,both are indeterminate under?
(A) Pure competition
(B) Perfect competition
(D) Bilateral monopoly
29. Which of the following is not an example of Internal Economies?
(A) Economies of superior technology
(B) Economies of division of labour
(C) Economies of competition
(D) Economies of management
30. Which of the following type of facts are not Considered under the study of statistics
(A) Quantitative facts
(B) Qualitative facts
(C) Comparative facts
(D) Relative facts
31. The statistical calculations in classified data are based on?
(A) The actual values of observations
(B) The upper class limits
(C) The lower class limits
(D) The mid-points of the classes
32. The concept of merit goods has been introduced by?
33. The Child Labour (Prohibition and Regulation) Act, 1986 prohibits the employment of Children below the age of?
(A) 10 years
(B) 12 years
34.The Prime Lending Rate of Commercial Banks are decided by?
35. The cross elasticity of demand for substitute commodities is always?
36. The K-factor analysis is related with?
(A)Economic growth rate
(B)Tends in foreign trade
(C)Causes of mortality
37. The ‘knife-edge equilibrium’ in Harrod’s model is an equality between?
(A) G and Gw
(B) Gw and Gn
(C) G and Gn
(D) G,Gw and Gn
38.Stratified sampling is preferred, where?
(A) Population is homogeneous
(B) Population is heterogeneous
(C) Random sampling is not possible
(D) Small samples are required
39. Pure interest is?
(A) Equal to the gross interest
(B) Less than gross interest
(C) More than gross interest
(D) Not related to gross interest
40. Which of the following is totally different from logical multiplier?
(A) Instant multiplier
(B) Lagless multiplier
(C) Static multiplier
(D) Dynamic multiplier
41.Availability hypothesis explains a country’s
(A) Production capacity
(B) Natural resources availability
(C) Commodity composition of foreign trade
(D) Consumption pattern
42. For a Giffen good
(A) Income effect is positive and substitution effect is negative
(B) Income effect is negative and substitution effect is positive
(C) Income effect and substitution effect both are positive
(D)Income effect and substitution effect both are negative
43. To meet the objective of inflation control, the Central Bank should adopt following policy measures
(A) Increase in cash reserve ratio, along with purchase of securities under open market operations
(B) Increase in cash reserve ratio, along with sale of securities under open market operations
(C) Decrease in cash reserve ratio, alongwith purchase of securities under pen market operations
(D) Decrease in cash reserve ratio, alongwith.sale of securities under open market operations
44. The relative measures of dispersion are generally called?
(A) Dispersion coefficient
(B) Dispersion multiplier
(C) Dispersion accelerator
(D) Dispersion variable
45. Which of the following is not expressed by a transformation curve?
(C) Factor price
(D) Opportunity cost
46. The central theme of the World Development Report, 2009 pub lished by the World Bank is?
(A) Agriculture for development
(8) Development and next generation
(C) A better investment climate for every one
(D) Reshaping economic geography
47. Under the first degree of price discrimination in discriminating monopoly, the consumer’s surplus will be?
48.A rational consumer moves to a higher indifference curve due to?
(A) Monotonic preference
(B) Polytonic preference
(C) Convex preference
(D) Concave preference
49. When was the concept of core sector introduced in Indian industries ?
50 .Which is the apex bank for micro finance in India?
(A) State Bank of India
(B) Industrial Development Bank of India
(C) Small Industries Development Bank of India
(D) National Bank for Agriculture and Rural Development