ECONOMY BASICS TEST 1 Welcome to your ECONOMY BASICS TEST 1 Name Email Which of the following is NOT important for individual health? (a) Social equality (b) Public cleanliness (c) Harmony (d) Public transport None In the context of Economics, what does P stand for in EPF? (a) Planning (b) Profit (c) Promotion (d) Provident None Which of the following concepts implies that sustainable development should take a holistic approach towards notions of progress and give equal importance to non economic aspects of wellbeing ? (a) Gross Domestic Product (b) Gross National Product (c) Gross National Happiness (d) Net National Product None Which of the following formulas related to monetary and liquidity aggregates is NOT correct ? (a) M4 = M3 + Total deposits with post office savings organisations (excluding national savings certificates) (b) M1 = Currency (notes + coins) + Demand deposits (c) M2 = M1 + Savings deposits with post office savings banks (d) M3 = M1 + Net time deposits of post office saving None All monetary transfers or kinds sent by migrants to their place of origin are called ______. (a) bills (b) drafts (c) remittances (d) payments None An economy in which both the private sector and the government are involved is known as a/an ______. economy. a) mixed (b) blended (c) parallel (d) amalgam None Which branch of economics deals with the depletion of natural resources stock and pollution, which are a result of rapid economic development ? (a) Environmental Economics (b) Developmental Economics (c) International Economics (d) Public Economics None Which of the following statements is related to positive economics ? (a) Inflation is better than deflation. (b) Inequalities in the distribution of wealth and incomes should be reduced. (c) More production of luxury goods is not good for a less developed country. (d) An increase in money supply implies a price rise in an economy None An unexpected rise in sales of a product leads to ______. (a) Planned accumulation of inventory (b) Planned decumulation of inventory (c) Unplanned decumulation of inventory (d) Unplanned accumulation of inventory None People like small farmers and seasonal workers who regularly move in and out of poverty are categorised as ________. (a) occasionally poor (b) churning poor (c) always poor (d) usually poor None The concepts of wages, rent, interest and profit are studied under which branch of Economics? (a) Macroeconomics (b) Microeconomics (c) Econometrics (d) Health economics None ______ is defined as the study of behavior of individual decision-making units, such as consumers, resource owners and firms. CHSL 19-10-2020 (Morning) (a) Microeconomics (b) Macroeconomics (c) Health economics (d) Econometrics None 'Income and employment theory' is the other name for which branch of Economics? (a) International economics (b) Public finance (c) Microeconomics (d) Macroeconomics None An industrial economy is best defined as an economy whose 50% or more produce value comes from the _______ sector. (a) banking (b) secondary (c) tertiary (d) primary None Which of the following is a tertiary economic activity? (a) Farming (b) Trading (c) Hunting (d) Weaving None Which of the following is an economic system in which capital goods are owned by private individuals or businesses and the production of and services is based on supply and demand in the general market? (a) Mixed Economy (b) Capitalistic Economy (c) State Economy (d) Communist Economy None . The mixed economy is :- (a) presence of subsistence and commercial farming (b) co-existence of traditional and modern industries (c) a market system of resource allocation, commerce, and trade in which free markets coexist with government intervention (d) presence of domestic and foreign investment None Which of the following activities can be classified as a part of secondary sector of an Economy ? (a) Legal consulting (b) Tea plantation (c) Farm equipment manufacturing (d) Banking None Depreciation is an annual allowance for the wear and tear of ______. (a) finished goods (b) capital goods (c) work in progress (d) land None John Maynard Keynes, best known for his economic theories (Keynesian theories), hailed from which country? (a) Sweden (b) Denmark (c) Australia (d) England None Private ownership of the meSol of production is a feature of a ______ economy. (a) capitalist (b) socialist (c) mixed (d) dual None In_____ economies, all productive resources are owned and controlled by the government. (a) dual (b) capitalist (c) mixed (d) socialist None Which of the following is working capital in the farming sector? (a) threshing machine (b) money (c) tractor (d) land None In which year was the first Industrial Policy based on the mixed economy principle announced in India? The policy clearly demarcated the areas of operation of the public and private sectors. (a) 1959 (b) 1948 (c) 1950 (d) 1962 None For the calculation of the 'wholesale price index' in 2019, _____ is taken as the base year. (a) 2013-14 (b) 2014-15 (c) 2011-12 (d) 2012-13 None Which of the following activities is also referred to as 'Gold Collar' profession? (a) Secondary (b) Quaternary (c) Primary (d) ) Quinary None Which Economist developed international trade theory in 1817 based on comparative advantage and specialisation ? (a) Paul Krugman (b) Gary Becker (c) Milton Friedman (d) david Ricardo None Which of the following is NOT a capital good? (a) Tools (b) Food and Clothing (c) Machine (d) Truck None What should be the investment of Micro enterprises in plant & machinery (Manufacturing Sector) ? (a) Between twenty five lakh and fifty lakh (b) More than fifty lakh (c) Not more than twenty five lakh (d) More than twenty None Based on economic activities, how many sectors are there in Indian economy? (a) 4 (b) 3 (c) 2 (d) 5 None Which of the following is NOT a primary activity? (a) Agriculture (b) Construction (c) Mining (d) Fishing None Who among the following is also known as the founder of macroeconomics as a separate discipline? (a) Adam Smith (b) Fischer Black (c) Robert Merton (d) John Maynard Keynes None The Micro, Small and Medium Enterprises Development Act was passed in the year_____. (a) 2006 (b) 2004 (c) 2008 (d) 2002 None The National Board for Micro, Small and Medium Enterprises meets once every _________ months in a year. (a) 2 (b) 6 (c) 3 (d) 9 None Which of the following come under the Quaternary sector? (a) Information Technology (b) Mining (c) Manufacturing (d) Fish None Which of the following economic activities employs the maximum number of people in india? (a) Tourism (b) Manufacturing (c) Agriculture (d) Mining None Which of the following best describes the nature of the Indian economy ? (a) Mixed Economy. (b) Socialist Economy (c) Communist Economy (d) Capitalistic Econ None Time's up
