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Economics Mcqs 4423 MCQs [All-Courses]

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Economics MCQs cover fundamental concepts of microeconomics and macroeconomics, including demand and supply, inflation, national income, and economic policies.
This section is designed to strengthen analytical skills and conceptual understanding for competitive examinations.
Highly useful for PPSC, FPSC, NTS, OTS, KPPSC, and other testing services preparation.

All Topics  4423

U.S total official development assistance to developing countries is ?
A lowest among the OECD countries
B higher currently than it was in the 1960s and 1970s
C is equivalent to Holland’s aid
D None of the above statements is true
Correct Answer: None of the above statements is true
For Harvard’s Dani Rodrik Globalization involves ?
A decreasing autonomy of the nation-state involves
B the increasing international integration of markets for goods services and capital
C changes of a traditional culture of a country to a western culture
D giving aid to poor countries to improve their economy politics and social status
Correct Answer: the increasing international integration of markets for goods services and capital
The U.S real food aid, as well as food reserves dropped from the 1960s to the 1980s partly because ?
A the transportation and storage cost increased tremendously
B proponents of basic-needs attainment opposed food-aid
C U.S farm interests wanted to reduce surplus grain stocks
D agricultural production suffered excessively due to weather changes
Correct Answer: U.S farm interests wanted to reduce surplus grain stocks
Carmen Reinhart and Kenneth Rogoff explain the paradox of capital flows from poor to rich countries by ?
A the brain drains from LDCs to DCs
B the price role of political and credit-market risk in many LDCs
C the law of increasing returns that implies that the marginal productivity of capital is higher in LDCs
D the fat that the DC capital market is perfectly competitive
Correct Answer: the price role of political and credit-market risk in many LDCs
Bilateral aid ?
A is technical aid given by IMF
B is given directly by one country to another
C is aid with repayment in inconvertible currency
D is a loan at bankers’ standards
Correct Answer: is given directly by one country to another
Columbia’s Jagdish Bhagwati criticizes United States administrations inability to distinguish between benefits of free trade ?
A and the dangers of free capital movements for LDCs with poorly developed financial institutions
B and the dangers of a trade deficit
C and the external openness of income growth among the poorest 40 percent of LDCs
D and MNC domination and its effects on income distribution
Correct Answer: and the dangers of free capital movements for LDCs with poorly developed financial institutions
In a portfolio investment ?
A investors are directly involved in managing the operations
B as in direct investment investors export goods and services abroad
C investors transfer the technology to local investors
D investors have no control over operations
Correct Answer: investors have no control over operations
The IMF is an agency charged with providing ?
A technical assistance to stock market and financial market problems
B loans for post-World War II reconstruction
C short-term credit for international balance of payments deficits
D bonds denominated in U.S dollars as a loan to LDCs
Correct Answer: short-term credit for international balance of payments deficits
Barro and Lee find that ceteris paribus, IMF lending has ?
A negative effect on economic growth during the simultaneous five-year period but has a significantly positive effect on growth in the subsequent five years
B no effect on economic growth during the simultaneous five-year period but has a significantly negative effect on growth in the subsequent five years
C a significantly positive effect on growth in the subsequent five years
D an exponentially negative effect on growth ten years
Correct Answer: no effect on economic growth during the simultaneous five-year period but has a significantly negative effect on growth in the subsequent five years
An annual summary of country’s international economic and financial transactions is ?
A the capital accounts
B the international balance of payments statements
C the long-term current account
D the trade accounts
Correct Answer: the international balance of payments statements
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