M C Q s D r i v e

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.

Which is the most widely used tool of monetary policy ?
A Clearing house
B Open-market operations
C Discount rate
D Issuing of notes
Correct Answer: Open-market operations
In which capacity does a person stand to gain from deflation ?
A As a pensioner
B As a debtor
C As an entrepreneur
D As an equity-holder
Correct Answer: As a pensioner
Which of the following is not an instrument of monetary policy ?
A Taxation
B Bank rate
C Open-market operations
D Credit rationing
Correct Answer: Taxation
When banks prepare their balance sheets. They show the money lent in ?
A Liability
B Assets
C Both assets and liabilities
D
Correct Answer: Assets
Which of the following would cause income to become more unequal ?
A Increased employment
B Increased unemployment allowance
C More progressive taxes
D More regressive taxes
Correct Answer: More regressive taxes
Trade between two countries can be useful if cost ratios of goods are ?
A Equal
B Different
C Undetermined
D Decreasing
Correct Answer: Different
Which property the paper money does not process ?
A Acceptability
B Divisibility
C Durability
D Portability
Correct Answer: Durability
The govt. can control inflation by______________?
A Increasing demand for goods
B Increasing supply of goods
C Increasing money supply
D Decreasing taxes
Correct Answer: Increasing supply of goods
When stock market is falling it is_______________?
A Bearish
B Bullish
C Crash
D Fall down
Correct Answer: Bearish
What could a government do to correct the current account deficit ?
A Reduce the deficit on the balance of trade
B Reduce the repayment of loans
C Reduce the surplus on the capital account
D Reduce the volume of exports
Correct Answer: Reduce the deficit on the balance of trade