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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

The debt-service ratio is the______________?
A long-term debt divided by GDP of a country in a given year
B interest and principle payments divided by exports of goods and services
C ratio of debt net of portfolio investment financing and foreign direct investment
D default and reschedule debt minus annual export revenues that must be devoted to paying interest
Correct Answer: interest and principle payments divided by exports of goods and services
Which of the following is will NOT reduce capital flight from source countries ?
A dependable positive real interest rates
B higher taxes on capital gains
C more efficient state enterprises
D market liberalization
Correct Answer: higher taxes on capital gains
Which of the following is Not true about external debt ?
A External debt accumulates with international balance on goods services and income deficcits
B When debts are denominated in U.S dollars their appreciation during the 1990s increased the cost of servicing such debts
C In the 19901s LDCs relied increasingly on aid from DCs
D International lenders required LDC governments to guarantee private debt
Correct Answer: In the 19901s LDCs relied increasingly on aid from DCs
In 1990, during the Persian Gulf War, the U.S government extended generous terms to two middle-income countries by canceling or reducing their debt The two countries were ?
A Iraq and Iran
B Egypt and Poland
C Pakistan and Afghanistan
D Saudi Arabia and Jordan
Correct Answer: Egypt and Poland
The policy cartel on debt reduction refers to the_______________?
A screening of debtors based on their regional location
B World Bank requiring LDCs seconded by a DC to get loan reduction
C loan denial to crisis-stricken highly indebted countries
D None of the above
Correct Answer: None of the above
Mosley Harrigan and Toye refer to the IMF and World Bank as________________?
A excessively committed to writing down LDC debt
B a managed duopoly of policy advice
C a U.S monoply
D the initiator of HIPCs debt forgiveness
Correct Answer: a managed duopoly of policy advice
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