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Economics MCQs with Explanations

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3401EconomicsMedium

The largest volume of foreign exchange trading takes place in?

AChina

BUSA

CUnited Kingdom

DGermany

Correct answer

C. United Kingdom

Explanation

The correct answer is United Kingdom.

3402EconomicsMedium

What is sales tax________?

ATax deducted at source

BTax on gross sale

CTax on local produce

DLevied on the retail price of merchandise and collected by retailer

Correct answer

D. Levied on the retail price of merchandise and collected by retailer

Explanation

The correct answer is Levied on the retail price of merchandise and collected by retailer.

3403EconomicsMedium

If the economy is in the though phase of the business cycle, aggregate demand unemployment inflation and the current account of the balance of payments is likely to move towards ____?

Arises; falls; rises; deficit

Bfalls; rises; falls; surplus

Cfalls; falls; falls; surplus

Dis static; low; rises; deficit

Correct answer

C. falls; falls; falls; surplus

Explanation

The correct answer is falls; falls; falls; surplus.

3404EconomicsMedium

If GDP = Rs1,000 Consumption = Rs 600 taxes = Rs 100, and government purchases = Rs200, how much is saving and investment?

ASaving = Rs 200 investment = Rs 100

BSaving = Rs 100 investment = Rs 200

CSaving = Rs 0 investment = Rs 0

DSaving = Rs 300 investment = Rs 300

Correct answer

C. Saving = Rs 0 investment = Rs 0

Explanation

The correct answer is Saving = Rs 0 investment = Rs 0.

3405EconomicsMedium

A trained observer________?

Aknows what to expect

Bis most a home in experimental settings?

Cknows which data are relevant to the research problem

Drecords everything that he or she sees

Correct answer

C. knows which data are relevant to the research problem

Explanation

The correct answer is knows which data are relevant to the research problem.

3406EconomicsMedium

Adequate growth of the economy refers to the goals of________?

Aapproximately 4% growth rate per year

Bincreasing GNP per capita

Call of the above

Dmaintaining current standards of living in spite of increasing population

Correct answer

C. all of the above

Explanation

The correct answer is all of the above.

3407EconomicsMedium

International trade is based on the idea that?

AResources are less mobile internationally than are goods

Bimports should exceed exports

CExports should exceed imports

DResources are more mobile internationally than are goods

Correct answer

A. Resources are less mobile internationally than are goods

Explanation

The correct answer is Resources are less mobile internationally than are goods.

3408EconomicsMedium

suburbanization today is based on________?

Ahomogeneous families

Bskin color only

Csocial class

Dthe grass being greener in the suburbs

Correct answer

C. social class

Explanation

The correct answer is social class.

3409EconomicsMedium

Which factor best accounts for the existence of cash-crop production as a major form of agriculture i many central American nations today?

Ademand of world markets for such crops

Black of modern agricultural technology

Cpeasant ownership of most farmlands

Dinadequate supply of water and other natural resources

Correct answer

A. demand of world markets for such crops

Explanation

The correct answer is demand of world markets for such crops.

3410EconomicsMedium

one of the tenets of the classical view of the labor market is that the wage adjustments that are necessary to clear the labor market occur?

Ainstantly

Bvery infrequently

Cslowly

Dquickly

Correct answer

D. quickly

Explanation

The correct answer is quickly.

What is sales tax________?

ATax deducted at source

BTax on gross sale

CTax on local produce

DLevied on the retail price of merchandise and collected by retailer

Correct answer

D. Levied on the retail price of merchandise and collected by retailer

Explanation

The correct answer is Levied on the retail price of merchandise and collected by retailer.

A trained observer________?

Aknows what to expect

Bis most a home in experimental settings?

Cknows which data are relevant to the research problem

Drecords everything that he or she sees

Correct answer

C. knows which data are relevant to the research problem

Explanation

The correct answer is knows which data are relevant to the research problem.

International trade is based on the idea that?

AResources are less mobile internationally than are goods

Bimports should exceed exports

CExports should exceed imports

DResources are more mobile internationally than are goods

Correct answer

A. Resources are less mobile internationally than are goods

Explanation

The correct answer is Resources are less mobile internationally than are goods.

Economics MCQs with Explanations

The largest volume of foreign exchange trading takes place in?

What is sales tax________?

If the economy is in the though phase of the business cycle, aggregate demand ____ unemployment ________ inflation ________ and the current account of the balance of payments is likely to move towards ________?

If GDP = Rs1,000 Consumption = Rs 600 taxes = Rs 100, and government purchases = Rs200, how much is saving and investment?

A trained observer________?

Adequate growth of the economy refers to the goals of________?

International trade is based on the idea that?

suburbanization today is based on________?

Which factor best accounts for the existence of cash-crop production as a major form of agriculture i many central American nations today?

one of the tenets of the classical view of the labor market is that the wage adjustments that are necessary to clear the labor market occur?

Economics MCQs with Explanations

The largest volume of foreign exchange trading takes place in?

What is sales tax________?

If the economy is in the though phase of the business cycle, aggregate demand ____ unemployment ________ inflation ________ and the current account of the balance of payments is likely to move towards ________?

If GDP = Rs1,000 Consumption = Rs 600 taxes = Rs 100, and government purchases = Rs200, how much is saving and investment?

A trained observer________?

Adequate growth of the economy refers to the goals of________?

International trade is based on the idea that?

suburbanization today is based on________?

Which factor best accounts for the existence of cash-crop production as a major form of agriculture i many central American nations today?

one of the tenets of the classical view of the labor market is that the wage adjustments that are necessary to clear the labor market occur?

If the economy is in the though phase of the business cycle, aggregate demand unemployment inflation and the current account of the balance of payments is likely to move towards ____?

If the economy is in the though phase of the business cycle, aggregate demand unemployment inflation and the current account of the balance of payments is likely to move towards ____?