Questions

Q:

In the following question, some part of the sentence may have errors. Find out which part of the sentence has an error and select the appropriate option. If a sentence is free from error, select ‘No Error’.

When the business is ran smoothly (1)/ directors are more than happy to pick an experienced insider, (2)/ who will continue along the present path. (3)/ No error (4)

A) 1 B) 2
C) 3 D) 4
 
Answer & Explanation Answer: A) 1

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Q:

Which one of the following statements is not correct?

A) When total utility is maximum, marginal utility is zero B) When total utility is decreasing, marginal utility is negative
C) When total utility is increasing, marginal utility is positive D) When total utility is maximum,marginal and average utility are equal to each other.
 
Answer & Explanation Answer: D) When total utility is maximum,marginal and average utility are equal to each other.

Explanation:

Total utility -It is total psychological satisfaction which a consumer derives from the consumption of a commodity is known as total utility

Marginal utility -It is anaddition made in total utility by consuming and additional unit of a commodity is known as marginal utility.

•When marginal utility is positive,total utility increases

•When marginal utility is zero,total utility is at maximum

•When marginal utility is negative,total utility decreases

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Q:

The goods which people consume more, when their price rises are called _______.

A) Essential goods B) Capital goods
C) Veblen goods D) Giffen goods
 
Answer & Explanation Answer: D) Giffen goods

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Q:

Lorenz curve shows

A) Inflation B) Unemployment
C) Income distribution D) Poverty
 
Answer & Explanation Answer: C) Income distribution

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Q:

IMF has predicted that the global economy would grow at _______ % in 2017.

A) 5.5 B) 4.5
C) 3.5 D) 2.5
 
Answer & Explanation Answer: C) 3.5

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Q:

The market for sugar is in equilibrium. If the supply of sugar increases, the equilibrium price of sugar will ________ and the equilibrium quantity will _________.

A) increase; increase B) decrease; decrease
C) increase; decrease D) decrease; increase
 
Answer & Explanation Answer: D) decrease; increase

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Q:

Who was the Governor-General of India duringthe‘Sepoy Mutiny’?

A) Lord Dalhousie B) Lord Harding
C) Lord Canning D) Lord Lytton
 
Answer & Explanation Answer: C) Lord Canning

Explanation:

Lord Canning (1856-1862) was the Governor-General during the mutiny of 1857 (India’s first war of independence). After war he was made first Viceroy of India.

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Q:

In the following passage some of the words have been left out. Read the passage carefully and select the correct answer for the given blank out of the four alternatives.

It is not _____ to ignore all allegations of booth capturing and rigging as murmurs of _____ losers. _____ have come to light of intimidation of whole villages and communities to make them vote for a particular candidate or party. At times election officials have been _____ by unscrupulous politicians into turning a blind eye to _____ practices.

into turning a blind eye to _____ practices.

A) significant B) rare
C) unjust D) usual
 
Answer & Explanation Answer: C) unjust

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