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 Indian Economy Questions

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Q:

The main effect of Direct Taxes is on

A) Food prices B) Consumer goods
C) Capital goods D) Income
 
Answer & Explanation Answer: D) Income

Explanation:
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Q:

CENVAT is related to which of the following ?

A) Sales Tax B) Excise Duty
C) Custom Duty D) Service Tax
 
Answer & Explanation Answer: B) Excise Duty

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Q:

In which of the following market forms a firm does not exercise control over price?

A) Mixed Competition B) Monopoly
C) Oligopoly D) Perfect Competition
 
Answer & Explanation Answer: D) Perfect Competition

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Q:

Amartya Sen was awarded the Nobel Prize for his contribution to 

A) Monetary Economics B) Welfare Economics
C) Environmental Economics D) Development Economics
 
Answer & Explanation Answer: B) Welfare Economics

Explanation:

Amartya   Sen,   Indian   economist who  was  awarded  the  1998  Nobel Prize  in  Economic  Sciences  for  his contributions  to  welfare  economics and social choice theory and for his interest    in    the    problems    of society's poorest members

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Q:

Money market is a market for _______________

A) Short term fund B) Long term fund
C) Negotiable instruments D) Sale of shares
 
Answer & Explanation Answer: A) Short term fund

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Q:

Pump priming should be resorted to at a time of?

A) Inflation B) Deflation
C) Stagflation D) Reflation
 
Answer & Explanation Answer: B) Deflation

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Q:

Lowering of value of currency relative to a foreign reference currency is called _________.

A) Devaluation B) Revaluation
C) Down valuation D) Negative valuation
 
Answer & Explanation Answer: A) Devaluation

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Q:

Which of the following do economists consider to be capital?

A) a construction crane B) a savings account
C) a share of IBM stock D) a pair of stockings
 
Answer & Explanation Answer: A) a construction crane

Explanation:

In economics, there are four factors of production. They are :

1. Land

2. Labour

3. Capital

4. Organization

 

Here in the given options, a construction crane acts like capital.

 

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