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 Indian Economy Questions

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Q:

"Residex Index" is associated with which of these?

A) Share Prices B) Mutual Fund Prices
C) Price Inflation Index D) Housing Prices
 
Answer & Explanation Answer: D) Housing Prices

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Q:

The market structure called monopoly exists where there is exactly ______ seller in any market.

A) One B) Two
C) Five D) Ten
 
Answer & Explanation Answer: A) One

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Q:

Which of the following is not true regard to Goods and Services Tax (GST) ?

A) It will replace luxury tax B) It is a direct tax
C) It will replace multiple taxes on a product or service D) It is an indirect tax
 
Answer & Explanation Answer: B) It is a direct tax

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Q:

The term 'Zero Based Budgeting' refers to __________.

A) A specified sum of money authorized by the Legislaturefor a specific period of time B) To ensure that every rupee spent is result oriented
C) A statutorily mandated form of reimbursement or up-front payment for state expenditures D) A cost item for which payment is made by one stateagency to another
 
Answer & Explanation Answer: B) To ensure that every rupee spent is result oriented

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Q:

Goods which are consumed together are called?

A) Inferior goods B) Normal goods
C) Complementary goods D) Substitute goods
 
Answer & Explanation Answer: C) Complementary goods

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Q:

If hiring an extra worker increases a factory's output from 1000 to 1200 units per day, but the factory has to reduce the price of its product from Rs. 25 to Rs. 24 per unit to sell the additional output, the marginal revenue product of the last worker is

A) Rs. 3800 B) Rs. 200
C) Rs. 4000 D) Rs. 100
 
Answer & Explanation Answer: A) Rs. 3800

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Q:

The basis of determining dearness allowance to employees in India is ____________

A) National Income B) Consumer Price Index
C) Standard of Living D) Inflation Rate
 
Answer & Explanation Answer: B) Consumer Price Index

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Q:

Which of the following CANNOT be called a Debt instrument as referred in financial transactions?

A) Certificate of Deposits B) Bonds
C) Stocks D) Commercial Papers
 
Answer & Explanation Answer: C) Stocks

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