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 Indian Economy Questions

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Q:

Which of the following is represented by 'Lorenz Curve'?

A) Employment B) Inflation
C) Deflation D) Income Distribution
 
Answer & Explanation Answer: D) Income Distribution

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Q:

Transport comes under which sector of economic growth?

A) Secondary sector B) Primary sector
C) Tertiary sector D) Quaternary sector
 
Answer & Explanation Answer: C) Tertiary sector

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Q:

Medium term loans are provided for a period of _____.

A) 1 year to 2 years B) 15 months to 3 years
C) 15 months to 4 years D) 1 year to 3 years
 
Answer & Explanation Answer: D) 1 year to 3 years

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Q:

If demand curve for house cleaning services is D = 45000 - 21P and supply curve is S = 15000 + 9P, find the equilibrium Quantity?

A) 12000 units B) 6000 units
C) 24000 units D) 30000 units
 
Answer & Explanation Answer: C) 24000 units

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Q:

If for a perfectly competitive firm, price is Rs. 60, output is 300 units, average variable costs are Rs. 18, and average total costs are Rs. 36. The firm's profits are equal to

A) Rs. 5400 B) Rs. 3600
C) Rs. 7200 D) Rs. 1800
 
Answer & Explanation Answer: C) Rs. 7200

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Q:

Inflation is a situation characterised by

A) Too much money chasing too few goods B) Too few money chasing too much goods
C) Too many people chasing too few goods D) Too many people chasing too little money
 
Answer & Explanation Answer: A) Too much money chasing too few goods

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Q:

If a budget is defeated in the legislature of a state then

A) The Finance Minister alone has to resign B) The Finance Minister concerned has to be suspended
C) The council of Ministers along with the Chief Minister has to resign D) Re­election have to be ordered
 
Answer & Explanation Answer: C) The council of Ministers along with the Chief Minister has to resign

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Q:

Economic costs of production differ from accounting costs in that

Answer

Economic costs add the opportunity costs of a firm using its own resources while accounting costs do not.

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Subject: Indian Economy Exam Prep: AIEEE , Bank Exams , CAT
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