Important Questions Part-X

12th Standard EM

    Reg.No. :
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Economics

Time : 01:00:00 Hrs
Total Marks : 60

    Part - A

    60 x 1 = 60
  1. Identify the flow variable

    (a)

    money supply

    (b)

    assests

    (c)

    income

    (d)

    foreign exchange reserves

  2. The Circular Flow Model that represents an open Economy

    (a)

    Two Sector Model

    (b)

    Three Sector Model

    (c)

    Four Sector Model

    (d)

    All the above

  3. Micro means __________.

    (a)

    Large

    (b)

    Big

    (c)

    Small

    (d)

    Both 'a' and 'b'

  4. In addition to household and firms, inclusion of the government sector make this model a ________ model.

    (a)

    Single sector model

    (b)

    Two sector model

    (c)

    Three sector model

    (d)

    Four sector model

  5. The firm sector generates its ……………… by selling goods and services to the household sector

    (a)

    revenue

    (b)

    sales

    (c)

    expenditure

    (d)

    cost

  6. Income method is measured by summing up of all forms of__________

    (a)

    Revenue

    (b)

    Taxes

    (c)

    expenditure

    (d)

    Income

  7. The financial year in India is__________

    (a)

    April 1 to March 31

    (b)

    March 1 to April 30

    (c)

    March 1 to March 16

    (d)

    January 1 to December 31

  8. NNP at factor cost = NNP at Market Price - ________ + Subsidies.

    (a)

    Direct taxes

    (b)

    Canons of taxes

    (c)

    Indirecttaxes

    (d)

    None of these

  9. Which one of the following is not a macro economic variables

    (a)

    Input – Output ratio

    (b)

    Tax – GDP ratio

    (c)

    Current Account Deficit - GDP ratio

    (d)

    Fiscal Deficit - GDP ratio

  10. Match the correct codes

    1 GNP i FC + Indirect Taxes - Subsidies
    2 X-M ii MP - Indirect Taxes + Subsidies
    3 MP iii C + I + G + (X-M)
    4 FC iv Net exports
    (a)

    (1) – (i) (2) – (ii) (3) – (iv) (4) – (iii)

    (b)

    (1) – (ii) (2) – (iii) (3) – (iv) (4) – (i)

    (c)

    (1) – (iv) (2) – (iii) (3) – (i) (4) – (ii)

    (d)

    (1) – (i) (2) – (ii) (3) – (iii) (4) – (iv)

  11. J.B. Say is a ___________

    (a)

    Neo Classical Economist

    (b)

    Classical Economist

    (c)

    Modern Economist

    (d)

    New Economist

  12. _________ Flexibility brings equality between saving and investment

    (a)

    Demand

    (b)

    Supply

    (c)

    Capital

    (d)

    Interest

  13. Assertion (A) :Structural unemployment is due to drastic change in the structure of the society.
    Reason (R) :Lack of demand for the product or shift in demand to other products cause this type of unemployment.

    (a)

    Both A and R are true and R is the correct explanation of A.

    (b)

    Both A and R are true but R is not the correct explanation of A.

    (c)

    A is true but R is false

    (d)

    A is false but R is true.

  14. Match the correct codes

    1 J.B. Say’s Market Law i A person receives his income from production which is spent on the purchase of goods and services produced by others
    2. Keynes theory of employment ii Denotes money actually spent by the people on products of industry
    3. Market Law Meaning iii Effective demand signifies the money spent on consumption of goods and services and on investment
    4. Effective demand iv Supply creates its own demand
    (a)

    (1) – (i) (2) – (ii) (3) – (iv) (4) – (iii)

    (b)

    (1) – (ii) (2) – (iii) (3) – (iv) (4) – (i)

    (c)

    (1) – (iv) (2) – (iii) (3) – (i) (4) – (ii)

    (d)

    (1) – (i) (2) – (ii) (3) – (iv) (4) – (iii)

  15. Match the correct codes

    1 Modern technology being capital intensive requires slanderousness contributes to technological unemployment. i Technical Unemployment
    2 Due to drastic change in the structure of the societ ii StructuralUnemployment
    3. Occurs when more people are than what is actually required iii Seasonal Unemployment
    4. ice cream industry, holiday resorts etc iv Disguised unemployment
    (a)

    (1) – (i) (2) – (ii) (3) – (iv) (4) – (iii)

    (b)

    (1) – (ii) (2) – (iii) (3) – (iv) (4) – (i)

    (c)

    (1) – (iv) (2) – (iii) (3) – (i) (4) – (ii)

    (d)

    (1) – (i) (2) – (ii) (3) – (iii) (4) – (iv)

  16. As income increases, consumption will______

    (a)

    fall

    (b)

    not change

    (c)

    fluctuate

    (d)

    increase

  17. In an open economy import _________ the value of the multiplier

    (a)

    Reduces

    (b)

    increase

    (c)

    does not change

    (d)

    changes

  18. What is not a proposition of the Law:

    (a)

    When income increases, consumption expenditure also increases but by a smaller amount.

    (b)

    The increased income will be divided in some proportion between consumption expenditure and saving.

    (c)

    Excess capacity in capital goods industries is assumed

    (d)

    Increase in income always leads to an increase in both consumption and saving

  19. According to Keynes, saving is:

    (a)

    Private virtue but not social virtue

    (b)

    Private and social virtue

    (c)

    Is neither private virtue nor social virtue

    (d)

    Is either social virtue or private virtue

  20. If MPC = 4/5, then value of the multiplier is:

    (a)

    20

    (b)

    5

    (c)

    0.80

    (d)

    1.25

  21. During depression the level of economic activity becomes extremely

    (a)

    high

    (b)

    bad

    (c)

    low

    (d)

    good

  22. Fisher’s Quantity Theory of money is based on the essential function of money as

    (a)

    measure of value

    (b)

    store of value

    (c)

    medium of exchange

    (d)

    standard of deferred payment

  23. ________system is managed by the Central Monetary Authority.

    (a)

    Plastic money

    (b)

    Metallic Standard

    (c)

    Silver standard

    (d)

    Paper currency

  24. What is the basis of the Credit System.?

    (a)

    State

    (b)

    Computer

    (c)

    PAYTM

    (d)

    Money

  25. In Fisher’s equation of exchange MV=PT, the variation of which produces a proportional change in price:

    (a)

    M

    (b)

    V

    (c)

    P

    (d)

    T

  26. A Bank is a

    (a)

    Financial institution

    (b)

    Corporate

    (c)

    An Industry

    (d)

    Service institutions

  27. ARDC started functioning from

    (a)

    June 3, 1963

    (b)

    July 3, 1963

    (c)

    June I, 1963

    (d)

    July I, 1963

  28. ________is the monetary authority of the country.

    (a)

    Central bank

    (b)

    RBI

    (c)

    SBI

    (d)

    Botha' and 'b'

  29. Expand PSS.

    (a)

    The Payment and Settlement Systems Act

    (b)

    The Payment and Service Systems Act

    (c)

    The Portfolio and Settlement Systems Act

    (d)

    The Payment and Settlement Sanctions Act

  30. A ______ is a payment card issued to users (cardholders) to enable the cardholder to pay a merchant for goods and services.

    (a)

    Debit Card

    (b)

    Swipe card

    (c)

    Punch Card

    (d)

    credit card

  31. Trade between two countries is known as ____ trade

    (a)

    External

    (b)

    Internal

    (c)

    Inter-regional

    (d)

    Home

  32. Exchange rate for currencies is determined by supply a!ld demand under the-system of

    (a)

    Fixed exchange rate

    (b)

    Flexible exchange rate

    (c)

    Constant

    (d)

    Government regulated

  33. _______ means value of exports is more than that of imports.

    (a)

    Unfavorable trade

    (b)

    International trade

    (c)

    Favorable trade

    (d)

    External trade

  34. Large __________ are driving out foreign investors.

    (a)

    public debt

    (b)

    private debt

    (c)

    public revenue

    (d)

    private revenue

  35. ……………………………. means the entry of funds into a nation where foreigners deposit money in a nation’s bank or make purchase in the stock and bond markets, sometimes for speculation.

    (a)

    Foreign Government Investment

    (b)

    Foreign Portfolio Investment

    (c)

    Foreign Institutional Investment

    (d)

    Foreign Direct Investment

  36. The first ministerial meeting ofWTO was held at

    (a)

    Singapore

    (b)

    Geneva

    (c)

    Seattle

    (d)

    Doha

  37. Which of the following does not come under 'Six dialogue partners' of ASEAN?

    (a)

    China

    (b)

    Japan

    (c)

    India

    (d)

    North Korea

  38. The World Trade Organisations headquarters is in _____.

    (a)

    Africa

    (b)

    Alaska

    (c)

    Uganda

    (d)

    Geneva

  39. _________ provides long term loan.

    (a)

    BRICS

    (b)

    WTO

    (c)

    World Bank

    (d)

    None of the above

  40. India’s current quota in the IMF is SDRs (Special Drawing Rights)………..?

    (a)

    5,821.5 million

    (b)

    6,821.5 million

    (c)

    5,621.5 million

    (d)

    8,821.5 million

  41. The tax possesses the following characteristics

    (a)

    Compulsory

    (b)

    No quid pro quo

    (c)

    Failure to pay is offence

    (d)

    All the above

  42. Consider the following statements and identify the correct ones.
    (i) Central government does not have exclusive power to impose tax which is not mentioned in state or concurrent list.
    (ii) The Constitution also provides for transferring certain tax revenues from union list to states.

    (a)

    i only

    (b)

    ii only

    (c)

    both

    (d)

    none

  43. During the past 67 years of planning, the population of India has increased from 36.1 crore in…………, to 121 crore in………..?

    (a)

    1951 and 2011

    (b)

    1981 and 2011

    (c)

    1991 and 2018

    (d)

    1971 and 2001

  44. Impact of a tax refers to

    (a)

    Final money burden

    (b)

    Immediate money burden

    (c)

    Indirect real burden

    (d)

    None of the above

  45. Generally, the nature of indirect tax is ……………

    (a)

    Progressive

    (b)

    Regressive

    (c)

    Proportional

    (d)

    None of the above

  46. The term environment has been derived from a French word _________

    (a)

    Environ

    (b)

    Environs

    (c)

    Environia

    (d)

    Envir

  47. The major contributor of Carbon monoxide is

    (a)

    Automobiles

    (b)

    Industrial process

    (c)

    Stationary fuel combustion

    (d)

    None of the above

  48. Children are highly vulnerable and expect to and ___________ commonly suffer from pneumonia and asthma.

    (a)

    Air pollutants

    (b)

    Water pollutions

    (c)

    Land Pollution

    (d)

    Noise pollutions

  49. _____________ is the example of. negative consumption externality.

    (a)

    Non-smoker

    (b)

    Smoker

    (c)

    Chain smoker

    (d)

    Rare-smoker

  50. Consumption of a pure public good

    (a)

    depletes the supply of the good for others

    (b)

    increases the supply of the good

    (c)

    denies the opportunity to consume the good to others

    (d)

    neither depletes the good nor excludes others from consuming it

  51. Long-term plan is also known as_______

    (a)

    Progressive Plans

    (b)

    Non-progressive Plans

    (c)

    Perspective Plans

    (d)

    Non-perspective Plans

  52. Perspective plan is also known as______

    (a)

    Short-term plan

    (b)

    Medium-term plan

    (c)

    Long-term plan

    (d)

    None of the above

  53. The first Five Year Plan of India was launched in

    (a)

    1947

    (b)

    1951

    (c)

    1956 .

    (d)

    1961

  54. Poverty alleviation programmes started by thegovernment from _______ Five Year Plan.

    (a)

    Fourth

    (b)

    Fifth

    (c)

    Sixth

    (d)

    Seven

  55. The idea of _____________ was strengthened during the Great Depression in 1930s.

    (a)

    political planning

    (b)

    industrial planning

    (c)

    economic planning

    (d)

    democratic planning

  56. The word 'statistics' is used as _______

    (a)

    Singular.

    (b)

    Plural

    (c)

    Singular and Plural.

    (d)

    None of above

  57. If Y = 2 - O.2X, then the value of Y intercept is equal to

    (a)

    -0.2

    (b)

    2

    (c)

    0.2X

    (d)

    All of the above

  58. Evidence from history proves that during the reign of Chandra Gupta Maurya, there existed a system of maintaining ________.

    (a)

    vital statistics

    (b)

    descriptive statistics

    (c)

    inferential statistics

    (d)

    none of the above

  59. Find the author who said this “Statistics as a science of estimates and probabilities”

    (a)

    Croxten and Crowden

    (b)

    Boddington

    (c)

    Irving Fisher

    (d)

    Lowernce

  60. There are two kinds of measures of dispersion, namely

    (a)

    Absolute measure of dispersion and Relative measure of dispersion

    (b)

    Relative measure of dispersion and Relative measure of dispersion

    (c)

    Absolute measure of dispersion and Absolute measure of dispersion

    (d)

    Relative measure of dispersion and Absolute measure of dispersion

  61. Part - B

    35 x 2 = 70
  62. Classify the economies based on status of development

  63. Write down the three types of economic systems.

  64. What is Price Mechanism?

  65. What are the major types of economic systems

  66. Mention the any three Socialist Learning economies.

  67. Define GDP deflator

  68. What do you mean by Real Income?

  69. What do you understand by Net Factor Income from Abroad (X-M)?

  70. What is the main feature of rural unemployment ?

  71. Give short note on frictional unemployment

  72. What are the four components of aggregate demand?

  73. What is unemployment?

  74. What is Aggregate supply?

  75. Define average propensity to consume (APC).

  76. State the Duesenberry hypothesis.

  77. Assume a consumption function that takes on the following algebraic form: C = Rs.100 + 0.8Y. Assume that Y = Rs.1000 what is the level of consumption at this income level.

  78. What is commodity money?

  79. What is Monetary Economics?

  80. Define the “Statutory Liquidity Ratio”?

  81. Write the meaning of Open market operations

  82. Expansionary policy – Define.

  83. Write a note on Paytm.

  84. What is International Economics?

  85. What is Foreign Portfolio Investment (FPI)

  86. What was proposed in The Brettonwoods Conference?

  87. What do you mean by public debt?

  88. What are Sale Taxes?

  89. What do you mean by ecosystem?

  90. List the examples of Private Sectors E-Wastes.

  91. Mention the indicators of development.

  92. How economic growth and development differs with their respective indicators?

  93. Differentiate democratic plan with totalitarian plan.

  94. What is Statistics?

  95. What are the kinds of Statistics?

  96. What are the methods of calculating SD?

  97. Part - C

    25 x 3 = 75
  98. Indicate the demerits of socialism

  99. What are the Merits of Socialism?

  100. Write briefly about national income and welfare

  101. What are the items should not be included while estimating national income through income method?

  102. What do you mean by aggregate demand ? Mention its components

  103. Distinguish between Fictional and Structural unemployment.

  104. State the propositions of Keynes’s Psychological Law of Consumption

  105. Draw the diagrams for Autonomous investment and induced investment.

  106. What is money supply?

  107. Explain Effects on Production of Inflation.

  108. Bring out the methods of credit control

  109. Discuss the Agency Functions of RBI.

  110. Describe the subject matter of International Economics.

  111. What are the general advantages of International Trade?

  112. List the “Role of a state” according to mercantilists?

  113. Mention any three lending programmes of IMF.

  114. Write briefly about “Structural Adjustment Facility”

  115. What are the functions of a modern state?

  116. Present chart depicting public expenditure.

  117. What are the causes of water pollution?

  118. Define water pollution.

  119. How would you break the vicious circle of poverty?

  120. Explain NITI Aayog.

  121. Find the Standard Deviation of the following data:14,22,9,15.20,17,12.11

  122. What is NSSO?

  123. Part - D

    10 x 5 = 50
  124. Explain the three sector model of economy with chart

  125. Consider the following are the only transactions take place in an economy:
    (i) Industry A imports goods worth Rs. 100. It sells goods worth Rs. 400 to industry B, 'goods worth Rs. 200 to industry C, and goods worth Rs. 1,000 for private consumption.
    (ii) Industry B sells goods worth Rs. 500 to industry C and goods worth Rs. 800 for private consumption.
    (iii) Industry C sells goods worth Rs. 600 to private consumption. and exports goods ,valUed at Rs. 500.
    (iv) Depreciation cost during the year amounts to Rs. 100,
    (v) Government realises taxes of the value of Rs. 100. Calculate the following with the help of net value added method from the data given above (a) GNPMP (b) GNPFC (c) NNPMP and (d) NNPFC

  126. Classify the following as either employed, unemployed or not in the labor force

    An individual who has been temporarily absent due to caring for an elderly relative whether they are paid or not  
    A person 18 years old or older who works without pay for 15 or more hours per week in a family enterprise  
    Someone who works for pay in his or her own business  
    A woman who spends five hours a week sending bills to her husband's clients. She is not paid for her work. Otherwise she performs non-market work at home  
    A retired person  
    A person who quits one job in favor of looking for work elsewhere but has yet to find work  
  127. What are the differences between MEC and MEI.

  128. Explain Multiplier with help of suitable diagram.

  129. Distinguish between NBFC and Other Commercial Bank.

  130. State the importance of the comparative advantage of international trade.

  131. List the Revenue of State Sources

  132. Elucidate various measures of economic development.

  133. Calculate the standard deviation for the following data by assumed mean method: 43, 48, 65, 57, 31, 60, 37, 48, 78, 59

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