New ! Economics MCQ Practise Tests

12th Standard Economics English Medium Free Online Test Book Back One Mark Questions - Part Three

12th Standard

    Reg.No. :
  •  
  •  
  •  
  •  
  •  
  •  

Economics

Time : 00:10:00 Hrs
Total Marks : 10

    Answer all the questions

    10 x 1 = 10
  1. A steady increase in general price level is termed as_____________.

    (a)

    wholesale price index

    (b)

    Business Cycle

    (c)

    Inflation

    (d)

    National Income

  2. Expenditure method is used to estimate national income in_______

    (a)

    Construction sector

    (b)

    Agricultural Sector

    (c)

    Service sector

    (d)

    Banking sector

  3. Keynes attributes unemployment to__________

    (a)

    A lack of effective supply

    (b)

    A lock of effective demand

    (c)

    A lack of both

    (d)

    None of the above

  4. Lower interest rates are likely to :

    (a)

    Decrease in consumption

    (b)

    increase cost of borrowing

    (c)

    Encourage saving

    (d)

    increase borrowing and spending

  5. __________inflation results in a serious depreciation of the value of money.

    (a)

    Creeping

    (b)

    Walking

    (c)

    running

    (d)

    Hyper

  6. Moral suasion refers.

    (a)

    Optimization

    (b)

    Maximization

    (c)

    Persuasion

    (d)

    Minimization

  7. Which of the following is not an example of foreign direct investment?

    (a)

    the construction of a new auto assembly plant overseas

    (b)

    the acquisition of an existing steel mill overseas

    (c)

    the purchase of bonds or stock issued by a textile company overseas

    (d)

    the creation of a wholly owned business firm overseas

  8. 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

  9. One of the most important market failures is caused by __________

    (a)

    Positive externalities

    (b)

    Negative externalities

    (c)

    Both

    (d)

    None of the above

  10. Planning Commission was set up in the year ________

    (a)

    1950

    (b)

    1951

    (c)

    1947

    (d)

    1948

*****************************************

TN 12th Standard Economics free Online practice tests

Reviews & Comments about 12th Standard Economics English Medium Free Online Test Book Back One Mark Questions - Part Three

Write your Comment