Top 250+ Solved Business Economics MCQ Questions Answer
Q. According to classical economists, variations in savings are due to:
a. level of investment
b. rate of interest
c. level of employment
d. none of the above
Q. Supply creates its own demand is the Basis of:
a. classical economics
b. keynesian economics
c. monetarism
d. none of these
Q. Which policy is effective in the Keynesian range?
a. monetary policy
b. fiscal policy
c. incomes policy
d. none of these
Q. When output exceeds spending:
a. there is unsold output, and level of output will fall
b. there is unsold output, and level of output will rise
c. there is unsold output, and level of spending will rise
d. there is no unsold output since the level of spending will rise
Q. Entrepreneurs will have no tendency to expand or contract output and employment when
a. ad>as
b. ad<as
c. ad=as
d. none of the above
Q. The concept of effective demand is associated with the name of
a. marshall
b. keynes
c. krugman
d. say
Q. Net investment is also known as
a. depreciation
b. induced investment
c. autonomous investment
d. capital formation
Q. In the linear consumption function C = a + bY, coefficient ‘a’ denotes
a. mpc
b. apc
c. autonomous consumption
d. induced consumption
Q. What is Cost-Push inflation?
a. increasing money supply
b. increasing indirect tax
c. population increase
d. expenditure increase unnecessarily.
Q. Inflation is the state in which ..............................
a. the value of money decreases
b. the value of money increases
c. the value of the money increases first and then decreases
d. the value of money decreases first and increases later