Top 550+ Solved Economics (GK) MCQ Questions Answer
Q. Which one of the following statements is correct?
a. Good money drives bad money out of circulation
b. Bad money drives good money out of circulation
c. Good and bad money cannot circulate together
d. Cannot say
Q. Devaluation of currency leads to -
a. expansion of export trade
b. contraction of import trade
c. expansion of import substitution
d. All of the above
Q. As a result of higher rate of inflation in India, the U.S. dollar will -
a. Depreciate
b. Constant
c. Negligible
d. Appreciate
Q. Which type of foreign investment is considered as unsafe?
a. Foreign Direct Investment (FDI)
b. Portfolio Investment
c. NRI deposits
d. External commercial borrowing
Q. 'Mixed economy' refers to -
a. the co-existence of heavy, small scale and cottage industries
b. the promotion of agriculture as well as cottage industries
c. the co-existence of rich as well as poor
d. the co-existence of public as well as private sector
Q. Golden Handshake Scheme is associated with -
a. Inviting foreign companies
b. Private investment in public enterprises
c. Establishing joint enterprises
d. Voluntary retirement
Q. Stagflation is a situation of -
a. stagnation and deflation
b. stagnation and recession
c. stagnation and inflation
d. stagnation and recovery
Q. Gresham's law is related to -
a. Consumption and demand
b. Supply and demand
c. Circulation of money
d. Deficit financing
Q. 'PROTECTION' means -
a. Restrictions imposed on import trade
b. Protection to home industries
c. No free exchange of goods and services between two countries
d. All of the above
Q. Which one of the following does not deal with export promotion?
a. Trade Development Authority
b. Mineral and Metal Trading Corporation
c. Cooperative Marketing Societies
d. State Trading Corporation of India
Q. Commercialization of agriculture implies -
a. cultivation of Limbers
b. plantation
c. production of crops for sale
d. production of crops like wheat or rice
Q. Agricultural income tax is a source of revenue to -
a. Central Government
b. State Government
c. Local Administration
d. Centre and State Governments
Q. Agricultural Technology is hard to spread because :
a. it has to be adopted to local conditions.
b. rural people are not receptive
c. farmers are afraid to experiment on land for fear of failure.
d. all of the above
Q. Structural unemployment arises due to :
a. deflationary conditions
b. heavy industry bias
c. shortage of raw materials
d. inadequate productive capacity