Top 150+ Solved Fundamentals of Economics MCQ Questions Answer
Q. The relationship between money supply and price level is
a. Inverse
b. Neutral
c. Proportional
d. non-proportional
Q. Cash Balance Approach was given by
a. I. Fisher
b. J. M. Keynes
c. G. Crowther
d. Cambridge University Professors
Q. Which one of the following functions of commercial banks include collection of cheques,drafts, bill of exchange etc. of their customers from other banks?
a. Agency Function
b. Creation of Credit
c. Payment of Loans and Advances
d. General Utility Function
Q. Which one of the following is the apex bank for agricultural credit in India?
a. RBI
b. IDBI
c. SIDBI
d. NABARD
Q. Which of these would lead to fall in demand for money?
a. Inflation
b. Increase in Real Income
c. Increase in Real Rate of Interest
d. None of the above
Q. The rate at which the commercial banks borrow from the Reserve Bank of India is called as
a. REPO
b. PLR
c. BPLR
d. Bank rate
Q. Commercial banks provide collateral loans against
a. Government Security
b. Shares
c. Bills of Exchange
d. Commercial Paper
Q. ________ defined economics as a science which deals with wealth.
a. J.B. Say
b. A.C.Pigou
c. Alfred Marshall
d. Lionel Robbins
Q. _________ is the first Law of Consumption.
a. The Law of Diminishing Marginal Utility
b. The Law of Demand
c. The Law of Increasing Returns
d. All of the above
Q. The Law of Variable Proportions relates to _________ only.
a. long – run
b. short – run
c. very long run
d. very short run
Q. The total ___________ curve will be a horizontal line.
a. Variable cost
b. Fixed cost
c. Marginal cost
d. Cost
Q. The supply curve always slopes ___________
a. Upwards
b. Downwards
c. both (A) and (B)
d. neither (A) nor (B)