Top 80+ Solved Growth and Development MCQ Questions Answer
Q. Harrod’s definition of rate of growth of an economy do not include
a. warranted (required) rate of growth
b. actual rate of growth
c. sustainable rate of growth
d. natural rate of growth
Q. The rate of growth of output which is required to fully employ the entire growing labourforce is the
a. warranted (required) rate of growth
b. actual rate of growth
c. sustainable rate of growth
d. natural rate of growth
Q. The instability of equilibrium in the Harrod model was used by him to explain thebusiness cycles above and below the trend path of --------
a. warranted (required) rate of growth
b. actual rate of growth
c. sustainable rate of growth
d. natural rate of growth
Q. Harrod explained the peaks and troughs of the business cycles through the use of
a. warranted (required) rate of growth of output
b. actual rate of growth of output
c. sustainable rate of growth of output
d. natural rate of growth of output
Q. Harrod argues that in an economy with constant capital-labour ratio, the ------------ cannever be more than the natural rate of growth of output.
a. warranted (required) rate of growth of output
b. actual rate of growth of output
c. sustainable rate of growth of output
d. natural rate of growth of output
Q. In Domar’s Model National Income (output) is determined by investment through the
a. accelerator
b. multiplier
c. saving
d. none of the above
Q. In Joan Robinson’s growth model, capital accumulation depends on
a. saving-income ratio
b. profit-wage relation and labour productivity
c. profit-income ratio and capital productivity
d. saving-investment ratio
Q. In dual gap model, the gap can be filled up by
a. raising the level of saving
b. export promotion
c. steady rate of growth
d. foreign aid
Q. Harrod-Domar model of growth is based on the concepts of and their equality
a. population and productivity growth.
b. investment and average growth rate of income.
c. actual, warranted and natural growth rate
d. productivity growth and investment growth
Q. The characteristics of Rostow’s Traditional society include
a. enlarged production function
b. employment in agriculture
c. social mobility
d. political power
Q. The Prior Saving Theory regards saving as a prerequisite of --------
a. investment
b. income
c. consumption
d. inflation rate
Q. In the Keynesian model, investment is not constrained by prior savings but by ------------acceptable to the workers.
a. investment
b. income
c. consumption
d. inflation rate
Q. The extension of Harrod-Domar model was made by adding the term for foreign tradebalance as per cent of
a. investment
b. national income
c. export
d. import
Q. The prior savings approach is based on classical economics which emphasizes that priorsaving determines
a. investment
b. income
c. consumption
d. inflation rate
Q. The assumptions of Technological dualism not include
a. there are two sectors of the economy
b. there are two factors of production
c. two commodities are produced
d. there are two modes of production