Top 80+ Solved Introductory Economics 2 MCQ Questions Answer
Q. Which one is included in National Income?
a. winning from lottery
b. milk purchase by a dairy shop
c. national debt interest
d. none of these.
Q. 'Distributed Profits' is also known as:
a. corporate tax
b. dividend
c. retained earnings
d. none of these
Q. Which of the following is included in domestic income?
a. factor income from abroad
b. windfall gains
c. pension on retirement
d. capial gains
Q. Expenditure method focuses on measurement of National income at:
a. phases of production of goods and services
b. phase of income distribution
c. phase of income disposition
d. all of these
Q. Which of the following is not an economic activity and hence not included whileestimating national income in india?
a. medical services rendered by a dispensary
b. a housewife doing household work
c. a lawyer doing his practiced
d. a maid working full time with a family
Q. National product at current prices is higher than national product at constant prices duringa period of :
a. rising prices
b. falling prices
c. constant prices
d. both a and b
Q. Net Factor Income from Abroad is taken into account when National Income is calculated by:
a. value added method
b. income method
c. expenditure method
d. any of the three methods
Q. Broker's commission on sale and purchase of second hand goods is included in nationalincome because:
a. it is a part of compensation of employees
b. it is a part of gross domestic capital formation
c. it is an income earned for rendering productive services
d. none of these
Q. The first National Income calculation on a scientific basis in India is in the year
a. 1947-48
b. 1951-52
c. 1931-32
d. 1990-91
Q. Two sector economy consists of:
a. households, firms
b. households, government
c. firms, foreign sector
d. firms, government.
Q. Real flow refers to the flow of factor services from ------ to -----
a. firms to households
b. households to firms
c. firms to government
d. households to government
Q. Which of the following constitute the reason for difference between Market prices andfactor cost?
a. indirect taxes
b. subsidies
c. both a and b
d. neither a nor b