Q.1) The father of New Economics is

a) Adam Smith

b) Marshall

c) Karl Marx

d) J.M.Keynes

Q.2) T.R. Malthus published his book “Essay on the Principles of Population “ in

a) 1896

b) 1776

c) 1857

d) 1798

Q.3) Match the following:

a) a-5 b-4 c-1 d-2 e-3

b) a-4 b-5 c-2 d-3 e-1

c) a-3 b-2 c-4 d-5 e-1

d) a-2 b-1c-3 d-4 e-5

Q.4) When a person lives below the minimum subsistence level, he is said to live

in -------------poverty.

a) Absolute

b) Relative

c) Abstract

d) Non

Q.5) The difference between NNP and NDP is

a) Depreciation

b) Current transfers from rest of the world.

c) Indirect tax

d) Net factor income from abroad

Q.6) Perspective plan covers a period of

a) 5 years

b) 10 years

c) 20-25 years

d) 15 years

Q.7) Green revolution increased the food grains production especially in

a) Rice and Sugarcane

b) Rice and Wheat

c) Wheat and Sugarcane

d) Ragi and Rice

Q.8) The new industrial policy was announced in

a) 1980

b) 1984

c) 1991

d) 2001

Q.9) Match the following:

a) a-5 b-4 c-2 d-3 e-1

b) a-4 b-3 c-1 d-5 e-2

c) a-3 b-2 c-4 d-2 e-1

d) a-2 b-1 c-5 d-4 e-3

Q.10) IBRD was set up in

a) 1983

b) 1844

c) 1948

d) 1944

Q.11) Education is

a) Consumption good

b) Investment good

c) None

d) Both

Q.12) The process of arranging the data into classes and subclasses according to

the common characteristics

a) Tabulation

b) Classification

c) Distribution

d) Arrangement

Q.13) The most preferred diagram to represent the components of a variable.

a) Line diagram

b) Bar diagram

c) Pie Diagram

d) Pictogram

Q.14) The statistical tool to measure changes over time is

a) Averages

b) Index Number

c) Deviation

d) Variance

Q.15) The most stable measure of Variability is

a) Variance

b) Mean

c) Median

d) Mode

Q.16) The concept of Net Economic Welfare has been given by

a) Samuelson

b) Marshall

c) Adam Smith

d) Lionel Robbins

Q.17) In a Socialist economy, all decisions regarding production and distribution

are taken by

a) Market forces

b) Central Planning Authority

c) Customs and traditions

d) Private sector

Q.18) Consumer Surplus is

a) Potential Price –Actual Price

b) MVn=TVn-TVn-1

c) Demand = Supply

d) None

Q.19) Law of Demand establishes

a) inverse relationship between price and quantity

b) Positive relationship between price and quantity

c) both

d) None

Q.20) The degree of response of demand to change in price is

a) Income elasticity of demand

b) Cross-elasticty of demand

c) Price elasticity of demand

d) All the above

Q.21) Above the equilibrium price

a) S< D

b) S> D

c) S= D

d) None

Q.22) The initial supply price of land is

a) Zero

b) Greater than one

c) Less than one

d) Equal to one

Q.23) Average fixed cost is obtained by dividing

a) TC/Q

b) TFC/Q

c) TVC/Q

d) None

Q.24) Under perfect competition, the demand curve is

a) Upward Sloping

b) Horizontal

c) downward sloping

d) Vertical

Q.25) A firm can achieve equilibrium when its

a) MC=MR

b) MC=AC

c) MR=AR

d) MR=AC

Q.26) Match the following :

a) a-2 b-1 c-4 d-5 e-3

b) a-3 b-2 c-5 d-1 e-4

c) a-1 b-3 c-2 d-4 e-5

d) a-4 b-5 c-3 d-2 e-1

Q.27) The marginal propensity to consume

a) ∆S/∆Y

b) C/y.∆P/∆Q

c) ∆P/∆Q

d) ∆C/∆Y

Q.28) Currency with the public is known as

a) M1

b) M2

c) M3

d) M4

Q.29) A situation marked by rising prices and stagnation in demand is known as

a) Cost –push inflation

b) Demand –pull inflation

c) Stagflation

d) Wage-push inflation

Q.30) In ZBB every year is considered as a

a) Base year

b) Financial year

c) New year

d) Academic year

Q.31) Supply is constant in

a) Very short period

b) Short Period

c) Long Period

d) Very long Period

Q.32) National income of a country can be calculated by

a) 2 methods

b) 3 methods

c) 4 methods

d) 5 methods

Q.33) Per Capita Income is an indicator of

a) Richness of people

b) Poverty of people

c) Living standard of people

d) Literacy of People

Q.34) Secondary sector contribution to national income in India is

a) 15.8%

b) 25.8%

c) 58.4%

d) 98.4%

Q.35) The word money meaning “Moneta “ is derived from

a) Latin

b) Greek

c) Spanish

d) French

Q.36) The Purchasing power of money depends upon the

a) Price Level

b) Demand Level

c) Supply Level

d) Both Demand and Supply level

Q.37) In United States more than -------------of labour force is tertiary workers.

a) 60%

b) 40%

c) 80%

d) 70%

Q.38)

Assertion (A) : Development increases the quality of life.

Reason (R) : People will have higher incomes, better education, better health

and nutrition, less poverty.

a) Both (A) and (R) are true and R) explains (A)

b) Both (A) and (R) are true and (R) does not explains (A)

c) (A) is correct and (R) is false

d) (A) is false and (R) is true

Q.39) -----is considered a true measure of national income.

a) GNP

b) GDP

c) NNP

d) NDP

Q.40) Assertion (A) : The Net National Product NNP) is consider as a true

measure of national output.

Reason (R) : It is also known as national income.

a) Both (A) and (R) are true and (R) explains (A)

b) Both (A) and (R) are true and (R) does not explains (A)

c) (A) is correct and (R) is false

d) (A) and (R) are false

Q.41) Assertion (A) : Human resource is necessary for the progress of any

country

Reason (R) : Investment in education and health of people can result in a high

rate of returns in the future for a country.

a) Both (A) and (R) are true and (R) explains (A)

b) Both (A) and (R) are true and (R) does not explains (A)

c) (A) is correct and (R) is false

d) (A) is false and (R) is true

Q.42) Inter –generational equality is ensured under the process of

a) Industrial progress

b) Economic development

c) Sustainable development

d) Economic Growth

Q.43) ---------is the state with highest installed solar capacity in India

a) Tamil Nadu

b) West Bengal

c) Kerala

d) Andhra Pradesh

Q.44) Match the following:

a) a-3 b-4 c-2 d-1

b) a-4 b-3 c-1 d-2

c) a-2 b-1 c-4 d-3

d) a-1 b-2 c-3 d-4

Q.45) Which Delhi Sultan of medieval India formed “ Employment Bureau “ to

solve the un employment problem.

a) Muhamad Bin Tugluq

b) AllauddinKhilji

c) Feroz Shah Tugluq

d) Balban

Q.46) Irrigated land surface out of cultivated land is ------

a) 27%

b) 57%

c) 28%

d) 49%

Q.47) Find the odd one out :

a) “ An inquiry into the nature and the causes of the Wealth of Nations”

b) “Principles of Economics “

c) “Nature and Significance of Economic Science “

d) “ Ceteris paribus”

Q.48) Author of “ An Inquiry into the Nature and Causes of Wealth of Nations”

a) Alfred Marshall

b) Adam Smith

c) Lionel Robbins

d) Paul A Samuelson

Q.49) The process of reasoning from particular to general is

a) Deductive method

b) Inductive method

c) Positive Economics

d) Normative economics

Q.50) Marginal Utility is measured by using the formula of

a) TUn-TUn-1

b) TUn-TUn+1

c) TUn+ TUn+1

d) TUn-TUn+1

Q.51) Given potential price is Rs.250 and the actual price is Rs.200. Find the

consumer surplus.

a) 375

b) 175

c) 200

d) 50

Q.52) Increase in demand is caused by

a) Increase in tax

b) Higher subsidy

c) Interest in interest rate

d) Decline in Population

Q.53) In a firm 5 units of factors produce 24 units of the product. When the

number of factor increases by one , the production increases to 30 units.

Calculate the average product.

a) 30

b) 6

c) 5

d) 24

Q.54) An example of selling cost is ------

a) Raw material cost

b) Transport Cost

c) Advertisement Cost

d) Purchasing Cost

Q.55) The concept of meeting unexpected expenditure according to Keynes is

a) Transaction Motive

b) Precautionary Motive

c) Speculative Motive

d) Personal Motive

Q.56) Who among the following propagated Gandhian Economic thinkings.

a) Jawaharlal Nehru

b) VKRV Rao

c) JC Kumarappa

d) A.K.Sen

Q.57) The objective of the Industrial Policy 1956 was ------

a) Develop heavy industries

b) Develop agricultural sector only

c) Develop private sector only

d) Develop cottage industries only

Q.58) The Special Economic Zones policy was announced in ------------

a) April 2000

b) July 1990

c) April 1980

d) July1970

Q.59) The recommended nutritional intake per person in rural areas.

a) 2100 Calories

b) 2200 Calories

c) 2300 Calories

d) 2400 Calories

Q.60) Suppose determinant of a matrix ∆=0, then the solution

a) Exists

b) Does not exist

c) is infinity

d) is zero

Q.61) Which Nobel Prize winner will be honoured by Harvard University for her

work promoting girls’ education?

a) Nadia Murad

b) Malala Yousafzai

c) Kailash Satyarthi

d) Ellen Johnson Sirleaf

Q.62) What an Individual earns is termed as?

a) National Income

b) Per Capita Income

c) GDP

d) NDP

Q.63) The place where goods are bought and sold is known as?

a) Market

b) Industry

c) Consumption

d) Trade

Q.64) When people purchase commodities from the market to satisfy their

requirements is called?

a) Consumption

b) Production

c) Exchange

d) distribution

Q.65) The buying and selling of commodities is termed as?

a) Market

b) Distribution

c) Economy

d) Trade

Q.66) People who buy and sell in small quantities are called?

a) Whole sale merchants

b) Retailers

c) Consumers

d) Producers

Q.67) When there is surplus of commodities there is a __________

a) Rise in price

b) Fall in price

c) Price remains constant

d) Price increase then decrease

Q.68) When there is deficit of commodities there is a ______

a) Rise in Price

b) Fall in Price

c) Price remains constant

d) Price increase then decrease

Q.69) The government supplies essential commodities like rice, dhal, sugar and

oil through _______?

a) Retail shops

b) super market

c) malls

d) Fair Price Shops

Q.70) Who got Nobel Prize for Economics from India?

a) Amartya sen

b) Jagdish Chandra bose

c) Raguram Rajan

d) Dr. Manmohan singh

Q.71) Which is the first known occupation to man.

a) Mining

b) Hunting

c) Agriculture

d) Weaving

Q.72) Choose the incorrect

a) Individual earns is termed as per capita income

b) People receive their basic needs from the government is known as distribution

c) The basis divisions of Economics are production, consumption and

distribution.

d) Purchasing commodities to satisfy their requirements is called “events”.

Q.73)

Statement 1: When there is surplus in market, price of commodities reduced.

Statement 2 : When there is deficit, price Commodities increased.

a) Both Statements are correct

b) Both Statements are wrong

c) Statement 1 correct, 2 wrong

d) Statement 2 correct, 1 wrong

Q.74) As the demand increases there is an increase in the production,

consumption and distribution. This is known as,

a) Trade development

b) Industries Development

c) Economic development

d) Human Development

Q.75) Which of the following is not belonged to service sector

a) Engineering Industries

b) Retail and whole shale

c) Entertainment

d) Insurance

Q.76) In developed countries which of the sector became very important

a) Agriculture Sector

b) Manufacturing sector

c) Service sector

d) All the above

Q.77) __________% of population in America depends on Service sector.

a) 60%

b) 40%

c) 80%

d) 50%

Q.78) Choose the correct

1) Any work undertaken only for pleasure is not regarded as labour

2) Labour is perishable

3) Labour is mobile

4) Individual labours improved the bargaining power

5) Labour is inseperable

a) 1, 3, 4, 5

b) 1, 2, 3, 5

c) 2, 3, 4

d) 3, 4, 5

Q.79) Large population of India depends on

a) Primary sector

b) Secondary sector

c) Service sector

d) None of these

Q.80) Cottage industries belongs to

a) Primary sector

b) Manufacturing sector

c) Service sector

d) a and b

Q.81)

Statement 1 : Professor Dave has said, ‘Money is that which money does’.

Statement 2 : Money was not used as medium in barter system.

a) Both are correct

b) Statement 1 correct but 2 wrong

c) Both are wrong

d) Statement 1 wrong but 2 correct

Q.82) Which one is correct

1) The word ‘money’ is derived from Greek word ‘Moneta’

2) Moneta is a surname of Greek goddess ‘Junato’

3) The Government approved to use money as a medium for trade.

a) 1 only correct

b) 2 only correct

c) 3 only correct

d) All are correct

Q.83) The value of money depends on.

a) Production power

b) Life style of people

c) Purchasing power of people

d) Machinery used in production

Q.84) Which is not a function of Money.

a) Medium of Exchange

b) Measure of value

c) Stare of value

d) permanent factor

Q.85)

Statement 1: The portion of income not spend on consumption is called savings

Statement 2: Investment means addition to the existing production capacities.

a) Statement 1 and 2 correct

b) Both are wrong

c) Statement 1 correct but not 2

d) Statement 2 correct but not 1

Q.86) Choose the incorrect pair.

a) Money-Most fundamental inventions of mankind

b) Investment-Not spent on consumption

c) Savings-depends on consumer

d) Investment-depends on Investor

Q.87) Money is a

a) Medium of exchange

b) Value Measurement

c) Stages of Value

d) Future Stock

Q.88) Match the following:

a) 2314

b) 2134

c) 3421

d) 2413

Q.89) Equilibrium price equalizes,

a) Demand and Supply

b) Demand and income

c) Demand and production

d) Desire and Demand

Q.90) Choose the incorrect pairs

a) Market equilibrium- Demand and supply will react to bring equilibrium price

b) Short period – Supply can be altered to some extend only

c) Long period – change in demand can met change in supply

d) Very short period – Change in supply is not limited

Q.91) Supply is constant in,

a) Very short period

b) Short period

c) Long period

d) Very long period

Q.92) Desire with purchasing power in economics is known as

a) Demand

b) Gain

c) Tax

d) Distribution

Q.93) Factor that decides need

a) Price

b) Numbers

c) Gain

d) Distribution

Q.94)

Statement 1 : Demand is the desire to purchase and ability to pay for a good

Statement 2 : Supply depends on produces

a) Both are correct

b) Both are wrong

c) Statement 1 correct but not 2

d) Statement 2 correct but not 1

Q.95) Factors that influence supply

a) Production technology

b) Prices of factors of production

c) Price of other products

d) Seasonal changes

Q.96) “The amount demanded is increased with a fall in price” is a

____________?

a) Marshal’s law of demand

b) Marshall’s law of supply

c) Profession Walker’s Theory

d) Robbin’s Theory

Q.97)

1) As law of demand explains the inverse relation between demand and price.

2) Law of supply relates Demand and Supply’s direct relation

3) The law of demand is not applicable to necessary goods and luxury goods

4) Marshall’s law of supply explains inverse relation between supply and price.

a) 1, 2 correct

b) 1,3 correct

c) 1, 2, 3 correct

d) 1, 3, 4

Q.98) The law of demand only applicable to,

a) Necessary Goods

b) Gold

c) Diamond

d) Low price goods

Q.99) One of the factors that decides demand

a) Taste and preference

b) production Technology

c) No. of consumers

d) Price of factors of production

Q.100)

1) If Demand and supply equalizes, then price equalizes

2) Equilibrium price mean size of demand in equilibrium

3) Equilibrium price means size of supply in equilibrium

4) If price increases or decreases than equilibrium price, the demand and supply

will react to bring equilibrium level. This is called Market equilibrium

a) 1, 2, 4 correct

b) 1 correct

c) 1 and 4 correct

d) All the above