Indian Economy MCQ Set-16

Indian Economy MCQ Set-16

Q.1 Microeconomy studies behavior of a/an _________________ unit.

A. Individual economic

B. Multilateral economic

C. Both A & B

D. None of these

Answer: A. Individual economic

Q.2 “Rich people should be taxed more” is an example of _____________ economic analysis.

A. Positive

B. Normative

C. Productive

D. None of these

Answer: B. Normative

Note: Normative economics is a part of economics whose objective is fairness or what the outcome of the economy or goals of public policy ought to be.

Q.3 Which Economist divided Economics in two branches of micro and macro on the basis of economic activity?

A. Ragnar Frisch

B. Marshall

C. Ricadro

D. None of these

Answer: A. Ragnar Frisch

Q.4 Which of the following is/are studied under microeconomics?

A. Individual

B. Household

C. Firms

D. All of the above

Answer: D. All of the above

Note: Microeconomics is the study of individuals, households and firms’ behavior in decision making and allocation of resources.

Q.5 Which of the following statements is/are true?

A. Human needs are infinite

B. Resources are limited

C. Scarcity problem gives birth to choice

D. All of the above

Answer: D. All of the above

Q.6 The primary objective of socialist economy is:

A. Maximum production

B. Minimum Governance in economy

C. Maximum Governance in economy

D. Maximum public welfare

Answer: D. Maximum public welfare

Q.7 In which economy, decisions are taken on the basis of price mechanism?

A. Socialist

B. Capitalist

C. Mixed

D. None of these

Answer: B. Capitalist

Q.8 Which of the following is/are branch of microeconomics

A. Product price determination

B. Factor price determination

C. Economic welfare

D. All of these

Answer: D. All of these

Q.9 Which of the following are the primary concept of microeconomics?

A. Elasticity of demand

B. Marginal utility and demand

C. Elasticity of supply

D. All of these

Answer: D. All of these

Q.10 Consumer behavior is studied in:

A. Microeconomy

B. Macroeconomy

C. Income theory

D. None of these

Answer: A. Microeconomy