CSS Economics MCQs Sets with Answers

Exclusive Offer!! ! | Register at CSSMCQs Now to get FULL ACCESS to the entire Website at 1200 Rs/- (20̶0̶R̶s̶) 40.00% OFF until 11:59 PM on April 26, 2023. Register HERE!!                2024JanFebMar                         2023DecNovOctSepAugJulyJuneMayAprilMarFebJan                         2022DecNovOctSepAugJulyJuneMayAprilMarFebJan                            FPSC Tests Important Materials | [BUY] "FPSC To The Point Syllabus Materials" at 600Rs/- (1̶0̶0̶0̶R̶s̶) 40.00% OFF till 31st December 2023 Click to Register Now!!                             2021DecNovOctSepAugJulJunMayAprilMarFebJan                                                                         2020DecNovOctSepAugJulJunMayAprilMarFebJan                                       CSS PAKMCQs Book | PDF COPY | Exclusive Pakistan Affairs MCQs Books for FPSC Tests.                               Listen! | If they tell you 98% fail in CSS Exam…... yet don’t lose faith in yourself… BELIEVE, YOU FALL IN THAT 2%, without doubt, you will be in the 2% Insha'ALLAH. Maybe, NOT right now because You're NOT prepared yet. Maybe, not tomorrow because you can't be prepared too soon. However, After six months of hard work with Persistent and Consistency, you will be LIKE A PRO!!!. At last, If you don't have that much courage and can't believe yourself... CSSMCQs.com suggests you CHOOSE another path of career for yourself. If you can believe it, you can achieve it and vice versa. You know, People have done it with fewer resources, less intelligence, less education, less health, less wealth and with less help than you do possess right now. In fact, there is no excuse that is valid. You just need to sum up some courage and self-belief to go for it. To sum up, great things take time, if it were that easy everyone would be doing that. I hope, you have got the msg now :').                              Follow Us on Instagram  Twitter  Facebook  Youtube for all Updates...!! !                                           Updated List | Current Federal Ministers of Newly Govt of Pakistan 2022                                         

Economics MCQs For CSS Set 7

 

  1. Assume that there are only two goods: A and B
    In the base year, Quantity Price
    A 10 $1
    B 10 $4
    In the current year, Quantity Price
    A 20 $ 5
    B 25 $20
    The Consumer Price Index (CPI) for the current year is:
    A. 50
    B. 100
    C. 200
    D. 500
    e. 600

    2. Which of the following groups is most hurt by unexpected inflation?
    A. workers with cost of living adjustments in their labor contracts
    B. homeowners
    C. people with large debts to pay for their homes and cars
    D. people with large retirement savings held in savings accounts

    3. If the nominal interest rate is 5% and the inflation rate is 2%, the real interest rate is:
    A. 2%
    B. 3%
    C. 5%
    D. 7%
    e. 2 ½%

    4. For which of the following reasons might inflation cause Real GDP to grow slower than it otherwise would?
    A. Inflation makes everyone poorer
    B. Inflation reduces the value of consumer debt
    C. Inflation increases business investment spending
    D. Inflation decreases savings in financial form

    5. Disposable Income is equal to:
    A. National Income C. National Income Minus Taxes
    B. Real GDP
    C. National Income Minus Taxes
    D. National Income Minus Taxes Plus Transfers

    6. Assume that Potential Real GDP equals $10,000. National Income is therefore $10,000. Of this, consumers will pay $2,000 in taxes, save $1,000, and spend $7,000 on consumer goods. Business Investment spending is $2000. In order to avoid recessions and inflation (to have equilibrium), the government should have a:
    A. balanced budget
    B. budget deficit of $1000
    C. budget surplus of $1000
    D. budget deficit of $2000

    7. According to Keynes, when the Great Depression started, the government should have:
    A. done nothing
    B. decreased the money supply
    C. had a large increase in government spending
    D. enacted high tariffs, such as the Smoot-Hawley Tariff

    8. If the government lowers taxes by $10 billion, the Real GDP will rise by
    A. more than $10 billion
    B. less than $10 billion
    C. exactly $10 billion

    9. Which of the following is an automatic stabilizer?
    A. unemployment benefits
    B. spending on education
    C. defense spending
    D. net interest

    10. “Crowding out” means that
    A. a government budget deficit lowers interest rates and causes investment spending to rise
    B. an increase in marginal tax rates lowers production
    C. a government budget deficit raises interest rates and causes investment spending to fall
    D. a government budget deficit raises American exports and lowers American imports

    Answers: D D B D D C C A A C

 

💾 Save the Page as PDF: 📥𝐃𝐨𝐰𝐧𝐥𝐨𝐚𝐝 𝐍𝐨𝐰!
Pages: 1 2 3 4 5 6 7 8 9