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Basic of Economics

Mention the theory of inflation or price increase that results from so-called excess demand ?

A. Demand curve theory
B. Cost-push inflation
C. Demand-pull inflation
D. Demand push inflation

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Deregulation is the reduction of government’s role in controlling markets. Which of the following is result(s) of deregulation ?

A. Lead to freer market
B. Lead to a more efficient marketplace
C. Both of them
D. None of them

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Term a tax or duty rebate on imported goods that are exported at a later date ?

A. Duty
B. Custom
C. Rebut
D. Drawback

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What is called degree of buyer’s responsiveness to price changes ?

A. Production & Supply
B. Demand push Supply
C. Demand & Supply
D. Demand pull supply

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Investment funds are established for the supports of institutions such as hospitals investment is called ?

A. Charity funds
B. Attached funds
C. Endowment funds
D. Investment fund

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What is called that bank which regularly accepts foreign currency-denominated deposits and makes foreign currency-denominated deposits and makes foreign currency loans ?

A. Eurobank
B. Foreign bank
C. International Bank
D. Multinational Bank

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Name the methodology by which members of the EMS maintain their currency exchange rates within an agreed upon range with respect to other member countries ?

A. Exchange Rate Mechanism (ERM)
B. Exchange Rate Equilibrium
C. Exchange Rate Balance
D. None of the above

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A firm owns long-lived property that is used by a firm in the Production of its income. What this property is called ?

A. Unmovable asset
B. Fixed property
C. Production line
D. Fixed asset

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What is called a country’s decision to allow its currency value to change freely?

A. Pegged exchange rate
B. Floating exchange rate
C. Liberal exchanged rate
D. Open exchange rate

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What is called the acquisition abroad of physical assets with operating control that resides in parent corporation ?

A. Fixed Direct Investment
B. Foreign Direct Investment (FDI)
C. Foreign Investment
D. Remote Foreign Investment

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