A. Gross investment minus household investment
B. Gross investment minus govt. Investment
C. Gross investment minus capital consumption allowance
D. None of the above
Economics Mcqs
Consumption spending does not include ?
A. Household’s purchases of food
B. Households’ purchase of a car
C. Household’s payment of rent for an apartment
D. Household’s purchase of stock in any XYZ corporation
Which of the following is a withdraw from the circular flow income stream ?
A. Investment
B. Subsidies
C. Taxation
D. Consumption
Economic development ?
A. Is the same as economic growth
B. Means improvement in lifestyle
C. Exists when there is equal distribution of income
D. All of the above
Which is most likely to cause a more even distribution of income ?
A. An increase in indirect taxes
B. An increase in managers salaries
C. An increase in progressive taxation
D. An increase in the rate of inflation
A budgetary deficit means ?
A. Total expenditure is more than total revenue
B. Current expenditure is more than current revenue
C. Capital expenditure is more than capital revenue
D. Total expenditure is more than current revenue
Gross National income is always more than Net National income because it includes ?
A. Foreign income
B. Capital consumption allowance
C. Indirect taxes
D. Direct taxes
According to the law of demand. When ?
A. Price increase demand decreases
B. Price decreases demand decreases
C. Price increased demand increases
D. None of these
The cause of inflation is ?
A. Increase in money supply
B. Fall in production
C. Increase in money supply and fall in production
D. Decrease in money supply and fall in production
What would cause a country’s exchange rate to fall ?
A. An increases demand for its exports
B. Increased demand for its imports
C. An increased inflow of capital
D. None of the above