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Economics Mcqs

When the stock market is rising it is ?

A. Bearish
B. Bullish
C. Hottest
D. Rising up

Categories Basic of Economics, Economics Mcqs Leave a comment

Economic development is measured on the basis of ?

A. Increase in nominal GNP
B. Increase in real GNP
C. Increase in personal income
D. Increase in government revenue

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Government of Pakistan issues currency on the basis of………………?

A. Availability of gold in the country
B. Availability of dollars in the country
C. Demand for money in the country
D. Tax collection

Categories Basic of Economics, Economics Mcqs Leave a comment

Velocity of circulation of money means ?

A. The number of times a unit of money changes hands daily
B. The number of times as unit of money changes hands monthly
C. The number of times a unit of money changes hands annually
D. The number of times a unit of money changes value

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A tariff…………..?

A. Increase the volume of trade
B. Reduces the volume of trade
C. Has no effect on volume of trade?
D. A and C of above

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Pakistan’s fiscal years starts from?

A. 1st September
B. 1st January
C. 1st April
D. 1st July

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The power of a bank to create credit is affected by ?

A. The cash reserve requirement
B. The amount of cash available
C. The number of branches of a bank
D. A and B of above

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The Liquidity Trap condition occurs at a……………?

A. Low rate of interest
B. Very low rate of interest
C. High rate of interest
D. Very high rate of interest

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When a commercial bank creates credit its immediate effect is that it raises………………?

A. The exchange rates
B. The interest rates
C. The money supplies
D. The real national income

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When the State Bank wants to decrease money supply in the country, it ……………?

A. Buys govt. securities in stock market
B. Sells govt. securities
C. Lowers discount rate
D. B and C of above

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