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Quiz # 03 - Jul 08 to Jul 10

Total Questions 20

Here goes my 3rd Quiz

By Juste

I have only saved the MCQ'S and my answers, didn't saved other options. Verify all answers yourself. Please share your quizzes as well.

IS curve is --------------
Positively sloped.

If the real interest rate is 1% and the inflation rate is 2%, then the nominal interest rate is-----------------percent.
0.5
*1
2
3

If an economy has population of 15 million people out of which 2 million are unemployed and 7 million are employed. What is rate of unemployment?
(2/09)*100

The important determinant of the steady state ratio of capital to labor is--------
Output.

In economics marginal means:
Incremental.

In a given year, a country's exports total Rs39 million & imports are Rs17 million. Its net exports are:
Rs. +22 million.

If M = 2, P = 3, and Y = 40, then the velocity equals to;
(3 * 40)/2

According to aggregate demand (AD) & aggregate supply (AS) analysis; the favorable supply shock will -------output---------inflation and increase employment.
Increase; Decrease;

In economics a -------- is an ----------event that affects an economy either positively or negatively.
Shock; unexpected

You bought stock of a company at Rs.10, 000 and sold it after one year at Rs.13, 000. Your nominal capital gain is-----------------.
30%.

Which one of following is correct equation?
Y = C + I + G + NX

The quantity of money in an economy is Rs.7 million, and the velocity of circulation is 3. GDP in this economy is------------- million.
4

Suppose the first five units of labor inputs generate corresponding total outputs of 100, 130, 150, 160 and 170. The marginal product of the second unit of labor is:
150

If V = 2, P = Rs3, and Y = 40, then the quantity of money equals------------------
Rs.120.

Which of the following is NOT the policy to increase the saving rate?
Decrease incentives for private saving.

In the Solow growth model with technological growth,Y/L =y * E shows----------per worker.
Output

In the ------------model,capital exhibits diminishing returns. In a basic --------------- model, capital exhibits constant returns.

Which of the following is an example of adverse supply shock?
Decrease in price of labor

Which of the following is primary economic function of household sector?
*Undertaking Consumption

Exchanging goods.

If labor productivity per week is 100 units and there are 5 employees. What is the total output?
500 units


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