Economics MCQ Question and Answer
Economics MCQ Question and Answer
111. Deficit financing increases—
- Rate of money inflation
- Rate of money deflation
- Rate of devaluation
- All of the above
112. Which is not a monetary measure to control inflation ?
- Soft loan policy
- Hard credit policy
- Tight the regulation of money issue
- To reduce the quantity of money
113. Which is the monetary measure to control inflation ?
- Increase in taxation
- Decrease in taxation
- Soft credit policy
- Hard credit policy
114. Selling of securities in the open market by the central bank creates—
- Inflation
- Deflation
- Both of above
- None of the above
115. To control inflation the central bank should do—
- To sell government securities and to decrease bank rate
- To sell government securities and to increase bank rate
- To purchase government securities and to increase bank rate
- To purchase government securities and to decrease bank rate
116. Which of the following is not a direct tax ?
- Income tax
- Property tax
- Sales tax
- House tax
117. Ultimate burden of tax is known as—
- Impact
- Incidence
- Shifting of tax
- None of the above
118. When elasticity of demand and elasticity of supply are equal, the burden of tax ?
- Lies more on buyer
- Lies more on seller
- Lies equally on buyer and seller
- All of the above are false
119. Which of the following economists suggested tax on expenditure ?
- Dalton
- Musgrave
- Kaldor
- Van Philips
120. If interest payment is deducted from the fiscal deficit, then the balance is—
- Primary deficit
- Budgetary deficit
- Revenue deficit
- Monetary deficit