GK Economics Test 13 GK – Economics Test – 03 Please enter your email: 1. If a firm is producing an output the marginal cost of which is greater then the marginal revenue,it Wd increase its prirofit byIncreasing its output would increase its profit or roduce its loss by feducing output. cannot be a monopolist will be making an absolute loss 2. Bank rate means the official rate of interest charged by the central bank of the country interest rate chixgedl by the sheduled banks rate of profit of the banking institution interest rate charged by moneylenders 3. Private investment will most-likely to be increased as a result of a rise in the price of shares personal taxation expected yield on new capital the rate of interest 4. Currency drain is a phenomenon referresd to when of’cufrency by foreigners in a country goes up the holding of currency by foreigners domestic currency is exported the currency holding by parallel economy increases 5. The two-gaps theory refers to savings gap and employment gap savings gap and exchange gap savings gap and wage-goods gap the wage-goods gap and exchange gap 6. The total utihty which a consurner derives from n units of a commodity minus the total utility he derives firom ‘n -1’ unit is marginal utility of n units total utility of n units consumer’s surplus from n units consumer’s surplus ‘n-1’ units 7. If the Indian is making a loss on passenger traffic, it should increase its prices. The suggested remedy would only work if the demand for air travel had a price elasticity of less than one but more than zero greatest than one zero one 8. The angency estimating the national income of India is Central Statistical Organisation Planning Commission Reserve Bank of India Ministry of Firiance 9. Saving is a function of export investment improvement in productivity income 10. The goals of monetary policy do not include Full employment Maximum tax revenue Maxmimun output Price stability Loading … Question 1 of 10 Previous PostGeneral Knowledge 361 Next PostPMP Mock Exam 2
