Question for JSSC PGT Teacher Economics 2026 - Quiz / Questions / MCQ

Objective Questions

Latest JSSC PGT Teacher Economics Exam Question (Objective Questions), MCQ in English

Subjects : Economics

Question Bank Economics - English

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Economics

Question 1001Single Answer

Which of the following statements about the AK model (Y = AK) of growth is false ?

A
This is a part of endogeneous growth theories
B
The model assumes that an increase in the physical stock of capital will shift the production function upwards
C
The model assumes diminishing returns to capital
D
The model suggest that if the level of investment is higher than depreciation, there would be sustained growth

Question 1002Single Answer

Which of the following is not a correct feature for the absolute convergence to hold good ?

A
Same population growth rate
B
Same savings propensity
C
Same capital-labour ratio
D
Different capital-labour ratio

Question 1003Single Answer

In Solow's growth model, the output per capita is a function of :

A
Labour-output ratio
B
Capital-Output ratio
C
Technical progress
D
Capital-Labour ratio

Question 1004Single Answer

Dusenberry was of the opinion that less developed countries will have serious and adverse effect on their balance of payments due to :

A
demonstration effect
B
multiplier effect
C
backwash effect
D
spread effect

Question 1005Single Answer

Leibenstein in his critical minimum effort thesis treats popultation as a factor that is :

A
Income-generating
B
Investment-inducing
C
Income-depressing
D
Market-expanding

Question 1006Single Answer

'Workers must own the capital to which their savings has given rise.' This is an important assumption of the growth model, developed by :

A
L. Pasinetti
B
N. Kaldor
C
R. Solow
D
J.E. Maede

Question 1007Single Answer

Which one of the following is true for demand side vicious circle of poverty ?

A
Low income → Low demand → Low investment → Capital deficiency → Low productivity → Low income
B
Low productivity → Low income → Low savings → Low investment → Capital deficiency
C
Low income → Low investment → Low demand → Low Capital deficiency
D
Low demand → Low saving → Low productivity → Low investment → Capital deficiency

Question 1008Single Answer

Which of the following is the cause of disequilibrium between warranted rate of growth and actual rate of growth in the Harrod model ?

A
Discrepancy between Ex-ante investment and Ex-post investment
B
Discrepancy between Ex-ante investment and Ex-ante savings
C
Discrepancy between Ex-ante savings and Ex-post savings
D
Discrepancy between Ex-post investmentand and Ex-post savings

Question 1009Single Answer

Which one of the following committees recommended to establish the National Bank for Agriculture and Rural Development (NBARD) in India ?

A
Narsimham Committee
B
Chakravarti Committee
C
Abhijit Sen Committee
D
Shivaraman Committee

Question 1010Single Answer

Which of the following option(s) is/are true for national Action Plan for Climate Change ?

A
It was launched in 2008
B
It has 8 vertical missions for pollution control
C
Both (A) and (B) are true
D
Neither (A) nor (B) is true

Question 1011Single Answer

Which of the following is portrayed in the population pyramid of a country ?

A
Rural-urban distribution of population
B
Young-old distribution of population
C
Age and sex distribution of population
D
Gender distribution of population

Question 1012Single Answer

In the long period, which one of the following curves would aptly represent the time path of population for a developing economy ?

A
Exponential curve
B
Logistic curve
C
Lorenz curve
D
Hyperbolic curve

Question 1013Single Answer

Identify the correct statement about the relationship between total fertility rate and gross reproduction rate .

A
TFR < GRR
B
TFR = GRR
C
TFR > GRR
D
All of the above

Question 1014Single Answer

Which of the following is often referred to as the 'hedonic price' method for valuing environmental assets ?

A
Using linkage between variations in house prices and geographical proximity to an environmental asset
B
Using 'existence value' to estimate the value of an environmental asset
C
Using travel cost to estimate the value of an environmental asset
D
Using 'willingness to pay' to value an environmental asset

Question 1015Single Answer

Which of the following is not a scheme for the upliftment of women in India ?

A
Beti Bachao, Beti Padhao
B
Sukanya Samridhi Yojana
C
Gender Budgeting
D
UJALA Scheme

Question 1016Single Answer

In the context of doubling of farmers income objective, which of the following is not correct ?

A
The target year is 2022-23
B
It is real income which is to be doubled
C
Income from cultivation alone is to be doubled
D
Diversification of agriculture is to be promoted to achieve this objective

Question 1017Single Answer

Which one of the following statements is correct ?

A
Global warming is simply another term for greenhouse effect
B
Global warming is an entirely natural phenomenon
C
Global warming means melting down of glaciers
D
Global warming is the rise in average temperature at earth's surface

Question 1018Single Answer

According to Economic Survey 2017 – 18, the Indian economy is becoming more formalised. This is indicated by which of the following shifts ? Select the correct answer from the codes given below :
(a) The introduction of GST has brought more firms in the indirect tax net
(b) After demonetisation, a significant increase has taken place in the number of individuals filing income tax returns
(c) An increase in savings in the formal financial sector
Code :

A
(a) and (b)
B
only (c)
C
(a), (b) and (c)
D
(b), (c)

Question 1019Single Answer

Which of the following statements are correct regarding Finance Commission in India ?
(a) Finance Commission is constituted under Article 275 of the Constitution
(b) The provision for Grants-in-aids to the states are provided for under Article 280
Which of the above statement(s) is/are correct. Choose the correct answer from the codes given below :

A
Only (a)
B
Only (b)
C
Both (a) and (b)
D
Neither (a) nor (b)

Question 1020Single Answer

The share of agriculture in GDP of india has declined over the years. Which of the following is not a correct reason for this ?

A
Relatively faster rate of growth of non-agricultural sectors in the economy
B
Stagnant or slow rise in yield of agriculture comodities
C
Educated rural youths are not opting for agriculture as an occupation
D
Low value addition in case of agricultural commodities

Question 1021Single Answer

In the last decade, which one among the following sectors has attracted the highest Foreign Direct Investment (FDI) inflow into India ?

A
Telecommunication sector
B
Defence sector
C
Serive sector
D
Insurance sector

Question 1022Single Answer

In the context of the 'twin balance sheet problem' in India, consider the following statements :
(a) Over leveraged corporate debt
(b) High Non-Performance Assets of nationalised banks
(c) high fiscal deficit
Select the correct answer from the codes given below :

A
(a) and (c)
B
(a) and (b)
C
(b) and (c)
D
(a), (b) and (c)

Question 1023Single Answer

In 2016-2017 the Centrally sponsored Schemes (CSS's) were restructured by the Government of India. Select the correct statements related to the restructuring, using the codes given below :
(a) The decision of restructuring was taken by the Governing Council of the NITI Aayog
(b) This will avoid overlaping of expenditure and provide visibility and impact to the CSS's
(c) The CSS's have been classified into flagship and extra flagship categories
(d) The existing number of the CSS's is 37
Code :

A
(a), (b), (c) and (d)
B
(b), (c) and (d)
C
(a) and (b)
D
(a), (b) and (c)

Question 1024Single Answer

As per census 2011, rank the following states in descending order of degree of urbanisation .
(a) Tamil Nadu
(b) Maharastra
(c) Goa
(d) Punjab
Select the correct answer from the codes given below :

A
(b), (a), (d), (c)
B
(c), (a), (b), (d)
C
(a), (c), (d), (b)
D
(d), (b), (a), (c)

Question 1025Single Answer

As on 31^st, March 2017, external debt of India was in which of the following range as a percentage of GDP ?

A
14 to 16 per cent
B
16 to 18 per cent
C
18 to 20 per cent
D
20 to 22 per cent

Question 1026Single Answer

In relation to considerations of demographic dividend, there appears to be 'demographic dualism' exhibited by the Indian states. In this regard consider the following factors :
(a) Total Fertility Rate
(b) Sex Ratio
(c) Per capita income
of the above, which factor(s) is/are correct, Answer from the codes below :

A
Only (a)
B
Both (a) and (b)
C
Both (b) and (c)
D
Only (b)

Question 1027Single Answer

Arrange the following events in the Indian economy in chronological order :
(a) First phase of nationalisation of 14 Banks
(b) Establishment of Narshimhan Committee I on Banking system
(c) Enactment of FEMA Act
(d) Establishment of EXIM Bank of India
Code :

A
(a), (c), (d), (b)
B
(a), (d), (b), (c)
C
(a), (c), (b), (d)
D
(a), (d), (c), (b)

Question 1028Single Answer

Which amongst the following pairs is not correctly matched ?

A
(Concept) (Organization)
Gender Development Index UNDP
B
Ease of Doing Business World Bank
C
Inclusion Index World Economic Forum
D
World Hunger Index United Nations

Question 1029Single Answer

Consider the following diagram which shows the production of a commodity under the condition of increasing cost. If a unit tax is imposed on the commodity, what will be the amount of the burden of the tax on the buyers ?

A
NL
B
LQ
C
LR
D
RQ

Question 1030Single Answer

Which of the following statement(s) is/are true ?
(a) a common resource is rival and non-excludable
(b) a public good is non-rival and non-excludable
Select the correct answer from the codes given below :

A
Both (a) and (b)
B
Only (a)
C
Only (b)
D
Neither (a) and (b)

Question 1031Single Answer

Arrange the following books in chronological order of their publication. Select the correct answer from the codes given below :
(a) The Affluent Society
(b) Asian Drama
(c) The General Theory of Employment, Interest and Money
(d) Development as Freedom
Code :

A
(c), (b), (a), (d)
B
(c), (a), (b), (d)
C
(a), (b), (c), (d)
D
(d), (c), (b), (a)

Question 1032Single Answer

Market failure can occur because of :

A
Imperfect competition
B
Externalities
C
Boh (A) and (B)
D
Neither (A) nor (B)

Question 1033Single Answer

Capital gains means :

A
An increase in the value of an asset
B
An increase in the stock of capital
C
An increase in the yield of an asset
D
An increase in the amount of foreign capital

Question 1034Single Answer

Palma ratio is a measure of :

A
Inequality of income
B
Stock market volatility
C
Morbidity in a region
D
Volatility of crop prices

Question 1035Single Answer

These questions are Assertion (A) and Reason (R) type. Key to these questions is as follows :
Assertion (A) : In Solow's growth model under equilibrium conditions capital labour ratiodoes not change.
Reason (R) : Substitution between capital and labour is possible.
Code :

A
Both (A) and (R) are true and (R) is the correct explanation of (A)
B
Both (A) and (R) are true, but (R) is not the correct explanation of (A)
C
(A) is true, but (R) is false
D
(A) is false, but (R) is true

Question 1036Single Answer

These questions are Assertion (A) and Reason (R) type. Key to these questions is as follows :
Assertion (A) : International trade along the lines of comparative advantage improves the allocative efficiency of existing resources.
Reason (R) : International trade is an engine of growth.
In the light of the above statement, choose the correct answer from the options given below :

A
Both (A) and (R) are true and (R) is the correct explanation of (A)
B
Both (A) and (R) are true and (R) is the correct explanation of (A)
C
(A) is true, but (R) is false
D
(A) is false, but (R) is true

Question 1037Single Answer

These questions are Assertion (A) and Reason (R) type. Key to these questions is as follows :
Assertion (A) : The production possibility Frontier can be a straight line.
Reason (R) : The factors are not specialised and can be substitued at no extra cost.
Code :

A
Both (A) and (R) are true and (R) is the correct explanation of (A)
B
Both (A) and (R) are true, but (R) is not the correct explanation of (A)
C
(A) is true, but (R) is false
D
(A) is false, but (R) is true

Question 1038Single Answer

These questions are Assertion (A) and Reason (R) type. Key to these questions is as follows :
Assertion (A) : Devaluation results in expenditure switching in an economy.
Reason (R) : Devaluation alters the composition of the current account of the balance of payments.
Code :

A
Both (A) and (R) are true and (R) is the correct explanation of (A)
B
Both (A) and (R) are true, but (R) is not the correct explanation of (A)
C
(A) is true, but (R) is false
D
(A) is false, but (R) is true

Question 1039Single Answer

These questions are Assertion (A) and Reason (R) type. Key to these questions is as follows :
Assertion (A) : External forces are of singular importance to economic activities of the developing states.
Reason (R) : Relations between the dominant and dependent states are dynamic to reinforce unequal pattern.
In the light of the above statement, choose the correct answer from the options given below :

A
Both (A) and (R) are true and (R) is the correct explanation of (A)
B
Both (A) and (R) are true, but (R) is not the correct explanation of (A)
C
(A) is true, but (R) is false
D
(A) is false, but (R) is true

Question 1040Single Answer

Given the Demand function of a consumer D = 10 – 2p, the consumer's surplus at price = 2 is :

A
2
B
10
C
9
D
15

Question 1041Single Answer

Total cost function of a producer is C = 10 + 5Q + 2Q². If price is 15, what is marginal cost of the producer in equilibrium ?

A
10
B
5
C
15
D
4

Question 1042Single Answer

Which of the following is condition of economic viability and technological feasibility of Leontief's static system ?

A
Marshall-Edgeworth conditions
B
Kuhn-Tucker conditions
C
Hawkins-Simon conditions
D
Value of the objective function of primal problem should equal the value of the objective function of the dual of the primal

Question 1043Single Answer

Simplex method of solving Linear Programming problems was developed by :

A
Koopmans
B
Dantzig
C
Leontief
D
Solow

Question 1044Single Answer

A bag contains 5 red, 7 white and 3 green balls. One ball is randomly drawn from the bag. What is the probability that is is green ?

Question 1045Single Answer

If a sample survey of the same 100 households is conducted in a particular village, annually for five years, the data so collected will be described as :

A
Time Series Data
B
Cross-section Data
C
Panel Data
D
Pooled Time Series and Cross-section Data

Question 1046Single Answer

If in a distribution mean is 40, mode is 60 and the standard deviation is 10, then the coefficient of skewness will be :

A
–2
B
2
C
–20
D
5

Question 1047Single Answer

In a multiple linear regression with 4 independent variables, the overall regression's significance is to be tested. Which test would be used ?

A
Z test
B
F test
C
x² test
D
t test

Question 1048Single Answer

If a sample of 100 is to be taken from a population of 1000 farmers consisting of marginal small and large farmers, which of the following will be the most appropriate sampling method ?

A
Simple random sampling
B
Cluster sampling
C
Stratified random sampling
D
Systematic sampling

Question 1049Single Answer

Which of the following statements are valid concerning a recursive system ?
(a) The parameters can be validity estimated using separate application of OLS to each equation
(b) The independent variables may be correlated with the error terms in other equations

A
(a) only
B
(b) only
C
Both (a) and (b)
D
Neither (a) nor (b)

Question 1050Single Answer

Match the following lists and seclect the correct answer from codes below :
List – I List - II
(a) Contigency Table (i) Stationarity
(b) Unit root test (ii) Causality
(c) Fisher's F test (iii) x² test
(d) Granger test (iv) Test of significance of over-all regression
Code :

A
(a) (b) (c) (d)
(iii) (i) (iv) (ii)
B
(i) (ii) (iii) (iv)
C
(iv) (iii) (ii) (i)
D
(ii) (iii) (i) (iv)

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Economics

Question 1051Single Answer

Generalized Least Squares method of estimation will not be suitable for dealing with which of the following problems :
(a) Autocorrelated distrubances
(b) Heteroscedastic disturbances
(c) Multicollinearity
(d) Errors in variables
Code :

A
(a) only
B
(b) only
C
(c) and (d)
D
(a) and (b)

Question 1052Single Answer

Match List-I with List – II and select the correct answer from the codes given below :
List – I List – II
(Growth Model) (Equation)
A. Solow 1.

B. Domar 2.

C. Joan Robinson 3.

D. Harrod 4.

Code :

A
(a) (b) (c) (d)
(iii) (iv) (i) (ii)
B
(iv) (ii) (iii) (i)
C
(iii) (i) (ii) (iv)
D
(ii) (iv) (iii) (i)

Question 1053Single Answer

In the adjacent diagram, Government should fix the price at which of the following points to make monopoly result in a socially optimal outocme ?

A
At point A
B
At point B
C
At point C
D
At point D

Question 1054Single Answer

If the producer pays the price for each of the inputs that is used is equal to its value of Marginal product, then which one of the following does he earn ?

A
Zero supernormal profit
B
Monopoly profit
C
Positive supernormal profit
D
Negative supernormal profit

Question 1055Single Answer

Which of the following is not correctly matched for Union Budget 2018-19, announced on 01.02.2018 ?

A
(As % of GDP)
Fiscal Deficit 3.5
B
Revenue Deficit 2.2
C
Primary Deficit 1.2
D
Effective Revenue Deficit 0.3

Question 1056Single Answer

Consider the following diagram with two parallel demand curves AB and CD :

The price elasticity of demand at :

A
Points R and S is equal
B
point R is greater than that at point S
C
point R is less than that at point S
D
points R and S is infinity

Question 1057Single Answer

In 2016, the Nobel prize in Economics was awarded for :

A
analysis of trade pattern and location of economic activity
B
analysis of asset prices
C
analysis of globalization
D
contributions to contract theory

Question 1058Single Answer

Which of the following is not true for perfect competition ?

A
Price = LAC
B
Market demand curve for a commodity is horizontal to X-axis
C
Firms earn normal profits
D
In the long run firms operate at the minimum point of average cost

Question 1059Single Answer

Which amongst the following statements is correct ?

A
The minimum point of AVC and MC are at the same level of output
B
Minimum of AVC is at lesser output than the minimum of MC
C
Minimum of AVC is at larger output than the minimum of MC
D
Any of the above is possible depending upon operating of the law of returns

Question 1060Single Answer

A firms in monopolistic competition advertises in order to :

A
make its product more similar to its competitors'
B
shift the demand curve for its product to the left
C
make the demand for its product less price elastic
D
reduce the industry's price

Question 1061Single Answer

For The increase in the effective minimum wage to have less of an impact on employment, which of the following correct ?
(a) The demand for labour is relatively inelastic
(b) The demand for labour is derived demand
(c) The demand for labour is relatively elastic
(d) The demand for labour is a derived demand
Choose the correct answer from code given below :

A
(a) only
B
(c) only
C
(a) and (b)
D
(a) and (c)

Question 1062Single Answer

Assume that people like onions on their hamburgers. If the supply of hamburgers decreases, the demand for onions will most likely :

A
remain unchanged because hamburgers and onions are different goods
B
increase because hamburgers and onions are substitutes
C
increase because hamburgers and onions are complements
D
decrease because hamburgers and onions are complements

Question 1063Single Answer

In the shortrun, which of the following costs must continuously decrease as output increases ?

A
Total variable cost
B
Total fixed cost
C
Average variable cost
D
Average fixed cost

Question 1064Single Answer

If export price increases by 5 per cent and import price by 20 per cent, the commodity terms of trade is :

A
0.91
B
0.87
C
0.25
D
4

Question 1065Single Answer

If economic agents perfectly anticipate policy changes and if all prices, including wages, are completely flexible, which of the following will be true in the long run ?

A
There will be no trade – off between inflation and unemployment
B
The unemployment rate will be less than the natural rate of unemployment
C
The price level will be constant
D
Changes in the money supply will not lead to changes in the price level

Question 1066Single Answer

Who made the statement, "Inflation is everywhere and always a monetary phenomenon" ?

A
Milton Friedman
B
James Tobin
C
T.W. Swan
D
A. W. Phillips

Question 1067Single Answer

Which amongst the following is not correctly matched ?

A
Concept Economists
New classical economics Robert Lucas
B
Multiple effects of Balanced Budget T.H. Haavelmo
C
New Keynssian economics Paul Romer
D
Permanent income hypothesis M. Friedman

Question 1068Single Answer

Who argued that Keynes's theory of equilibrium with involuntary unemployment is a special case of the general equilirium model, augmented to include money ?

A
W. Leontief
B
J. R Hicks
C
M. Friedman
D
D. Patinkin

Question 1069Single Answer

Adam Smith adocated which of the following ?
(a) laissez faire
(b) the invisible hand
(c) free trade policy
(d) competitive markets
Choose the correct answer from code given below :

A
(a) and (b)
B
(b) and (c)
C
(a), (b) and (c)
D
(a), (b), (c), and (d)

Question 1070Single Answer

Indicate the sequence of the following in terms of their implementation with reference to India :
(a) Income tax
(b) Expenditure tax
(c) Value – added tax at the state level
(d) Service tax
Choose the correct answer from code given below :

A
(a), (c), (b), (d)
B
(a), (b), (d), (c)
C
(a), (c), (d), (a)
D
(c), (d), (a), (b)

Question 1071Single Answer

Arrange the following grouping of the nations from lower to higher order of integration
1. F.T.A
2. Economic Union
3. Common Market
4. Custom Union
Choose the correct answer from the code given below :

A
(a), (d), (c), (b)
B
(a), (c), (b), (d)
C
(b), (a), (d), (c)
D
(b), (c), (d), (a)

Question 1072Single Answer

A country can have an increased surplus in its balance of trade as a result of :

A
declining imports and rising exports
B
higher tariffs imposed by its trading partners
C
an increase in domestic inflation
D
an increase in capital inflow

Question 1073Single Answer

Which of the following statements is/are true for the current account of a country ?
(a) It shows the net income generated in the foreign trade sector
(b) It relates to claims and liabilities of financial nature
Choose the correct answer from the code given below :

A
Only (a) is true
B
Only (b) is true
C
Both (a) and (b) are true
D
Neither (a) nor (b) is true

Question 1074Single Answer

Which amongst the following economists can be classified as strong advocate of protectionist policy of trade ?

A
F. List and A. Hamilton
B
Adam Smith and David Ricardo
C
J.S. Mill and P. Krugman
D
A. Hamilton and J.S. Mill

Question 1075Single Answer

An increase in which of the following would be most likely to increase Long – run growth in developing countries ?

A
Tariffs on imported capital goods
B
Subsidies to business for purchases of capital goods
C
Unemployment compensations
D
Pension payments

Question 1076Single Answer

What is Baran's explanation for under development in Asia, Africa and latin America ?

A
Monopolistic business for abroad
B
Conservative ruling coalitions
C
Weak domestic middle class
D
All of the above

Question 1077Single Answer

The Benefit Theory of allocation of tax burden was given by :

A
Seligman
B
Lindhal
C
Dalton
D
Pigou

Question 1078Single Answer

Consider the following :
(a) Oligopolistic market structure
(b) Economics of scal
of the above, which are the essential feature of Rosenstein Rodan's approach to development ?
Answer from the code below :

A
Both (a) and (b) above
B
Neither (a) nor (b) above
C
only (a)
D
Only (b)

Question 1079Single Answer

If marginal propensity to consume (m.p.c) = average propensity to consume (a.p.c) for all levels of income (Y) then the corresponding consumption function will be :

A
C = a + bY
B
C = bY
C
C = bY²
D
C = a + bY²

Question 1080Single Answer

Which of the following goods is covered under GST as on 1st July, 2017 ?

A
Electricity
B
Liquified Petroleum Gas
C
High Speed Diesel
D
Petroleum Crude

Question 1081Single Answer

The greater the elasticity of supply, the greater is :

A
Incidence of tax on buyers
B
Incidence of tax on sellers
C
Impact of tax on sellers
D
Impactof tax on buyers

Question 1082Single Answer

The ability to pay principle of taxation is logically most consistent with the normative notion of :

A
tax neutrality
B
horizontal equity
C
value –added taxation
D
vertical equity

Question 1083Single Answer

Principle of maximum social advantage is concerned with :

A
Taxation only
B
Public expenditure only
C
Public debt only
D
Both taxation and public expenditure

Question 1084Single Answer

Consider the following statements about optimal tariff :
(a) The beneficiary country is a large country in the world market for a particular good
(b) A deviation from optimal tariff will lead to fall in welfare
Of the above, which statement is correct ? Choose the answer from the code below :

A
Both (a) and (b) are correct
B
Neither (a) nor (b) is correct
C
only (a) is correct
D
Only (b) is correct

Question 1085Single Answer

Which of the following is a distinctive implication of the New Trade Theory developed by Melitz as different from the New Trade Theory ?

A
Trade increases the average productivity as more productive firms expand
B
Helpful state intervention
C
Trade encourage R & D and leadto new products
D
A country may both export and import the goods from the same industry

Question 1086Single Answer

The conjucture that inequalities of income first increase with development and then decrease with further development also known as 'Inverted U' hypothesis has been :

A
Supported by all empirical studies
B
Supported mainly by cross section studies and not by time series studies
C
Supported by time series and not by cross section studies
D
Generally repudiated by empirical studies

Question 1087Single Answer

The ultimate effect of the 'invisible hand' of Adam Smithis that in a competitive economy everyone :

A
benefits if each acts in his/her own interest
B
will increase their profits in a free market
C
should act to maximise economic growth
D
should act to promote the public interect

Question 1088Single Answer

Match List – I with List – II and Select the correct answers from the code given below :
List – I List – II
(Investment criteria) (Economists)
(a) The time series criterion (i) Otto Eckstein
(b) The social marginal productivity criterion (ii) A.K. Sen
(c) The marginal growth contribution criterion (iii) A.E. Kahn
(d) The marginal per capita reinvestment criterion (iv) Galenstein-Leibenstein
Code :

A
(a) (b) (c) (d)
(ii) (i) (iv) (iii)
B
(iv) (iii) (i) (ii)
C
(ii) (iii) (i) (iv)
D
(iii) (ii) (iv) (i)

Question 1089Single Answer

If the central prediction of the growth model of Solow is valid then :

A
Per capita real GDP difference among nation will increase
B
Per capita real GDP difference among the nations will diminish
C
Economic freedom as measured by Heritage Foundation Index will decrease
D
Population growth rate in rich countries will increase

Question 1090Single Answer

Given the consumption function, C = 0.75 Y and the investment function, I = 110 – 0.25 i, then the equation of the IS function will be :

A
Y = 110 – 0.75 i
B
Y = 440 – 1
C
Y = 500 – 0.25 i
D
Y = 400 –75 i

Question 1091Single Answer

In which of the following sectors, the employment elasticity has been estimated to be greater than one during the period (2004 – 05 to 2009 – 10) :

A
Agriculture
B
Construction
C
Manufacturing
D
Mining and Quarrying

Question 1092Single Answer

Arrange the following in the chronological order :
(a) Mahalnobis model
(b) Introduction of rolling plan
(c) Declaration of plan holiday
(d) Inclusive growth strategy
Select the answer from the code below :

A
(b), (a), (c), (d)
B
(a), (c), (b), (d)
C
(c), (a), (b), (d)
D
(a), (c), (d), (b)

Question 1093Single Answer

Which amongst the following statements are true in relation to Indian economy during the period 2014-2016 ?

A
Exports have been buoyant
B
Private capital investment happened at brisk pace
C
Both A and B are true
D
Neither A nor B is true

Question 1094Single Answer

The code used under GST for classification of goods is called :

A
NIC
B
HSN
C
GSTN
D
ITC

Question 1095Single Answer

If CPI based inflation rate in a country is given as :

Year :	2017	2016	2015	2014	2013
Inflation rate (%)	2	5	6	7	9

This trends will be described as :

A
Disinflation
B
Deflation
C
Creeping inflation
D
Stagflation

Question 1096Single Answer

Which among the following states has the smallest % of urban population as per censu 2011 ?

A
Bihar
B
Odisha
C
Himachal Pradesh
D
Meghalaya

Question 1097Single Answer

If the price data for 1980 and 2000 are given and quantity data are given only for the year 2000 then which type of index number, taking 1980 as the base can be constructed ?

A
Laspeyre's Index
B
Paasche Index
C
Fisher index
D
Kelly Index

Question 1098Single Answer

If two events A and B are mutually exclusive then which one of the following is correct ?

A
P(A + B) = P(A) + P(B)
B
P(AB) = P(A)P(B)
C
P(AB) = P(A)/P(B)
D
P(A/B) = P(A) – P(B)

Question 1099Single Answer

If a sample 100 is to be taken from a population of 1,000 farmers consisting of marginal, small and large farmers, which of the following will be the most appropriate sampling method ?

A
Simple random sampling
B
Cluster sampling
C
Stratified random sampling
D
Systematic sampling

Question 1100Single Answer

The sum of squares of deviations of a set of values is minimum when deviations are taken about :

A
Arithemetic mean
B
Harmonic mean
C
Median
D
Geometric Mean

Question 1101Single Answer

Match the following in List – I and list – II and answer from the code given below :
List – I List - II
(a) Sampling distribution (i) Poisson distribution
(b) Discrete distribution (ii) Chi-Square (x²) distribution
(c) Measures of central tendency (iii) Non - probability
(d) Purposive sampling (iv) Mode
Code :

A
(a) (b) (c) (d)
(i) (ii) (iii) (iv)
B
(iii) (i) (ii) (iv)
C
(ii) (i) (iv) (iii)
D
(iv) (iii) (i) (ii)

Question 1102Single Answer

Assertion (A) and Reason (R) type. Key to these questions is as follows :
Assertion (A) : Many developing countries demand that movement of natural persons across countries should be promoted.
Reason (R) : The developing countries have comparative advantage in labour intensive services.
Code :

A
Both (A) and (R) are true and (R) is the correct explanation of (A)
B
Both (A) and (R) are true, but (R) is not the correct explanation of (A)
C
(A) is true, but (R) is false
D
(A) is false, but (R) is true

Question 1103Single Answer

Assertion (A) and Reason (R) type. Key to these questions is as follows :
Assertion (A) : Revealed preference theory excludes the explanation of Giffen good.
Reason (R) : Revealed preference theory considers only negative income elasticity of demand
Code :

A
Both (A) and (R) are true and (R) is the correct explanation of (A)
B
Both (A) and (R) are true, but (R) is not the correct explanation of (A)
C
(A) is true, but (R) is false
D
(A) is false, but (R) is true

Question 1104Single Answer

Assertion (A) and Reason (R) type. Key to these questions is as follows :
Assertion (A) : Indian agriculture still absorbs a major part of workforce.
Reason (R) : Employment elasticity in agricultural sector is high.
Code :

A
Both (A) and (R) are true and (R) is the correct explanation of (A)
B
Both (A) and (R) are true, but (R) is not the correct explanation of (A)
C
(A) is true, but (R) is false
D
(A) is false, but (R) is true

Question 1105Single Answer

Assertion (A) and Reason (R) type. Key to these questions is as follows :
Assertion (A) : Friedman argues that money demand function is a stable function.
Reason (R) : Friedman treats money as one type of asset in which wealth holders can keep a part of their wealth
Code :

A
Both (A) and (R) are true and (R) is the correct explanation of (A)
B
Both (A) and (R) are true, but (R) is not the correct explanation of (A)
C
(A) is true, but (R) is false
D
(A) is false, but (R) is true

Question 1106Single Answer

Consider the following diagram showing the market demand and supply curves for a commodity. If the government fixex the price P₁ above the market clearing price P₀, then the dead-weight loss is represented by :

A
Area of triangle ABE
B
Area of triangle EBC
C
Area of triangle ABE + area of triangle EBC
D
Area of rectangle P₁A B P₀

Question 1107Single Answer

Which of the following features belong to Cournot's model of duopoly ?
(a) It yeilds determinate and stable equilibrium for the duopolists
(b) It is an adequate representation of Nash equilibrium
(c) If the duoplolists combine to form a monopoly, the price changed by them will be less than the equilibrium price without their combining together
of the above which statements are true ? Choose from the Code below :

A
All the above are correct
B
(a) and (c) are correct
C
(a) and (b) are correct
D
(b) and (c) are correct

Question 1108Single Answer

A good is called a 'Giffen good' when the income effect is :

A
positive and is greater than the substitution effect
B
Equal to substitution effect
C
Less than the substitution effect
D
Negative and is greater than the substitution effect

Question 1109Single Answer

Movement from an inefficient allocation to an efficient allocation in the Edgeworth Box will :

A
Increase the utility of all individuals
B
Increase the utility of at least one individual, but may decrease the level of utility of another person
C
increase the utility of one individual, but cannot decrease the utility of anyindividual
D
decrease the utility of all individuals

Question 1110Single Answer

In explaining the price effect, which of the following is/are constant
(a) Real Income
(b) Money Income
(c) Price ratio
Choose the correct answer from the code given below :

A
Only (a)
B
Only (b)
C
Both (b) and (c)
D
Both (a) and (c)

Question 1111Single Answer

Which of the following is a problem connected with general equilibrium analysis ?

A
Existence problem
B
Uniqueness problem
C
Stability problem
D
All of the above

Question 1112Single Answer

In the adjacent Figures 1 and 2, the demand curve DD and supply curve SS are shown. Point E and F represent the equilibrium points. Then which of the following is correct ?

A
Both points E and F are the points of stable equilibrium
B
Both points E and F are points of unstable equilibrium
C
Equilibrium is stable at point E and unstable at point F
D
Equilibrium is unstable at point E and stable at point F

Question 1113Single Answer

Which of the following statements about Pareto Optimum are correct ?
(a) It changes with changes in the distribution of income
(b) At the Pareto optimum, MRS in consumption = MRT in production
(c) It is not unique
(d) It is obtained under perfect cometition
Code :

A
(a), (c) and (d)
B
(b) and (c)
C
(a), (b) and (d)
D
(a) and (b)

Question 1114Single Answer

Market prices adjusted to consider differences between social cost-benefit and private cost-benefit calculations are :

A
Consumer Surplus
B
Price distribution
C
Exchange rate
D
Shadow prices

Question 1115Single Answer

'Bandwagon Effect' is found in which of the following'

A
Life cycle hypothesis
B
Permanent income hypothesis
C
Absolute income hypothesis
D
Relative income hypothesis

Question 1116Single Answer

Consider the following statements :
(a) Phillips curve is an inverse relationship between the rate of unemployment and the rate of inflation in an economy
(b) Engel's Law observes that as income rises the proportion of income spent on food falls even if the actual expenditure on food rises
Which of the above statement(s) is/are correct ?

A
Only (a)
B
Only (b)
C
Both (a) and (b)
D
Neither (a) nor (b)

Question 1117Single Answer

Which amongst the following is not well matched ?

A
Concept Economists
Dual decision hypothesis R.W. Clower
B
Natural rate of unemployment E. Phelps and M. Friedman
C
Limit Price Theory J. Bhagwati
D
Planned sales curve Mrs. J. Robinson

Question 1118Single Answer

Which amongst the following is correct for the aggregate demand function shown in the diagram ?

(1)

(2)

(3)

(4)

Choose the correct answer from the option given below :

A
(a) and (d) are correct
B
(a) and (c) are correct
C
(b) and (c) are correct
D
(b) and (d) are correct

Question 1119Single Answer

Permanent income hypothesis assumes positive correlation between which of the following pairs of variables ?

A
Permanent income and transitory income
B
Permanent income and transitory consumption
C
Permanent income and permanent consumption
D
Transitory income and transitory consumption

Question 1120Single Answer

Which of the following would be the initial impact on an economy if wageswere to increase more than workers productivity ?

A
Employment would increase, causing a rightward shift in the aggregate demand curve
B
The aggregate demand curve would shift to the left, increasing the price level
C
The short – run aggregate supply curve would shift to the left, increasing the price level
D
Employment would decrease, causing a rightward shift in the aggregate demand curve

Question 1121Single Answer

Consider the following statements describing the relationship between marginal propensity to consume (m.p.c) and the value of the multiplier :
(a) Higher the m.p.c lower is the value of multiplier
(b) Higher the m.p.c higheris the value of multiplier
(c) If m.p.c = 1, value of multiplier will be ∞
Which of the above statements is/are correct ?

A
(b) alone
B
(b) and (c)
C
(c) alone
D
(a) alone

Question 1122Single Answer

Match List – I and List –II and select the correct answer from the code given below :
List – I List – II
(Curve) (Relationship)
(a) Engel curve (i) Tax Revenue – Tax rate
(b) Rahn curve (ii) Income - consumption
(c) Laffer curve (iii) Environment – per capita Income
(d) Kuznets curve (iv) Govt. Expenditure – per capita Income
Code :

A
(a) (b) (c) (d)
(iv) (ii) (i) (iii)
B
(i) (iii) (iv) (ii)
C
(ii) (iv) (i) (iii)
D
(iii) (i) (ii) (iv)

Question 1123Single Answer

'Golden rule of accumulation' refers to the savings rate that :

A
maximises the growth rate of output
B
optimises the investment in the economy
C
maximises the growing per capita consumption
D
None of the above

Question 1124Single Answer

Which amongst the following statements are true for Schumpeter model of development ?
(a) Development is possible because of credit creation by Banks
(b) Development flourishes in democracy
(c) Capitalist economy develops through trade cycles
Of the above which statements are correct ? Answer from the code below :

A
All the above are true
B
(a) and (b) are true
C
(b) and (c) are true
D
(a) and (c) are true

Question 1125Single Answer

In Marxian model, the rate of profit on capital is :

A
Directly proportional to rate of exploitation as well as organic composition of capital
B
Inversely proportional to rate of exploitation and organic composition of capital
C
Inversely proportional to rate of exploitation and directly proportional to organic composition of capital
D
Directly proportional to rate of exploitation and inversely proportional to organic composition of capital

Question 1126Single Answer

Which of the following is/are true for AK model of growth ?
(a) It assumes constant savings rate
(b) This savings rate is exogeneously determined
(c) The marginal product of capital is dimishing as output expands
Of the above which statement are correct ?

A
All the three above are correct
B
Only (a) and (b) are correct
C
(a) and (c) are correct
D
Only (b) and (c) are correct

Question 1127Single Answer

According to Fisher – Clark thesis which one of the following is the correct sequence of structural shift in the process of development ?

A
Agriculture, Services, Industry
B
Agriculture, Industry, Servies
C
Agriculture, Industry, Foreign trade
D
Agriculture, Foreign trade, Services

Question 1128Single Answer

Hagen's theory of social change uses psychology, sociology and anthropology to explain how a traditional agricultural society :

A
attains continuing technical progress
B
learns to accept its fate
C
has a social structure where high status is maintained
D
produce an accommodating personality with a high need for achievement

Question 1129Single Answer

According to Lewis model, the dual economy grows. Only when :

A
Modern sector increases its output share relative to the traditional sector
B
agriculture sector uses modern equipment
C
agriculture sector hires labour economically
D
modern manufacturing sector is capital intensive

Question 1130Single Answer

One of the dependency theorists, Andre Gunder Frank suggests that the following economic activities have contributed to under development :
(a) Workers migrating from villages to foreign – dominated urban complexes
(b) Forming an unskilled labour force to work in factories and mines and on plantations
(c) Replacing indigenous entreprises with technologically more advanced, global, subsidiary companies
(d) Closing the economy to trade with and investment from developed countries
Choose the correct answer from the option given below :

A
(b) and (b)
B
(b) and (c)
C
(a), (b) and (c)
D
(a), (b), (c) and (d)

Question 1131Single Answer

If in a Harrodian economy, Ga = 10% and Gw = 8%, this will lead to :

A
Inflation
B
Unemployment
C
Deflation
D
Staglation

Question 1132Single Answer

Match List – I with List – II and select the correct answer from the code given below :
List – I List – II
(Author) (Book)
(a) Gunnar Mydral (i) The rise and fall of nations
(b) Ruchir Sharma (ii) In Defence of Globalisation
(c) Jagdish Bhagwati (iii) Capitalism, Socialism And Democracy
(d) Joseph Schumpeter (iv) Asian Drama
Code :

A
(a) (b) (c) (d)
(ii) (i) (iii) (iv)
B
(iv) (i) (ii) (iii)
C
(iv) (ii) (i) (iii)
D
(i) (iii) (ii) (iv)

Question 1133Single Answer

The 'twin deficit' problem means a country having :

A
High fiscal deficit and high current account deficit
B
High fiscal deficit and high revenue deficit
C
High fiscal deficit and high governance deficit
D
High fiscal deficit and high primary deficit

Question 1134Single Answer

MNCs can help the developing countries to :
(a) Obtain foreign technology and innovative methods of increasing productivity
(b) Employ rural unemployed labour
(c) Finance a savings gap or balance of payments deficit
(d) Generate appropriate technology by adapting existing processes
Choose the correct answer from the code given below :

A
(a) and (c) only
B
(b) and (c) only
C
(a), (c) and (d) only
D
(a), (b), (c) and (d)

Question 1135Single Answer

Which of the following is not part of the W.T.O

A
Inputsubsidies
B
Export subsidies
C
Domestic support
D
Market Access

Question 1136Single Answer

In the context of US economy, which one of the following is true for 'Triffin dilemma' ?
(a) US has to support a large supply of dollars to act as an internationally accepted currency
(b) There is a conflict in the short run domestic and long run objective of US trad policy resulting in trade deficit
Which of the above statements are true ? Choose from the code given below :

A
Both (a) and (b) are true
B
Neither (a) nor (b) are true
C
Only (a) is true
D
Only (b) is true

Question 1137Single Answer

Which of the following does not form part of the foreign exchange reserves of India ?

A
Gold
B
SDRs
C
Foreign currency assets
D
Foreign currency and securities held by the banks and corporate bodies

Question 1138Single Answer

The Regional Comprehensive Economic partership (RCEP) is a proposed free trade agreement between the members of :

A
SAARC
B
ASEAN
C
BRICS
D
EUROPEAN UNION

Question 1139Single Answer

Match the element of List – I with List - II
List – I List – II
(Concepts) (Economists)
A. Gross Barter terms of trade 1. Jacob Viner
B. Single factoral terms of trade 2. Dorrance
C. Income terms of trade 3. F.W. Taussig
D. Secular deterioration in terms of trade 4. Prebisch - Singer of developing countries
Code :

A
(a) (b) (c) (d)
(i) (ii) (iii) (iv)
B
(ii) (i) (iv) (iii)
C
(iii) (i) (ii) (iv)
D
(iv) (iii) (i) (ii)

Question 1140Single Answer

The presence of increasing returns to scale in an industry leads to :

A
discouraging producers from exporting
B
give a comparative advantage in that industry to large countries
C
make that industry perfectly competitive
D
cause price in that industry to rise with output

Question 1141Single Answer

'Break Even Point' is defined as :

A
Situation when firm is making profit
B
Situation when firm is incurring loss
C
Situation when firm has neither profit nor loss
D
It is not related with profit or loss

Question 1142Single Answer

Arrange the following acts in the order in which they came into force :
(a) Competiton act
(b) Foreign Exchange Management Act
(c) Consumer Protection Act
(d) The Factories Act
Choose the correct answer from the option given below :

A
(b), (a), (d), (c)
B
(d), (b), (c), (a)
C
(d), (c), (b), (a)
D
(c), (d), (b), (a)

Question 1143Single Answer

Match the following lists :
List – I List – II
(Committees) (Chairperson)
A. Industrial Sickness 1. Abid Hussain
B. Public sector 2. Onkar Goswami
C. Small Scale industry 3. Rakesh Mohan
D. Infrastructure development 4. Arjun Sen Gupta
Code :

A
(a) (b) (c) (d)
(iii) (ii) (i) (iv)
B
(ii) (iv) (i) (iii)
C
(iv) (i) (iii) (ii)
D
(i) (iii) (ii) (iv)

Question 1144Single Answer

Arrange the following sectors in the ascending order on the basis of their weight in the Index of Industrial production (IIP) with base year 2011-12. Answer from the code below :
(a) Elasticity
(b) Manufacturing
(c) Mining
Code :

A
(c), (b) and (a)
B
(a), (c)and (b)
C
(b), (a) and (c)
D
(a), (b) and (c)

Question 1145Single Answer

For a financial asset, which of the following is/are correct in relation to rate of return and the yield from it ?
(a) Rate of return is retrospective while yield is prospective
(b) Rate to return does not include capital gains while the yield includes capital gains
Choose the correct answer from the code below :

A
Both (a) and (b) are correct
B
Neither (a) nor (b) is correct
C
Only (a) is correct
D
Only (b) is correct

Question 1146Single Answer

When the Reserve Bank of India announces an increase of the Cash Reserve Ratio, what does it man ?

A
The commercial Banks will have less money to lend
B
The Reserve Bank of India will have less money to lend
C
The Union Government will have less money to lend
D
The commercial Banks will have more money to lend

Question 1147Single Answer

Core inflation has been described as :

A
Headline inflation – food inflation
B
headline inflation – (food inflation + fuel inflation)
C
Headline inflation – fuel inflation
D
Food inflation + Fuel inflation

Question 1148Single Answer

According to T.W. Schultz, which of the following statements is/are true ?
1. Farmers in developing countries are unresponsive to government set agricultural prices
2. Farmers in developing countries are willing to innovate and adopt new methods of cultivation
Choose the correct answer from the code given below :

A
Both (a) and (b) are true
B
Neither (a) nor (b) is true
C
Only (a) is true
D
Only (b) is true

Question 1149Single Answer

The government levying taxes on Polluters or charging a surcharge for pesticide use means :

A
Internalization of negative spill over effects
B
Marginal abatement cost
C
Examples of a free rider
D
Examples of Coase's theorem

Question 1150Single Answer

Assuming an agricultural growth rate of 4% per annum in India, what will be its contribution to the country's GDP growth rate with a 20% contribution of the agricultural sector to GDP ?

A
8%
B
5%
C
2%
D
0.8%

Question 1151Single Answer

Optimum population will be at a point where

A
National income is maximum
B
Per capital income is maximum
C
Population is maximum
D
Per capital consumption is maximum

Question 1152Single Answer

Who amongst the following made the following statement ?
"The Table of nature is laid for the few. Those who come uninvited will starve".

A
Julius Simon
B
E. Boserup
C
T.W. Malthus
D
H. Dalton

Question 1153Single Answer

Which of the following is not part of a life table ?

A
It shows age – specific death rate
B
Age – specific life expectancy can be estimated
C
Probabiliity of surviving at particular year of age can be estimated
D
Age – specific birth rate can be estimated

Question 1154Single Answer

Consider the following data pertaining to India as per NFHS – 4 and Match List – I with List – II.
Select the correct answer from the code given below :
List – I List – II
(Indicator) (Value)
A. TFR 1. 2.2
B. IMR 2. 50
C. U – 5 MR 3. 79
D. Institutional Births 4. 41
Code :

A
(a) (b) (c) (d)
(i) (iii) (ii) (iv)
B
(i) (iv) (ii) (iii)
C
(iv) (i) (iii) (ii)
D
(i) (ii) (iii) (iv)

Question 1155Single Answer

Pollution is an example of Market failure because :

A
The market price is less than the efficient price
B
The market price is higher than the efficient price
C
Property rights are poorly distributed
D
Those who suffer from pollution are compensated outisde the market

Question 1156Single Answer

"For goods that are unrelated in consumption, efficiency requires that tax rates be inversely proportional to elasticity of demand". This is the definition of :

A
The benefits – received principle
B
The second best principle
C
The inverse elasticity rule
D
The Ramsey Rule

Question 1157Single Answer

A forward – shifted tax will affect :

A
Buyers and Sellers equally
B
Sellers more than buyers
C
government revenue negatively
D
Buyers more than sellers

Question 1158Single Answer

The case for progressive tax rates rests on :

A
Benefits received
B
Cost of service
C
Ability to pay
D
None of the above

Question 1159Single Answer

Primary deficit is measured by :

A
Fiscal deficit – interest payments
B
Budget deficit – interest payments
C
Budget deficit + total borrowings
D
Total Revenue expenditure – total revenue receipts

Question 1160Single Answer

Which one of the following is not correctly matched ?

A
Plan Strategy of Plan
11th Plan Inclusive growth
B
2nd Plan Heavy industry investment
C
3rd Plan Balanced growth
D
8th Plan Basic Needs

Question 1161Single Answer

Who amongst the following economists have majorly contributed to TFP studies in Indian Context ?
(a) B.N. Golder
(b) A. Virmani
(c) D.K. Das
(d) A. Sen
Choose the correct answer from the option given below :

A
All of the above
B
(c) and (d)
C
(a), (b) and (c)
D
(b) and (d)

Question 1162Single Answer

Consider the following statements in relation to Gender Budgeting and answer from the code given below :
(a) 'Gender analysis' of the budget
(b) Preparing a separate budget for women
(c) Government of India adopted gender budgeting in 2005-06
Code :

A
(a) and (b) are correct
B
(a) and (c) are correct
C
(b) and (c) are correct
D
(a), (c) and (c) are correct

Question 1163Single Answer

Arrange the following indices in the chronological order and answer from the code given below :
(a) Multi Dimension Poverty Index
(b) Human Poverty Index
(c) Capability Poverty Measure
(d) Human Development Index
Code :

A
(d), (c), (b), (a)
B
(d), (b), (c), (a)
C
(b), (a), (d), (c)
D
(a), (b), (c), (d)

Question 1164Single Answer

Which organisation in India has been given the responsibility to monitor the progress of sustainable development goals ?

A
Reserve Bank of India
B
Central Statistical Office
C
NITI Aayog
D
National Sample Survey office

Question 1165Single Answer

Which of the following does not come under Small Savings Schemes as per Government of India ?

A
Post office deposit
B
Public Privident Fund
C
Jan Dhan Accounts
D
Sukanya Samridhi Yojana

Question 1166Single Answer

Which one of the following schemes provide upto Rs 2 lacs accidental death Insurance to the people in the age group of 18 – 70 years ?

A
Atal Pension Yojana
B
Pradhan Mantri Jeevan Jyoti Bima Yojana
C
Pradhan Mantri Suraksha Bima Yojana
D
Atal Jeevan Beema Yojana

Question 1167Single Answer

Assertion (A) and Reason (R) type. Key to these questions is as follows :
Assertion (A) : Public utilities do not opt for profit maximisation policy.
Reason (R) : It would lead to under utilization of capacity.
Codes :

A
Both (A) and (R) are true and (R) is the correct explanation of (A)
B
Both (A) and (R) are true, but (R) is not the correct explanation of (A)
C
(A) is true, but (R) is false
D
(A) is false, but (R) is true

Question 1168Single Answer

Assertion (A) and Reason (R) type. Key to these questions is as follows :
Assertion (A) : The existence of industries with increasing returns to scale create an additional opportunity to gain from trade.
Reason (R) : By specializing in a smaller number of industries, countries can produce more in each industry and the cost of production will, therefore, fall.
Codes :

A
Both (A) and (R) are true and (R) is the correct explanation of (A)
B
Both (A) and (R) are true, but (R) is not the correct explanation of (A)
C
(A) is true, but (R) is false
D
(A) is false, but (R) is true

Question 1169Single Answer

Assertion (A) and Reason (R) type. Key to these questions is as follows :
Assertion (A) : Recursive models can be suitably estimated by OLS method.
Reason (R) : Recursive models satisfy Identification conditions.
Codes :

A
Both (A) and (R) are true and (R) is the correct explanation of (A)
B
Both (A) and (R) are true, but (R) is not the correct explanation of (A)
C
(A) is true, but (R) is false
D
(A) is false, but (R) is true

Question 1170Single Answer

Assertion (A) and Reason (R) type. Key to these questions is as follows :
Assertion (A) : Classical macro model is decomposable into real and monetary sectors.
Reason (R) : Money affects both income and employment.
Codes :

A
Both (A) and (R) are true and (R) is the correct explanation of (A)
B
Both (A) and (R) are true, but (R) is not the correct explanation of (A)
C
(A) is true, but (R) is false
D
(A) is false, but (R) is true

Question 1171Single Answer

An entrepreneur's short – run total cost function is C = q³ – 10q³ + 17q +66.If p = 5 the output at which profit is maximised by this entrepreneur is :

A
7
B
6
C
5
D
2/3

Question 1172Single Answer

Given the Market model with Demand and supply functions as under :
D_t = ap_t+ b a < 0
S_t = Ap_{t – 1} + B A > 0
The condition for stable equilibrium here will be :

A
a < A
B
C
D

Question 1173Single Answer

The production function in Input – Output Analysis propounded by W.W. Leontief has implied the value of elasticity of substitution between inputs as :

A
One
B
Zero
C
Constant
D
Infinity

Question 1174Single Answer

For a Demand Function p = 16 – q 0.5q² the price elasticity of demand at q=4 is :

A
+ 0.5
B
+ 0.2
C
+ 0.7
D
+ 0.3

Question 1175Single Answer

Cobb – Douglas production function Q = AL^aK^1–a(a > 0) is not characterized by :

A
Constant returns to scale
B
Unit elasticity of substitution
C
Variable elasticity of substitution
D
Linear homogeneity

Question 1176Single Answer

For samples of size greater than 30, the sampling distribution of the rank correlation coefficient is approximately which distribution :

A
t
B
Binomial
C
Chi - square
D
Normal

Question 1177Single Answer

If a Durbin – Watson statistics takes value close to zero, what will be the value of first order autocorrelation coefficient ?

A
Close to zero
B
Close to plus one
C
Close to minus one
D
Close to either minus or plus one

Question 1178Single Answer

What would be consequences for the OLS estimator if heteroscedasticity is present in a regression model but ignored ?

A
it will be biased
B
it will be inconsistent
C
it will be inefficient
D
All A, B and C will be true

Question 1179Single Answer

Match the following and select proper code :
List – I List - II
(a) Koyck (i) Autocorrelated distrubances
(b) Durbin - Watson (ii) Lagged variables
(c) Fisher's F test (iii) Casuality
(d) Granger (iv) Test of significance of overall regression
Code :

A
(a) (b) (c) (d)
(i) (ii) (iii) (iv)
B
(ii) (i) (iv) (iii)
C
(iii) (iv) (i) (ii)
D
(i) (iii) (iv) (ii)

Question 1180Single Answer

Marginal rate fo tranformation between two goods X and Y is defined as

A
MRT_X,Y =
B
MRT_X,Y = MRS_X,Y
C
MRT_X,Y = MRS_X,Y =
D
None of the above

Question 1181Single Answer

Consider the following statements regarding the expansion path of a firm :
I. It shows least cost combination for producing different level of outputs
II. The input prices remain constant
Of the above which statement is/are true ? Answer from the codes given below :
Codes :

A
Both I and II are true
B
Only I is true
C
Only II is true
D
Neither I nor II is true

Question 1182Single Answer

The First Fundamental Theorem of Welfare Economics requires

A
producers and consumers to be price takers
B
that the economy operate at some point on the utility possibility curve
C
that there be an efficient market for every commodity
D
All of the above

Question 1183Single Answer

Which among the following allocation/distribution corresponds to Rawlsian concept of equity ?

A
All members of the society receive equal amount of goods
B
Maximise the utility of the least well off people
C
Market outcomes are most equitable
D
Maximise the total utility of all members of the society

Question 1184Single Answer

Under discriminating monopoly, if the elasticity of demand in market I is 2 and in market II, it is 1, (elasticities being in absolute terms) then the price behaviour of the monopolist will be :

A
To charge a higher price in market I
B
To charge a higher price in market II
C
To charge the same price in both the markets
D
In market I, charge double the price of that is charged in market II

Question 1185Single Answer

Given the demand function :
Q =

, where symbols have their usual meaning, at which price, the elasticity of demand would be unity ?

A
20
B
10
C
5
D
All of the above

Question 1186Single Answer

The idea of indicative planning was first adopted in which five year plan of India ?

A
Second Plan
B
Fifth Plan
C
Seventh Plan
D
Eighth Plan

Question 1187Single Answer

Consider the following statements about Rashtriya Swasthya Bima Yojana (RSBY)
(a) Under RSBY the premium is shared on 85 : 15 basis by the centre and state governments
(b) In the case of the North-Earstern States and Jammu & Kashmir, under RSBY the premium is shared in a 90 : 10 ratio
Which of the statement (s) given the lists given above is/are correct ?

A
Only (b)
B
Only (a)
C
Both (a) & (b)
D
Neither (a) nor (b)

Question 1188Single Answer

Match the following from the lists given below :
List – I List - II
(a) National Rural Employment Programme (NREP) (i) 2001
(b) Sukanya Samridhi Yojana (SSY) (ii)1980
(c) Food for work Programme (FWP) (iii) 1983
(d) Rural Landless Employment Gurantee Programme (RLEGP) (iv) 2015
Code :

A
(a) (b) (c) (d)
(iv) (iii) (ii) (i)
B
(i) (ii) (iv) (iii)
C
(iii) (iv) (i) (iii)
D
(iii) (ii) (iv) (i)

Question 1189Single Answer

Which of the following has the highest share in India's external debt at the end of March 2015 ?

A
Rupee debt
B
NRI deposits
C
Commercial Borrowings
D
Export credit

Question 1190Single Answer

R.B.I. can print currency notes upto the value of :

A
Rs 25,000
B
Rs 10,000
C
Rs 5,000
D
Rs 1,000

Question 1191Single Answer

Union Budget 2016 – 2017 imposed a 15% surcharge on the income exceeding

A
Rs 2 crore
B
Rs 75 lakh
C
Rs 10 lakh
D
Rs 1 crore

Question 1192Single Answer

'Paramparagat Kirshi Vikas Yojana' aims to boost :

A
Drip Irrigation
B
Organic Farming
C
Horticulture Crops
D
Vegetable Production

Question 1193Single Answer

Classical dichotomy refers to which one of the following ?

A
There are two sectors of the economy, namely, agriculture and industry
B
Influence of money is not on the real variable like employment and output but on price level
C
Savings come only from profits and not from the wages
D
All of the above

Question 1194Single Answer

The basic rationale of the theory of 'Big-Push' is based upon the idea of

A
size of population
B
external economies
C
internal economies
D
None of the above

Question 1195Single Answer

"Central problem in the theory of economic development is to understand the process by which a community which was previously saving 4 to 5 per cent of less of its national income, converts itself into an economy where voluntary savings is running about 12 to 15 of national income or more." Who among the following economists is attributed with this view ?

A
Ragner Nurkse
B
P.N. Rogenstein-Rodan
C
Gunnar Mydral
D
W. Arthur Lewis

Question 1196Single Answer

In the Harrod – Domar equation g = s/v, where v is defined as :

A
The value of country ‘s capital stock
B
Incrmental capital output ratio
C
The change in country ‘s capital stock
D
None of the above

Question 1197Single Answer

Leibenstein in his critical minimum effort thesis treats population as a factor that is

A
investment - inducing
B
income - generating
C
market - expanding
D
income - depressing

Question 1198Single Answer

Who among the following economists was not associated with the Dependency Theory of Development ?

A
Raul Prebisch
B
T.D. Santos
C
Andre Gunder Frank
D
Gunnar Myrdal

Question 1199Single Answer

The saving function used in the neo-classical growth model is a :

A
Classical saving function
B
Proportional saving function
C
Differential saving function
D
Constant saving function

Question 1200Single Answer

Consider the following items in the balance of payment in India
I. NRI deposits
II. Remittances
Which among the above is/are part of the capital account of balance of payments ?
Answer from the codes below :

A
Only I above
B
Only II above
C
Both I and II above
D
Neither I nor II above

Question 1201Single Answer

Which of the following pairs is not correctly matched ?

A
Taussig : Barter Terms of Trade
B
Prebisch : Deteriorating Terms of Trade
C
Marshal : Offer Curves
D
Walras : Dumping Conditions

Question 1202Single Answer

Which among the following is correct for the discretionary fiscal action ?

A
Payment of Unemployment insurance
B
Payment of Social Security to the retired individuals
C
A managed changed in level of Government spending and/or net tax revenues
D
Automatic changes in net tax revenues that result from income tax structure

Question 1203Single Answer

Who among the following called trade as the 'hand maiden' of growth ?

A
J. Viner
B
Irwing B. Kravis
C
Anne Kruger
D
J. Bhagwati

Question 1204Single Answer

For the import substitution policy of Latin American countries is 1950'swhich of the following is/are true ?
I. It resulted in overvalued exchange rate
II. It treated development as a natural process
Answer from the codes below :

A
Both I and II are true
B
Only I is true
C
Only II is true
D
Neither I nor II is true

Question 1205Single Answer

Consider the following concepts :
(I) Leontief Paradox
(II) Linder Hypothesis
Which among the following can be treated as exception to the conclusions of the Heckscher Ohlin theory ?
Answer from the code below :

A
Both I and II are exception
B
Neither I nor II is an exception
C
Only I is an exception
D
Only II is an exception

Question 1206Single Answer

Which among the following statement are true for the proposed GST arrangements in India ?
I. Both Centre and State taxes will be collected at the point of sale
II. The Centre and State GST will be charged on the manufacturing cost
Of the above, which statement/s is/are true ? Answer from the code below :

A
Neither I nor II is true
B
Only I is true
C
Only II is true
D
Both I and II are true

Question 1207Single Answer

Economists refer to an unanticipated inflation that reduces the real value of outstanding government debt as :

A
Burden of inflation
B
Unanticipated default
C
Seigniorage
D
The inflation tax

Question 1208Single Answer

A public good is
(i) non-excludable in nature
(ii) non-rival in consumption
(iii) excludable in nature
(iv) a good that public must possess
Select the correct answer using the codes given below :

A
Both (i) and (ii)
B
Only (iii)
C
Both (iii) and (iv)
D
Only (iv)

Question 1209Single Answer

A forward-shifted tax will effect

A
buyers more than sellers
B
sellers more than buyers
C
buyers and sellers equally
D
government revenues negatively

Question 1210Single Answer

Assume B is social benefits, C is social costs, r is the social discount rate, t is the time and T is the life of the investment project. The Net Present Value (NPV) of a project is

A
NPV =
B
NPV =
C
NPV =
D
NPV =

Question 1211Single Answer

With reference to the characteristics of 'non-excludability' and 'non-rivalry', "Law and Order" is a classic example of

A
a negative externality
B
a positive externality
C
increasing returns
D
a public good

Question 1212Single Answer

In the trade cycle theory of J.R. Hicks, long run equilibrium growth is determined by

A
Technology
B
Population
C
Autonomous investment
D
Both A and B above

Question 1213Single Answer

Which among the following is not a characteristic of stagflation ?

A
High inflation
B
High unemployment
C
Low growth
D
High employement

Question 1214Single Answer

Consider the following statements regarding the consumption function fitted by Simon Kutznets to US economic data for the period 1869 to 1929 :
I. There appeared no constant terms in the linear consumption function so fitted
II. The APC and MPC were not significantly different
Which of the above statement/s is/are true ? Answer from the codes below :

A
Both statements are not true
B
Only I is true
C
Only II is true
D
Both statements I and II are true

Question 1215Single Answer

Which among the following theory/approach does not treat consumption to depend upon expected income ?

A
Keynes' approach
B
Friedman's approach
C
Life cycle approach
D
Both B and C above

Question 1216Single Answer

In an economy, the saving and investment functions are given as :
S = – 100 + 0.2y
I = – 30 + 0.1y
What will be equilibrium level of income ?

A
1000
B
900
C
600
D
700

Question 1217Single Answer

For the set of observations : 0, 4, 5, 7, 100, which one of the following is the most suitable average ?

A
Arithmetic Mean
B
Geometric Mean
C
Median
D
harmonic Mean

Question 1218Single Answer

Which is a random sampling method ?

A
Quota Sampling
B
Purposive Sampling
C
Systematic Sampling
D
Cluster Sampling

Question 1219Single Answer

The area between – 3σ and + 3σ under standard normal curve is

A
1
B
0.9973
C
0.95
D
0.6826

Question 1220Single Answer

For a symmetrical distribution skewness is

Question 1221Single Answer

Given the following data :
Number of observations = 100
Arithmetic Mean = 180
Variance = 324
The coefficient of variation will be

A
32.4%
B
10%
C
18%
D
1.8%

Question 1222Single Answer

Which of the following satisfies time reversal test but not factor reversal test ?

A
Lespeyres
B
Marshall-Edgeworth
C
Fisher
D
paasche

Question 1223Single Answer

For testing the association of attributes which of the followign tests is suitable ?

A
t test
B
F test
C
x² test
D
Z test

Question 1224Single Answer

Assertion (A) and Reason (R) type. Key to these questions is as follows :
Assertion (A) : In the long period and in perfect competition, a firm earns only normal profit.
Reason (R) : There are no transport costs in the system.
Code:

A
Both (A) and (R) are true and (R) is the correct explanation of (A)
B
Both (A) and (R) are true, but (R) is not the correct explanation of (A)
C
(A) is true, but (R) is false
D
(A) is false, but (R) is true

Question 1225Single Answer

Assertion (A) and Reason (R) type. Key to these questions is as follows :
Assertion (A) : Labour becomes ready to work overtime.
Reason (R) : Industry pays its employees efficiency wage.
Code :

A
Both (A) and (R) are true and (R) is the correct explanation of (A)
B
Both (A) and (R) are true, but (R) is not the correct explanation of (A)
C
(A) is true, but (R) is false
D
(A) is false, but (R) is true

Question 1226Single Answer

Assertion (A) and Reason (R) type. Key to these questions is as follows :
Assertion (A) : The principle of progressive taxation is a generally accepted state policy.
Reason (R) : Progressive taxation does not affect distribution of income and wealth.
Code :

A
Both (A) and (R) are true and (R) is the correct explanation of (A)
B
Both (A) and (R) are true, but (R) is not the correct explanation of (A)
C
(A) is true, but (R) is false
D
(A) is false, but (R) is true

Question 1227Single Answer

Assertion (A) and Reason (R) type. Key to these questions is as follows :
Assertion (A) : Stagflation can develop due to market imperfections.
Reason (R) : Wage flexibility can cause stagflation.
Code :

A
Both (A) and (R) are true and (R) is the correct explanation of (A)
B
Both (A) and (R) are true, but (R) is not the correct explanation of (A)
C
(A) is true, but (R) is false
D
(A) is false, but (R) is true

Question 1228Single Answer

Assertion (A) and Reason (R) type. Key to these questions is as follows :
Assertion (A) : Friedman treats money as, one of Luxury goods.
Reason (R) : It serves as a medium of exchange.
Code :

A
Both (A) and (R) are true and (R) is the correct explanation of (A)
B
Both (A) and (R) are true, but (R) is not the correct explanation of (A)
C
(A) is true, but (R) is false
D
(A) is false, but (R) is true

Question 1229Single Answer

Assertion (A) and Reason (R) type. Key to these questions is as follows :
Assertion (A) : Moving average method is a method of trend estimation.
Reason (R) : Regression method is used to estimate fluctuations in time series.
Code :

A
Both (A) and (R) are true and (R) is the correct explanation of (A)
B
Both (A) and (R) are true, but (R) is not the correct explanation of (A)
C
(A) is true, but (R) is false
D
(A) is false, but (R) is true

Question 1230Single Answer

Which among the following is/are true for a Cartel ?
(I) It aims at maximising of individual firm's profit
(II) It decides the total output in the industry to which Cartel represents
(III) It does not fix the price at which members sel their output
Answer from the code below :

A
All are true
B
I and II are true
C
Only II is true
D
Only I and III are true

Question 1231Single Answer

Why does demand curve have a negative slope ?
(I) Due to income effect only
(II) Due to substitution effect
Answer from the code below :

A
Both I and II
B
Only I
C
Only II
D
Neither I nor II

Question 1232Single Answer

In the entry prevention model of Brain, firms charge premium over

A
Long period competitive price
B
Short period competitive price
C
lowest average cost
D
None of the above

Question 1233Single Answer

Which among the following is not well matched ?

A
Goods Nature
Fishing in the large lake Non – exclusive but rival
B
Air Non – exclusive and non - rival
C
Use of a light house Rival
D
Stock of washing machines Exclusive

Question 1234Single Answer

The slope of the production possiblity curve in the

A
marginal rate of exchange
B
marginal rate os substitution
C
average rate of transformation
D
marginal rate of transformation

Question 1235Single Answer

The gain in profit income from an increase in immigration according to this diagram is :

A
the area BDL'L
B
the area of WBDW'
C
the areas WBFW' and FDL'L together
D
the areas WBDW' and FDL'L together

Question 1236Single Answer

The demand for rare paintings, and rare stamps, etc., is explained by which among the following effect ?

A
Snob effect
B
Bandwagon effect
C
Veblen effect
D
None of the above

Question 1237Single Answer

A market is said to be economically efficient if it maximises

A
consumer surplus
B
producer surplus
C
aggregate of consumer and producer surplus
D
None of the above

Question 1238Single Answer

Who among the following economists are associated with the concept of Quasi rent ?
I. A. Marshal
II. J. Robinson
III. D. Ricardo
Answer from the code below :

A
Only I and III
B
I and II
C
All the three
D
Only III

Question 1239Single Answer

In the adjoining diagram, which of the lines represents law of returns ?

A
OA
B
BC
C
DE
D
Both B and C above

Question 1240Single Answer

In the adjacent diagram, which of the following effects will alter the Aggregate Demand Curve AD ?

A
Trade effect
B
Liquidity effect
C
Wealth effect
D
All of the above

Question 1241Single Answer

Match List – I with list – II :
List – I List - II
(a) Keynes (i) Interest is real nomenon
(b) Inving Fisher (ii) Interest is non-monetary phenomenon
(c) Wicksell (iii) Interest is both monetary and nonmonetary phenomenon
(d) Classical Economist (iv) Interest is monetary phenomenon
Select the correct answer from the code given below :

A
(a) (b) (c) (d)
(iv) (ii) (iii) (i)
B
(i) (ii) (iii) (iv)
C
(iv) (iii) (ii) (i)
D
(ii) (i) (iv) (iii)

Question 1242Single Answer

1973 oil crisis also triggered a wide spread economic crisis in USA and some European nations. In this context which statements are true ?

A
It led to disillusionment with established policies based on keynesian economics
B
There emerged a malady known as stagflation
C
New classical economics emerged as a challenge to keynesian economic ideas
D
All of the above are true

Question 1243Single Answer

As per IS-LM framework, an increase in government expenditure will result in :

A
increase in income and interest rate both
B
increase in income only
C
decrease in investment and interest rate both
D
decrease in income and interest rate both

Question 1244Single Answer

Which of the following can be considered as leakages in the force of the multiplier ?

A
Higher propensity to import
B
Higher marginal propensity to save
C
Both A and B above
D
Neither A nor B above

Question 1245Single Answer

According to Robinson – Uzawa theorem, steady state growth is possible if the technical progress is :

A
only Hicks neutral
B
only Harrod neutral
C
Both A and B above
D
Neither A nor B above

Question 1246Single Answer

Which one of the following is not an assumption of permanent income hypothesis ?

A
Transitory income can be both positive and negative
B
Permanent income depends on human and non-human wealth
C
Transitory consumption can be both positive and negative
D
Average propensity to consume is greater than marginal propensity to consume

Question 1247Single Answer

The Accelerator model predicts that changes in investment are determined by the changes in :

A
Interest
B
Output
C
Capital
D
Inventory

Question 1248Single Answer

Which among the following statements are true for Schumpeter's theory of economic development ?
I. Development is evolutionary
II. Development is financed by real savings
III. Capitalism keeps its character intact overtime
Of the above which statement(s) is/are true ? Answer from the code below :

A
Only I
B
Only I and II
C
All the above
D
None of the above

Question 1249Single Answer

Who among the following has not given his model based on the concept of unlimited supply of labour ?

A
D.W. Jorgenson
B
Ranis-Fei
C
W.A. Lewis
D
Gunnar Myrdal

Question 1250Single Answer

Which aspect of economic development did Gunnar Myrdal concentrate upon ?

A
Capital scarcity
B
Human resource scarcity
C
Regional inequalities
D
Population exploitation

Question 1251Single Answer

Fei-Ranis's theory of economic development is based on

A
dualistic approach to development
B
presence of disguised unemployment
C
importance of agricultural development
D
All of the above

Question 1252Single Answer

Andre Gunder Frank, a major dependency theorist suggests that the following economic activitities have contributed to underdevelopment :
(i) Replacing indigenous enterprises with technologically more advanced, global, subsidiary companies
(ii) Closing the economy to trade with, and investment from, developed countries
(iii) Workers migrating from villages to foreign dominated urban complexes
(iv) Forming an unskilled labour force to work in factories and mines and on plantations
Choose the correct answer from the codes given below :

A
(i), (iii) and (iv)
B
(i), (ii) and (iii)
C
(ii), (iii) and (iv)
D
(i), (ii), (iii) and (iv)

Question 1253Single Answer

In a Harrodian economy, ICOR is 4.5 : 1, population growth is 2% per annum, and the investment rate is 27%. Hence the annual growth of per capita will be :

A
2.5%
B
9%
C
6%
D
4%

Question 1254Single Answer

Which among the following is not correctly matched ?

A
Author Book
M. Friedman – Capitalism and Freedom
B
Amartya Sen – Argumentative Indian
C
Joseph Stightz – In Defense of Globalization
D
Ruchir Sharma – The Rise and Fall of Nations

Question 1255Single Answer

Which among the following statements is not true for the Golden Age equilibrium in the growth model of Mrs. Joan Robinson ?

A
Rate of profit tends to rising
B
Level of real wages rise with output per worker
C
Technical progress is neutral
D
Population is growing at a steady rate

Question 1256Single Answer

For the Union Budget of 2015 – 16, arrange the following in the ascending order of their percentage in GDP :
I. Revenue deficit
II. Effective deficit
III. Primary deficit
IV. Fiscal deficit
Choose the correct answer from the codes given below :

A
(III), (II), (I), (IV)
B
(II), (III), (IV), (I)
C
(I), (IV), (III), (II)
D
(IV), (I), (II), (III)

Question 1257Single Answer

While recommending horizontal distribution, which of the following criteria got the least weightage by the 14^th Finance Commission ?

A
Demographic change
B
Area
C
Population
D
Income distance

Question 1258Single Answer

If in a year, the gorss fiscal deficit of Government is Rs 3,00,000 crores, revenue deficit is Rs 1,50,000 crores and interest payments are Rs 80,000 crores, which of the following is the primary deficit of the Government in the year ?

A
Rs, 70,000 crores
B
Rs, 23,000 crores
C
Rs, 2,20,000 crores
D
Rs, 1,50,000 crores

Question 1259Single Answer

As per proposals of Union Budget of 2015 – 17, which of the following tax contributes maximum share out of total tax revenue collection ?

A
Corporation tax
B
Union Excise Duty
C
Custom
D
Income Tax

Question 1260Single Answer

Concepts of concentration and displacement effect in public expenditure are attributed to

A
Allen T. Peacock and Jack Wiseman
B
A.R. Prest and I.M.D. Little
C
A.C. Pigou and J.K. Mehta
D
Kenneth Arrow and paul A. Samuelson

Question 1261Single Answer

Which one of the following statements is true for the Verdoon's law ?

A
Long run productivity generall grows proportionally to the square root of output growth
B
Short run productivity generally grows proportionally to the growth of output
C
The value of Verdoon's coefficient is nearly equal to 1
D
Verdoon's law is quite in consonance with Solow model's functioning

Question 1262Single Answer

Which among the following can contribute to improvement in industrial climate of the region ?

A
Development banks
B
Trade unions
C
Natural resources
D
All of the above

Question 1263Single Answer

Researchers indicate that income velocity of money is fallling overtime due to

A
income elasticity of demand for money is greater than unity
B
income elasticity of demand for money is less than unity
C
income elasticity of demand for money is equal to unity
D
All of the above

Question 1264Single Answer

According to Monetarists, demand for money function is

A
stable and interest inelastic
B
constant and interest elastic
C
stable and interest elastic
D
unstable and interest inelastic

Question 1265Single Answer

Arrange the following liquid assets in decreasing order
(a) Time deposits
(b) Saving deposits
(c) currency
(d) Demand deposits
Select the answer from the codes given below :

A
(iv), (iii), (ii), (i)
B
(ii), (iv), (i), (iii)
C
(i), (ii), (iii), (iv)
D
(iii), (i), (iv), (ii)

Question 1266Single Answer

Match the following :
List – I List - II
(a) Alfred Marshall (i) M = PKT
(b) Inrving Fisher (ii) M = PKY
(c) Robertson (iii) N = PK
(d) Keynes (iv) MV = PT
Select the correct codes given below :

A
(a) (b) (c) (d)
(iv) (iii) (ii) (i)
B
(ii) (iv) (i) (iii)
C
(i) (ii) (iii) (iv)
D
(iii) (i) (iv) (ii)

Question 1267Single Answer

In his theory of money, James Tobin did not agree with which of the following inferences/assumptions of the demand for money for liquidity preference enunciated by Lord Keynes ?
I. Elasticity of expectations of future interest rates
II. Individuals hold either money or bonds
Of the above which are correct ? Answers from the code below :

A
Only I
B
Only II
C
Both I and II
D
Neither I nor II

Question 1268Single Answer

A population pyramid of a country shows the :

A
age structure of male and female population
B
age structure of male population
C
age structure of female population
D
age structure of rural and urban population

Question 1269Single Answer

If the actual unemployment rate is below the natural rate of unemployment, it would be expected that

A
the rate of inflation would increase
B
wages would fall
C
the Phillips curve would shift to the right
D
the natural rate of unemployment would fall

Question 1270Single Answer

Demographic transition means :

A
Shift from the condition of low birth and high death rates to high birth and high death rates
B
Shift from the condition of high birth and high death rates to low birth and low death rates
C
Shift from the condition of high death and low birth rates to high death and high birth rates
D
None of the above

Question 1271Single Answer

In the context of International Trade dumping refers to

A
Free distribution of used products by developed countries in developing countries
B
Selling a commodity cheaper in foreign market and costly in domestic market
C
Sending cheap goods to developing countries by developed countires
D
None of the above

Question 1272Single Answer

Match List – I with List – II and select correct answer from codes given below :
List – I List - II
(a) International Monetary Fund (i) Lending to private sector
(b) International Bank for Reconstruction and Development (ii) Balance of Payments problem
(c) International Development Association (iii) Soft Loan to poor countires
(d) International Finance Corporation (iv) Socio economicinfrastructure
Codes :

A
(a) (b) (c) (d)
(ii) (i) (iii) (iv)
B
(i) (ii) (iv) (iii)
C
(iii) (iv) (i) (ii)
D
(ii) (iv) (iii) (i)

Question 1273Single Answer

A deficit in balance of payments can be corrected by :

A
a reduction in interest rate
B
discouraging capital inflows
C
an increase in interest rate
D
restricting remittances

Question 1274Single Answer

In the terminology of WTO, which among the following is not an amber box subsidy ?

A
Minimum support price of cereals
B
Subsidy on seeds
C
Subsidy on irrigation of cereals
D
Cost of government pest control and management

Question 1275Single Answer

The weight of manufacturing in old IIP (base 1993-94) was 76.36% which has now been changed in the new IIP (base 2004 – 05) at

A
75.52%
B
Unchanged at 76.36%
C
78.22%
D
79.39%

Question 1276Single Answer

Which of the following agricultural holdings have largest percentage in India ?

A
Marginal Holdings
B
Small Holdings
C
Large Holdings
D
Semi-Medium Holdings

Question 1277Single Answer

First two States/Regions in India having highest yield of rice in 2013-14 were

A
National Capital Territory of Delhi and Punjab
B
Punjab and West and Bengal
C
Andhra Pradesh and Haryana
D
Punjab and Utttar Pradesh

Question 1278Single Answer

Which among the following rates is independently determined in India ?

A
Repo rate
B
Reverse repo rate
C
Both A and B
D
Neither A nor B

Question 1279Single Answer

The main objectives of the 12th Five Year Plan are

A
Inclusive growth and poverty reduction
B
inclusive and sustainable growth
C
Faster, sustainable and more inclusive growth
D
Sustainable and inclusive growth to reduce poverty and unemployment

Question 1280Single Answer

Match List – I and List - II and Select the correct answer from the codes given below :
List – I List – II
(Index) (Base Year)
A. BSE Sensex 1. 2012
B. NIFTY 2. 2011 - 12
C. CPI 3. 1978 - 79
D. GDP 4. 1995
Codes :

A
(a) (b) (c) (d)
(iii) (iv) (i) (ii)
B
(iv) (iii) (iv) (ii)
C
(iv) (i) (ii) (iii)
D
(iii) (ii) (iv) (i)

Question 1281Single Answer

As per 2013 information, arrange the following States in the decreasing order of infant mortality rate :
I. Uttar Pradesh
II. Rajasthan
III. Madhya Pradesh
IV. Odisha
Answer from the code below :

A
III, IV, I, II
B
IV, III, II, I
C
I, II, III, IV
D
III, I, II, IV

Question 1282Single Answer

Which of the following are not considered as flow variables in economic analysis ?

A
Supply and demand
B
Saving and investment
C
Money supply and public debt
D
Exports and imports

Question 1283Single Answer

Which of the following is included in M₁ ?

A
Savings deposits
B
Demand deposits
C
Gold stock
D
Assets under money market mutual funds

Question 1284Single Answer

Arrange the following committees appointed in India in the chronological order :
I. Urjit Patel Committee
II. Goipuria Committee
III. Narsimhan Committee
IV. Chakravarti Committee
Answer from the codes given below :

A
I, II, III, IV
B
IV, II, III, I
C
III, I, II, IV
D
II, IV, I, III

Question 1285Single Answer

For the following policy rates (as on 30.9.2016) of the RBI, arrange them in the desending order of thier magnitude and select the answer from the codes given below :
I. Bank rate
II. Repo rate
III. SLR
IV. Reverse Repo rate
Codes :

A
III, II, IV, I
B
III, I, IV, II
C
I, II, III, IV
D
III, I, II, IV

Question 1286Single Answer

Arrange the following climate events in chronological order :
I. Kyoto Protocol
II. Earth Summit
III. Bali Summit
Answer from the codes given below :

A
II, I, III
B
III, I, IV
C
III, I, II
D
I, II, II

Question 1287Single Answer

The single window system in the Cooperative Sector coordinates
(a) Supply of rurual credit
(b) Supply of agriculture inputs
(c) Extension of marketing facilities
(d) Creation of warehousing facilities
Select the correct answer from the codes given below :

A
(a) & (b)
B
(a), (b), (c), (d)
C
(a), (b) & (c)
D
(c) & (b)

Question 1288Single Answer

Consider the following reasons of continuous decline in average land holding size in India :
(a) Farm mechanisation
(b) Consolidation
(c) Desire of land ownership
(d) Law of inheritance
Select the correct answer from the codes given below :

A
(a), (b), (c)
B
(a), (b), (c) & (d)
C
(b), (c) & (d)
D
(c) & (d)

Question 1289Single Answer

The questions given below are two statements labelled as Asertion (A) and Reason (R). Select your answer to these questions using the codes given below :
Assertion (A) : An improvement in the income terms of trade is an indicator of increase in capacity to import.
Reason (R) : Income terms of trade can be computed by multiplying net barter terms of trade by the quantity of imports

A
Both (A) and (R) are true and (R) is the correct explanation of (A)
B
Both (A) and (R) are true, but (R) is not the correct explanation of (A)
C
(A) is true, but (R) is false
D
(A) is false, but (R) is true

Question 1290Single Answer

The questions given below are two statements labelled as Asertion (A) and Reason (R). Select your answer to these questions using the codes given below :
Assertion (A) : Industrial development strategy in India is faced with the choice of scale, size and intensity of factor use.
Reason (R) : Factor imbalances and resource flows are not favourable to sutainable industrial development in India.

A
Both (A) and (R) are true and (R) is the correct explanation of (A)
B
Both (A) and (R) are true, but (R) is not the correct explanation of (A)
C
(A) is true, but (R) is false
D
(A) is false, but (R) is true

Question 1291Single Answer

The questions given below are two statements labelled as Asertion (A) and Reason (R). Select your answer to these questions using the codes given below :
Assertion (A) : Agricultural production is characterised by growth and instability in India.
Reason (R) : There are market inter-regional and inter-crop variations in farm production in India.

A
Both (A) and (R) are true and (R) is the correct explanation of (A)
B
Both (A) and (R) are true, but (R) is not the correct explanation of (A)
C
(A) is true, but (R) is false
D
(A) is false, but (R) is true

Question 1292Single Answer

The questions given below are two statements labelled as Asertion (A) and Reason (R). Select your answer to these questions using the codes given below :
Assertion (A) : Regional Trade blocks hinder free international trade.
Reason (R) : They discriminate against non member countries.

A
Both (A) and (R) are true and (R) is the correct explanation of (A)
B
Both (A) and (R) are true, but (R) is not the correct explanation of (A)
C
(A) is true, but (R) is false
D
(A) is false, but (R) is true

Question 1293Single Answer

The questions given below are two statements labelled as Asertion (A) and Reason (R). Select your answer to these questions using the codes given below :
Assertion (A) : A progressive income tax is based on equimarginal sacrifice.
Reason (R) : Higher the income, lower will be the marginal utility of money for the tax payers.

A
Both (A) and (R) are true and (R) is the correct explanation of (A)
B
Both (A) and (R) are true, but (R) is not the correct explanation of (A)
C
(A) is true, but (R) is false
D
(A) is false, but (R) is true

Question 1294Single Answer

The production function Q = 150 L^0.7 K^0.5, exhibits the returns to scale as :

A
Constant
B
Increasing
C
Decreasing
D
Fluctuating

Question 1295Single Answer

In an open economy Input-Output model, A is the input-coefficients matrix, the viability condition to be satisfied is

A
|I – A| ≠ 0
B
|I – A| > 0
C
|I – A| < 0
D
All principal minors of the matrix (I – A) must be positive

Question 1296Single Answer

Match the following :
List – I List - II
(a) Granger Test (i) Auto correlation
(b) Dicky-Fuller Test (ii) Causality
(c) F-test (iii) Stationarity
(d) Durbin-Watson 'd' test (iv) Overall significance of regression
Codes :

A
(a) (b) (c) (d)
(iii) (iv) (iv) (ii)
B
(iv) (ii) (iii) (i)
C
(i) (iii) (ii) (iv)
D
(ii) (iii) (iv) (i)

Question 1297Single Answer

Given the following total cost and demand function of a firm, find the price at which profits would be maximised :
C = 5Q² + 20Q + 10
P = 100 – 3Q
Where C = Total cost
Q = Output
P = Price

A
95
B
85
C
100
D
5

Question 1298Single Answer

Consider the above diagram of a linear programming problem. If the optimum solution is at point A, then the slack variable (s) corresponding to which constraint (s) is/are non-zero ?

A
AB only
B
AB and CD
C
EF only
D
CD and EF

Question 1299Single Answer

In a two-variable regression Y is dependent variable and X is independent variable. If the correlation coefficient between Y and X is 0.7, then which one of the following result is correct ?

A
7% variations in Y are explained by X
B
70% variations in Y are explained by X
C
49% variation in Y are explained by X
D
0.7% variations in Y are explained by X

Question 1300Single Answer

Koyck's approach to econometric analysis deals with relationships involving :

A
Lagged explanatory variables
B
Qualitative explanator variables
C
Exponential explanatory variables
D
None of the above

Question 1301Single Answer

For the demand function P = 10 – 2x – 0.5x², what is price elasticity of demand at x = 2 ?

A
Zero
B
0.5
C
1
D
1.5

Question 1302Single Answer

In a regression with 3 independent variables and 20 observations F value calculated is to be tested. What will be degrees of freedom for numerator and denominator in testing procedure ?

A
2, 18
B
3, 17
C
3, 16
D
3, 20

Question 1303Single Answer

In the standard adjoining diagram, the measure of conumer surplus is :

A
PA
B
OB
C
AO
D
AB

Question 1304Single Answer

A cartel aims at maximising :

A
individual profits
B
industry profits
C
share of output of members
D
goodwill of the members

Question 1305Single Answer

The statement that, "no one can be made better off without making someone worse off" describes which of the following ?

A
Pareto Optimum
B
Nash Equilibrium
C
Low level Equilibrium Trap
D
Cournot's Equilibrium

Question 1306Single Answer

Slutsky equation explains the :

A
Demand for durable goods
B
Supply of durable goods
C
Split between price, income and substitution effects
D
Demand for rare or non-reproducible goods

Question 1307Single Answer

L shaped average cost curve is witnessed in the large firms because :

A
Only the law of increasing returns operates
B
The law of constant returns to scale operators
C
Only the law of constant return operates
D
The operation of law of decreasing returns is continuously postponed

Question 1308Single Answer

Consider the following statements regarding the long run equilibrium in the monopolistic market.
I. Firms are in no profit no loss situation
II. There is no entry or exit of the firms
Which among the above statements are true ? Answer from the code below :

A
Only I is true
B
Only II is true
C
Both I and II are true
D
Neither I nor II are true

Question 1309Single Answer

Which of the following is not a problem of Insurance Markets ?

A
Adverse selection
B
Moral hazard
C
Asymmetric Information
D
Principal-agent problem

Question 1310Single Answer

In consumption, inferior goods have :

A
Negative income effect
B
Positive income effect
C
Zero income effect
D
Infinite income effect

Question 1311Single Answer

Consider the following statements :
I. Inflation is advantageous to debtors
II. Inflation is advantageous to the bondholders
Which of the statements given above is/are correct
Codes :

A
I only
B
II only
C
Both I and II
D
Neither I nor II

Question 1312Single Answer

'Near money' is correctly defined as an :

A
asset which has 100% liquidity
B
asset which has no store of value function
C
asset which is a medium of exchange
D
asset which fulfils the store of value function and can be converted into a medium of exchange at a short notice

Question 1313Single Answer

Match the following :
List – I List – II
(Multiplier)
A. MPC = 0.2 1. K = 2
B. MPS = 0.5 2. K = 1.66
C. MPS = 0.75 3. K = 1.33
D. MPC = 0.4 4. K = 1.25
Select the correct answer from the codes given below :

A
(a) (b) (c) (d)
(i) (ii) (iii) (iv)
B
(ii) (iv) (i) (iii)
C
(iii) (ii) (iv) (i)
D
(i) (iv) (ii) (iii)

Question 1314Single Answer

In the context of steady state growth in Solow's model, the output growth rate overtime will be :

A
increasing
B
decreasing
C
constant
D
fluctuating

Question 1315Single Answer

Who among the following economists assume dualism in the economy ?
I. Ranis and Fei
II. D. Ricardo
III. Robert Solow
IV. R. Harrod
Answer from the codes given below :

A
All the four above
B
Only I and II
C
Only IV
D
I, II and III

Question 1316Single Answer

Who among the following, originally, formulated the 'Turnpike Theorem' ?

A
Dorfman, Samuelson and Solow
B
Radner
C
Koopmans
D
Von Neumann and Morgenstern

Question 1317Single Answer

Backward and forward linkages are relevant for which kind of growth strategy ?

A
Unbalanced growth
B
Trickle down growth
C
Balanced growth
D
Equilibrium growth

Question 1318Single Answer

'Reserve Army of labour' term was used by who among the following economists ?

A
J. Schumpeter
B
J.R. Hicks
C
Karl Marx
D
T.R. Malthus

Question 1319Single Answer

Which production function admits both Harrod-neutral and Hicks – neutral technical progress ?

A
Cobb-Douglas
B
C.E.S.
C
V.E.S.
D
None of the above

Question 1320Single Answer

Match the following :
List – I List – II
(Plan Model) (Proposer)
(a) Bombay Plan (i) Sriman Narayan
(b) Gandhian Plan (ii) M.N. Roy
(c) People's plan (iii) Jai Prakash Narain
(d) Sarvodaya Approach (iv) Birla and Tata Group
Select the correct answer from the codes given below :

A
(a) (b) (c) (d)
(iv) (i) (ii) (iii)
B
(i) (ii) (iii) (iv)
C
(iii) (ii) (iv) (i)
D
(i) (iv) (ii) (iii)

Question 1321Single Answer

Which among the following is not a criterion for declaring special category state ?

A
Over population
B
Poor infrastructure
C
Hilly and difficult terrain
D
Non-viable state finances

Question 1322Single Answer

For the testing of consistency and viability of a planning project, which of the prices are used ?

A
Market price
B
Shadow Price
C
Administered Price
D
Controlled Price

Question 1323Single Answer

In which of the Five year Plans in India, for the first time an extensive input-output model was used ?

A
First Plan
B
Second Plan
C
Third Plan
D
Seventh Plan

Question 1324Single Answer

Who among the following economists developed the Reinvestment-Criterion ?

A
Walter Galenson and Harvey Leibenstein
B
A.K. Sen
C
Maurice Dobb
D
None of the above

Question 1325Single Answer

Area approach to decentralised planning in India was advocated by who among the following ?

A
D.R. Gadgil
B
K.N. Raj
C
Raj Krishna
D
Pranav Mukhaerjee

Question 1326Single Answer

Which amongst the following is included in the Capital account of the Balance of payments ?
I. Foreign loans
II. Foreign Direct Investment
III. Private Remittances
Choose the correct answer from the codes below :

A
All the three
B
I and III
C
II and III
D
I and II

Question 1327Single Answer

Which amongst the following options in correct for a teaser loan ?

A
It is an introductory rate of interest
B
This rate is permanent in nature
C
Both (A) and (B) are correct
D
Neither (A) nor B are correct

Question 1328Single Answer

The movement of free international trade is most likel to generate short-term unemployment in which of the following industries ?

A
Industries in which there are neither imports nor exports
B
Import competing industries
C
Industries that sell to domestic and foreign buyers
D
Industries that sell to only foreign buyers

Question 1329Single Answer

Which among the following will be clasified as non-tariff barrier ?
I. Phyto-sanitary measures
II. Import and export licensing
III. Countervailing duty
IV. Environmental standards
Select the answer from the code given below .

A
All the four above
B
I and II
C
I and IV
D
III and IV

Question 1330Single Answer

Who developed the use of trade indifference curves in the analysis of trade theory ?

A
J.E. Meade
B
A. Marshall
C
A.P. Lerner
D
B. Ohlin

Question 1331Single Answer

Which among the following is not the main areas of BASEL III norms ?

A
Risk Coverage
B
Bank branch expansion
C
Adequate capital provision
D
Adequate liquidity

Question 1332Single Answer

Which among the following is most volatile flow of foreign exchange ?

A
Foreign Direct Investment
B
External Commercial borrowing
C
Foreign Portfolio investment
D
Foreign aid by IMF and World Bank

Question 1333Single Answer

State Governments in India finance their Gross fiscal deficit by :
I. Loans from the Central Government
II. Market Borrowings
III. External Borrowings
Select the correct answer from the codes given below :

A
I and II
B
II and III
C
II only
D
I only

Question 1334Single Answer

'Make in India' campaign aimed at attracting indusrialists to make India a Global Manufacuring Hub was launched on :

A
September 25, 2014
B
March 20, 2015
C
February 25, 2016
D
December 30, 2015

Question 1335Single Answer

The second Green Revolution in India is necessiated by :
I. Productivity in agriculture is stagnating
II. Diversification of agriculture has not progressed much
III. Exports of agricultural commodities have declined
Select the correct answer from the code given below :

A
I and II
B
II and III
C
I and III
D
I only

Question 1336Single Answer

Which among the following is not included in the Small Savings Scheme ?

A
Unit Trust of India
B
National Savings certificate
C
Kisan Vikas Patra
D
Sukanya Samridhi Accounts Yojana

Question 1337Single Answer

In which of the following year, all tax revenues of Centre have become shareable among the Centre and States ?

A
2000 AD
B
2003 AD
C
2007 AD
D
1998 AD

Question 1338Single Answer

If with the increase in income, the percentage of income collected as tax remains constant, tax will be called :

A
regressive
B
progressive
C
proportional
D
neutral

Question 1339Single Answer

Consider the following liquid assets :
I. Demand deposits with the banks
II. Time deposits with the banks
III. Saving deposits with the banks
IV. Currency
The correct sequence of these in the ascending order of liquidity is :
Codes :

A
IV, III, II, I
B
I, IV, III, II
C
II, III, I, IV
D
IV, I, III, II

Question 1340Single Answer

Given the bdgetary parameters inluding public expenditure remaining the same, then as a result of imposition of a tax, if the pattern of distribution of income changes, then such an incidence is called :

A
Effective incidence
B
Monetary incidence
C
Relative incidence
D
Specific tax incidence

Question 1341Single Answer

Assertion (A) : The sale of T-bills is condcted through an auction.
Reason (R) : The method helps in price discovery.
Select the answer from the code below :
In the light of the above statement, choose the correct answer from the options given below :

A
(A) is true, but (R) is false
B
Both (A) and (R) are true
C
(A) is false, but (R) is true
D
Both (A) is (R) are false

Question 1342Single Answer

The social cost curve lies above the private cost curve for the producer in case of which of the following ?

A
Positive externalities
B
Negative externalities
C
Public goods
D
Near-public goods

Question 1343Single Answer

Which one of the following is true in case of Performance and Programme Budgeting System ?

A
Its emphasis is on outcome only
B
Its emphasis is more on outcome and less on expenditure allocation
C
Its emphasis is on expenditure allocation only
D
Its emphasis is more on expenditure allocation and less on outcome

Question 1344Single Answer

Who among the following has developed the concept of 'Effective incidence' of a tax ?

A
Ursula K. Hicks
B
J.R. Hicks
C
H. Dalton
D
A.C. Pigou

Question 1345Single Answer

Volting fails to generate the efficient quantitiy of a public good because :

A
Lobbying groups use bribes to change people's votes
B
Public goods are not depleted by consumption
C
Public goods cannot be withheld from consumption
D
voting does not accurately reflect the magnitude of benefits from public goods

Question 1346Single Answer

Which of the following item of expenditure is not a part of the plan expenditure ?

A
Agriculture
B
Defence
C
Industry
D
Social Services

Question 1347Single Answer

The Times Series of production yielded following Trend equation :
Y = 136 e^0.021 T
Where Y = Production, T = Time
From this equation it can be inferred that growth rate of Y in per cent terms is :

A
0.021
B
2.1
C
21
D
0.21

Question 1348Single Answer

Which is not a sampling distribution ?

A
Student's 't' distribution
B
Fisher's 'F' distribution
C
Poisson distribution
D
x² (chi square) distribution

Question 1349Single Answer

Co-efficient of correlation is independent of which of the following ?

A
Change of origin only
B
Change of scale only
C
Change of origin and scale
D
None of these

Question 1350Single Answer

Which of the following is not satisfied for independence of two events A and B ?

A
P(A/B) = P(A)
B
P(B/A) = P(B)
C
P(A, B) = P(A) P(B)
D
P(A, B) = P(A) + P(B)

Question 1351Single Answer

Match the items in List – I with List – II answer from the codes given below :
List – I List - II
(a) Standard Deviation (i) Positively skewed distribution
(b) Stratified Random Sampling (ii) Analysis of attributes
(c) Coefficent of Association (iii) Measure of dispersion
(d) Mean > mode (iv) Probability based sampling
Codes :

A
(a) (b) (c) (d)
(iv) (ii) (ii) (i)
B
(i) (ii) (iii) (iv)
C
(iv) (iii) (ii) (i)
D
(iii) (iv) (ii) (i)

Question 1352Single Answer

Full demographic dividend will be realised when government promotes :

A
more social security
B
more intensive growth
C
more skill development
D
more capital market

Question 1353Single Answer

Which one of the following is true for the General Fertility Rate ?

A
It is an actual measure of fertility
B
It is a potential measure of fertility
C
It is an actual measure of female population composition
D
It is based on hypothetical age specific birth rate profile

Question 1354Single Answer

Which among the following curves is used to depict the long run behaviour of population growth ?

A
Normal Curve
B
Logistic Curve
C
Exponential Curve
D
Ogive

Question 1355Single Answer

Among the socio-economic factors responsible for high birth rate in India, we may include :
I. Large scale poverty
II. High mortality rate of children of poor parents
III. Prevalence of under-age marriage
IV. Adverse sex-ratio

A
I and II
B
I, II and IV
C
I, III and IV
D
I, II and III

Question 1356Single Answer

Matched the items in List – I with List – II and give the correct answer from the codes given blow :
List – I List – II
(Event) (Date)
(a) World Environment Day (i) 11th July
(b) World Wildlife Day (ii) 5th June
(c) World Water Day (iii) 3rd March
(d) World Population Day (iv) 22nd March
Select the correct answer from the codes given below :

A
(a) (b) (c) (d)
(i) (ii) (iii) (iv)
B
(iii) (i) (iv) (ii)
C
(iv) (iii) (ii) (i)
D
(ii) (iii) (iv) (i)

Question 1357Single Answer

The coase theorem suggests that private negotiation will lead to the correction of market failure when :
I. Only a few people are involved
II. Property right are clearly recognised
III. Negotiation costs are low
IV. People are having asymmetric information
Select the correct answer from the codes given below :

A
I, II and III must hold true
B
I and IV must hold true
C
I, II and IV must hold true
D
IV and III most hold true

Question 1358Single Answer

Infrastructure cess is a levy/tax on :

A
builders
B
Railways
C
Motor vehicles
D
Public Transport

Question 1359Single Answer

SLR can be defined as :

A
SLR =
Where ER = Excess Reserve; CB = Currenct Balance, I = Investment, L = Total demand & Time deposits, SLR = Statutory Liquidity Ratio
B
SLR =
Where ER = Excess Reserve; IS = Investment in Government and other approved Securities, CAB = Current Account Balances, L = Total demand & Time deposits, SLR = Statutory Liquidity Ratio
C
SLR =
Where ER = Excess Reserve; IS = Investment in Government and other approved Securities, CAB = Current Account Balances, L = Total demand & Time deposits, SLR = Statutory Liquidity Ratio
D
SLR =
Where L = Total demand & Time deposits, CB = Currenct Balance, ER = Excess Reserve; IS = Investment in Government and other approved Securities, SLR = Statutory Liquidity Ratio

Question 1360Single Answer

Which among the following measures would result in an increase in the money supply in the economy ?
I. Purchase of Government Securities from the Public by the Central Bank
II. Deposit of currency in Commercial Banks by the Public
III. Borrowings by the Government from the Central Bank
IV. Sale of Government securities to the public by the Central Government
Select the correct answer from the codes below :

A
I only
B
II and IV
C
I and III
D
II, III and IV

Question 1361Single Answer

The banks which are implementing the Micro Finance Programme linked with Self Help Groups (SHG_S) are :

A
Commercial Banks and Co-operative Banks, only
B
Regional Rural Banks and Commerical Banks, only
C
Co-operative Banks and Regional Rural Bank, only
D
Commercial Banks, Regional Rural Banks and Co-operative Banks

Question 1362Single Answer

Which of the following is generally called as Aggregate monetary measure of money supply ?

A
M₄
B
M₁
C
M₂
D
M₃

Question 1363Single Answer

The traders reduce the risk of loss in currency fluctions through which of the following ?

A
Speculations
B
Arbitrage
C
Hedging
D
None of the above

Question 1364Single Answer

Among the reasons responsible for the high inflation rate in India in 2015, which of the following is/are true ?
I. Rise in prices of petroleum products
II. Rise in food prices
III. Rise in domestic consumption demand
IV. Rise in Indian Exports during the year 2015 – 2016
Select the correct answer from the codes given below :

A
I, II and IV
B
I, II and III
C
III and IV
D
II and III

Question 1365Single Answer

Originally, the maximum and minimum limits of the Statutory Liquidity ratio prescribed in India was :

A
40 per cent and 20 per cent
B
40 per cent and 25 per cent
C
30 per cent and 25 per cent
D
30 per cent and 20 per cent

Question 1366Single Answer

Which among the following are the recommendations of Urjit Patel Committee report of on monetary policy ?
(I) Curtailment of the fiscal deficit
(II) Inflation anchor at four per cent
(III) Providing adequate liquidity in the money and capital market
(IV) Pegging the exchange value of Indian currency
Select the correct answer from the codes below :

A
I, II and III
B
II and IV
C
III and IV
D
I, II and IV

Question 1367Single Answer

Assertion (A) : Monetarists disagreed with the Phillips curve analysis.
Reason (R) :There are no unique correspondence of % inflation rate with % unemployment rate.
Answer from the code below :

A
Both (A) and (R) are true and (R) is the correct explanation of (A)
B
Both (A) and (R) are true and (R) is not the correct explanation of (A)
C
(A) is true and (R) is false
D
(A) is false and (R) is true

Question 1368Single Answer

Who among the following economists considered the rate of interest to influence the transaction demand for money ?

A
P. Samuelson
B
W.J. Baumol
C
Keynes
D
I. Fisher

Question 1369Single Answer

Consider the following statements about rising NPAs of banks in India :
I. Rising NPAs are due to slow down in the world economy
II. Private Sector banks have lower NPAs in comparison Public Sector Banks
III. Rising NPAs are due to droughts in India
Which of the statements given above is/are correct ?
Codes :

A
Only I
B
I and III
C
I and II
D
I, II and III

Question 1370Single Answer

Among other things, which one of the following was the purpose for which Deepak Parekh Committee was constituted ?

A
To study the socio-economic conditions of minority communities
B
To suggest the measures for financing the development of infrastructure
C
To frame the policies on genetically modified seeds
D
To suggest measures to reduce the fiscal deficit in the Union Budget

Question 1371Single Answer

Consider the following statements.
I. Sick Company is defined as one whose accumulated losses in any financial ear are equal to or more than 50% of its average net worth during previous four financial years
II. The Government set – up Board of Industrial and Financial Reconstruction in 1987
Which of the statement given above is/are correct ? Select the answer from the codes given below :

A
Only I
B
Only II
C
Both I and II
D
Neither I nor II

Question 1372Single Answer

Consider the following taxes :
I. Corporation tax
II. Income tax
III. Service tax
IV. Union Excise Duties
Which of the following correctly describes their contribution, in descending order of importance, to the Central Government's Gross Tax Revenue ?

A
I, II, IV, III
B
II, I, III, IV
C
III, II, I, IV
D
IV, I, II, III

Question 1373Single Answer

Which Finance Commission has used forest cover as a criterion for horizontal distribution of resources in India ?

A
10th Finance Commission
B
12th Finance Commission
C
13th Finance Commission
D
14th Finance Commission

Question 1374Single Answer

Consider the following :
Assertion (A) : According to Peacock-Wiseman hypothesis, public expenditure increases overtime in a step by step manner.
Reason (R) : This hypothesis is based on the displacement effect, concentration effect and inspection effect.
Select the correct answer from the codes given below :

A
(A) is true, but (R) is false
B
(A) is false, but (R) is true
C
Both (A) and (R) are true, but (R) is not the correct explanation of (A)
D
Both (A) and (R) are true and (R) is the correct explanation of (A)

Question 1375Single Answer

In the Indian context, the studies of poverty were made by :
I. Dandekar and Rath
II. P.K. Bardhan
III. B.S. Minhas
IV. I.J. Ahluwalia
Select the correct answer from the codes given below :

A
I and II
B
II and III
C
I, II and III
D
I, II, III and IV

Question 1376Single Answer

Who among of the following is associated with the theory of optimal taxation ?

A
H. Dalton
B
R.A. Musgrave
C
U.K. Hicks
D
G. Mankiw

Question 1377Single Answer

To reach an economically efficient output level, the size of an excise tax imposed on a firm generating negative externality should be :

A
the firm's marginal cost
B
the social marginal cost
C
the difference between the social marginal cost and the firm's marginal cost
D
the sum of the social marginal cost and the firm's marginal cost

Question 1378Single Answer

Which among the following is the reason for Convergence exhibited by the Solow growth model ?

A
Static capital-labour ratio
B
Declining marginal productivity of capital
C
Neutral technical progress
D
Constant rate of growth of population

Question 1379Single Answer

Who among the following economists was not concerned with the problem of Surplus Labour ?

A
W.A. Lewis
B
Gustav Renis and Fei
C
R. Nurkse
D
J.S. Mill

Question 1380Single Answer

Match the following Lists :
List – I List - II
(a) Aggregate demand (i) – a + by
(b) Consumption function (ii) C + I
(c) Aggregate supply (iii) a + by
(d) Saving function (iv) C + S
Select the correct answer from the codes given below :

A
(a) (b) (c) (d)
(ii) (i) (iii) (iv)
B
(ii) (iv) (iii) (i)
C
(ii) (iv) (i) (iii)
D
(ii) (iii) (iv) (i)

Question 1381Single Answer

Who is the author of the book, 'Capital in the Twenty First Century' ?

A
Thomas Piketty
B
Joseph Stiglitz
C
A.K. Sen
D
Jagdish Bhagwati

Question 1382Single Answer

Match the following lists :
List – I List – II
(Economic Idea) (Economist)
(a) Life Cycle Hypothesis (i) Karl Marx
(b) Tableu Economique (ii) Alfred Marshall
(c) Cash Balance Approach (iii) Francois Quesnay
(d) Organic Composition of captial (iv) F. Modigliani
Select the correct answer from the codes given below :

A
(a) (b) (c) (d)
(i) (ii) (iii) (iv)
B
(iv) (iii) (ii) (i)
C
(iv) (iii) (i) (ii)
D
(ii) (iv) (i) (iii)

Question 1383Single Answer

In the adjoining standard diagram to explain Hick's trade cycle theory; which of the following are true, when the actual value of mpc and accelerator fall in the region C ?

A
There will be oscillations (Cyclical fluctuations)
B
There will be explosive upward movement
C
There will be Steady growth
D
Both (B) and (C) are possible

Question 1384Single Answer

For the Harrod's model of growth, which among the following production functions best matches with the assumptions of the model ?

A
Leontief production function
B
Homogeneous production function
C
C.E.S. production function
D
Well-behaved production function

Question 1385Single Answer

If the following Cobb-Douglas production function Q = AL^αK^β, if α + β > 1, the share of labour would be :

A
α
B
C
D

Question 1386Single Answer

New Kynesian economics challenges which among the following schools of thought regarding the full adaptability of a policy change on the part of economic agents ?

A
New classical economics
B
Neo Kynesians
C
Monetarists
D
Both (A) and (B) above

Question 1387Single Answer

Who among the following developed the 'wage-goods model' of planning ?

A
A.K. Sen
B
P.C. Mahalanbois
C
R. Nurkse
D
C.N. Vakil and P.R. Brahmanand

Question 1388Single Answer

A key property of A.K. model is :

A
absense of diminishing returns with respect to capital
B
a sustained dose of autonomous investment
C
a command economic system
D
a high probability of the poorer economies to catch with developed economies

Question 1389Single Answer

In Pasinetti's model of growth the interplay among which variables in cruial ?

A
Profit rate, Economic growth, savings
B
Profit rate, Distribution of income and economic growth
C
Profit rate, autonomous investment and economic growth
D
Savings, Investment and technology

Question 1390Single Answer

Consider the following statements in relation to Karl Marx's theory of profit rate :
I. Profit rate depends directly on the value of organic composition of capital
II. Profit rate depends directly on the value of rate of exploitation
Which of the above statements are correct ? Answer from the codes below :

A
Both I and II are true
B
Neither I nor II are true
C
Only I is correct
D
Only II is correct

Question 1391Single Answer

Which among the following is not correctly matched ?

A
Economist Theme
Adam Smith Extent of Market
B
J.B. Say Balance in Supply and Demand
C
T.R. Malthus State of over production
D
D. Ricardo Modernization of Agriculture

Question 1392Single Answer

Which of the following statement are true for the Triangle model ?
I. It is a model developed by New Keynesian economists
II. It includes built-in inflation in the analysis
Which of the above statement(s) is/are true ? Answer from the codes below :

A
I and II
B
None
C
Only I
D
Only II

Question 1393Single Answer

With reference to Asian Development Bank, consider the following statements :
I. United States has the largest proportion of shares in the voting system
II. China and India have the same percentage of shares for the voting system
Which of the statement(s) given above is/are correct ?

A
Only I
B
Only II
C
Both I and II
D
Neither I nor II

Question 1394Single Answer

Which among the following will constitute Foreign Direct Investment (FDI) ?

A
Buying a company in the target country
B
Expanding operations of an existing business in that country
C
Investing in the shares and stocks of companies in the capital market
D
Both (a) and (b)

Question 1395Single Answer

Which of the areas given below is/are mainly funded by the International Development Agency in the developing countires ?
I. Infrastructure
II. Education
III. Environment friendly projects
IV. Health care
Select the correct answer from the codes given below :

A
I, II and IV
B
I, II and III
C
I, III and IV
D
All of the above

Question 1396Single Answer

When two or more countries enter into an agreement to eliminate import quota and tariffs and promote trade among themselves, such a group of countries are said to form a :

A
Free Trade Area
B
Custom Union
C
A Common Market
D
Both B and C

Question 1397Single Answer

Which among the following is/are true for Real Effective Exchange Rate of the currency of a country ?

A
It is weighted average of the value of traded currencies
B
It is adjusted for inflation rate of prices
C
It is not adjusted for inflationo f prices
D
Both (A) and (B) are true

Question 1398Single Answer

During the episode of sustained fall in crude oil prices during the year 2015, which among the following best describes the pricing strategy of the OPEC countires ?

A
Transfer pricing
B
Predatory pricing
C
Defensive pricing
D
Profit maximising prices

Question 1399Single Answer

Which of the following statement(s) is/are true for the gravity model to explain trade ?
I. It is used in the bilateral context
II. It was developed by Jan Tinbergen in 1962
III. It takes into account the distance among the trading nations
Select the correct answer from the code below :

A
II and III are true
B
Only I and II are true
C
Only II is true
D
All the three above are true

Question 1400Single Answer

If the offer curves of the trading countries have constant slope, the terms of trade among them will be :

A
constant
B
decreasing
C
increasing
D
indeterminate

Question 1401Single Answer

In the context of the Indian economy, which of the following options correctly describe the composition of the foreign exchange resources ?

A
Foreign currency + loans from the World Bank + SDRs + Gold holdings of R.B.I.
B
Foreign Currency Assets + Gold holdings of R.BI. + F.D.I.
C
SDRs + Gold holdings of the R.B.I. + Foreign Currency Assets
D
Remittances of NRIs + Exports earnings in a year + loans from the IMF

Question 1402Single Answer

Which among the following are true for excess demand function for an individual ?

A
Homogenous of degree zero in all prices
B
These obey Walra's law
C
Both 1 and 2 are true
D
Neither 1 nor 2 are true

Question 1403Single Answer

Which of the following measures the degree of monopoly power ? Here symbols have their usual meaning .

Question 1404Single Answer

A firm will be of optimum size when :

A
Marginal cost is at a minimum
B
Average cost is at a minimum
C
Marginal cost is equal to marginal revenue
D
The firm maximises its output

Question 1405Single Answer

The time preference theory of interest was developed by :

A
Wickersell
B
Bohm - Bawerk
C
Irving Fisher
D
J.M. Keynes

Question 1406Single Answer

Which of the following statements is/are true for Arrow-Debreu model of general equilibrium ?

A
Goods are identified where they are to be delivered
B
Goods are identified when they are to be delivered
C
Both (A) and (B)
D
None of these

Question 1407Single Answer

If Sales tax on a commodity is raised, but the revenue earned through its sale decreases sharply, which one of the following statements about the nature of this commodity would be correct ?

A
Price elasticity of demand for it is unity
B
It must be an essential goods
C
Price elasticity of demand for it is high
D
Price elasticity of demand for it is low

Question 1408Single Answer

The below diagrams show the risk aversion of two individuals with the help of indifference curves. Choose the correct answer from the following by studying the diagrams .

A
A is highly risk averse
B
B is highly risk averse
C
A's and B's risk aversion is identical
D
Degree of risk aversion is indeterminate

Question 1409Single Answer

One of the essential conditions of monopolistic competition is :

A
Homogeneous product
B
Product differentiation
C
Price discrimination
D
Many buyers but one seller

Question 1410Single Answer

Logical extension of Cournot model is :

A
Bertrand model
B
Stackelberg model
C
Sweezy model
D
None of the above

Question 1411Single Answer

Minimum support prices for Agricultural Commodities are fixed after taking into account the recommendations of which of the following bodies ?

A
Ministry of Agriculture
B
Ministry of Food Processing
C
NITI Aayog
D
Commission for Agricultural Costs & Prices (CACP)

Question 1412Single Answer

Diversification of agriculture implies :

A
Increase in the cropping intensity
B
Shifting labour form agriculture to other areas
C
Promoting cottage and village industries
D
Changing the cropping pattern in favour of horticulture and floriculture crops

Question 1413Single Answer

Which oneof the following schemes is not included in the Rashtriya Krishi Vikas Yojna (RKVY) ?

A
National Mission for Protein Supplements
B
Saffrom mission
C
Accelerated Fodder Development Programme
D
All of the above

Question 1414Single Answer

Assertion (A) : Agricultural Productivity is very low in India.
Reason (R) : Rate of growth of population is high in India.
Select the correct answer from the codes given below :

A
Both (A) and (R) are true and (R) is the correct explanation of (A)
B
Both (A) and (R) are true, but (R) is not the correct explanation of (A)
C
(A) is true, but (R) is false
D
(A) is false, but (R) is true

Question 1415Single Answer

Which of the following best represents the concept of Net Domestic Product (NDP) ?

A
GDP-Income from abroad
B
GDP + Income from abroad
C
GNP - Depreciation
D
GDP - Depreciation
E
None of the above

Question 1416Single Answer

The share of food expenditure in total expenditure for Urban consumer and Rural consumer in India was 56% and 64% respectively in (1987-88) and which changed to 41% and 54% in (2009-10). This is appropriately explained by which of the following ?

A
Decline in food production
B
Decline in purchasing power of consumers
C
Operation of Engel's law
D
Operation of law of diminishing marginal utility

Question 1417Single Answer

For demand function P= 15 – 2X – X², what is consumer's surplus at X = 2 ?

A
6
B
28/3
C
7/4
D
11/3

Question 1418Single Answer

Given the CES production function as :

the elasticity of substitution between factors is :

A
1
B
ρ
C
D

Question 1419Single Answer

For the diagram below, which of the following is a correct description in terms of derivatives :

Question 1420Single Answer

Which of the following is true for an optimum solution of a linear programming problem ?

A
Number of non-zero valued slack variables is equal to the number of constraints
B
Number of non-zero valued variables (including slack) is exactly equal to the number of constraints
C
Number of non-zero valued slack variables is equal to the number of binding constraints
D
Number of non-zero valued variables is equal to the number of non-binding constraints

Question 1421Single Answer

If the targets for an economy are fixed in terms of final demand vector F, then the compatible levels of output vector X, in terms of input-output analysis will be determined according to which of the following ?

A
A + F = X
B
AX – F = X
C
(I – A)^–1 F = X
D
(1– A) F = X

Question 1422Single Answer

In a two-variable regression, Y is dependent variable and X is independent variable. The correlation coefficient between Y and X is 0.8. For this, which of the following is correct ?

A
8% variations in Y are explained by X
B
64% variations in Y are explained by X
C
0.8% variations in Y are explained by X
D
None of the above

Question 1423Single Answer

If OLS is applied separately to each equation that is part of a simultaneous equation system, the result estimates will be :

A
Unbiased and consistent
B
Biased and consistent
C
Biased and inconsistent
D
Unbiased and inconsistent

Question 1424Single Answer

Generalized Least Squares Method is suitable for estimationo f parameters in a General Linear Model for dealing with problem of :
(i) Measurement Erros
(ii) Autocorrelated Distrubances
(iii) Multi collinearity
(iv) Heteroscelasticity
Select the correct answer from the codes given below :

A
(i), (ii), (iii), (iv)
B
(i), (iii), (iv)
C
(ii), (iv)
D
(i), (iii)

Question 1425Single Answer

Match the following and select the correct answer from codes given below :
List – I List - II
(a) Goldfield–Quandt Test (i) Errors in variables
(b) Durbin-Watson Test (ii) Heteroscelasticity
(c) Farrar-Glauber Test (iii) Autocorrelation
(d) Wald-Bartlett Method (iv) Multicollinearity
Codes :

A
(a) (b) (c) (d)
(iv) (ii) (iii) (ii)
B
(iii) (i) (ii) (iv)
C
(i) (iii) (iv) (ii)
D
(ii) (iii) (iv) (i)

Question 1426Single Answer

Consider the following system of equations, using standard notations :
Y₁=α₀+α₁Y₂+α₃Y₃+α₄X₁ + α₅X₂+u₁
Y₂ = β₀ + β₁Y₃+ β₂Y₁+β₃X₂+u₂
Y₃ = γ₀+γ₁X₁+y₂X₂+γ₃X₃ + u₃
According to order condition, the second equation is :

A
Unidentified
B
Just identified
C
Over-identified
D
Not possible to infer identification due to incomplete information

Question 1427Single Answer

Consider the following statements :
I. According to Keynes, as income rises, lower proportion of income is spent on consumption
II. According Kuznets, as incomes rise, the average propensity to save remains fairly stable and constant
Of the above which statement(s) are correct.

A
Both I and II are true
B
Neither I nor II are correct
C
Only I is true
D
Only II is true

Question 1428Single Answer

If Marginal propensity to Consume (MPC) is equal to Average Propensity to Consume (APC) for all levels of income (Y), the correct corresponding consumption (C) function will be :

A
C = α + bY
B
C = α +
C
C = bY
D
C = bY²

Question 1429Single Answer

Transfer payments by the government are not included in the net domestic product because :

A
These are gifts from the government to the recipients
B
They are not counted as commodities
C
No corresponding production of goods and services has taken place to match such payments
D
There may be leakages in such payments

Question 1430Single Answer

Phillips curve sets up a relation between :

A
Taxes and inflation
B
Inflation and unemployment
C
Money supply and aggregate demand
D
Price and cost of production

Question 1431Single Answer

If economy is operating at potential GDP, an increase in money supply will lead to :

A
Stagflation
B
Structural inflation
C
Demand-pull inflation
D
Cost-push inflation

Question 1432Single Answer

In the long run, the transitory consumption will :

A
Be infinity
B
Remain unchanged
C
Decline but will remain positive
D
Be zero

Question 1433Single Answer

According to Keynes, investment demand depends on which of the following two factors ?
(a) Rate of interest
(b) Income of the consumer
(c) Marginal efficiency of capital
(d) Marginal propensity to consume
Answer from the codes below :

A
(a) and (d)
B
(b) and (d)
C
(a) and (c)
D
(c) and (d)

Question 1434Single Answer

For the demand function D = D(p) and supply function S = S(p), the excess demand brings about market equilibrium in which of the following situations ?

Question 1435Single Answer

Consider the following statements.
(a) Profit maximization by a producer
(b) Cournots' duopoly equilibrium
Which of these are appropriate examples of Nash equilibrium ? Answer from the code below :

A
Only (a)
B
Only (b)
C
Both (a) and (b)
D
Neither (a) nor (b)

Question 1436Single Answer

In which of the following market situations/ forms, firms are able to maximise profits ?

A
Price leadership
B
Cartel
C
At the kink point
D
Monopolistic competition

Question 1437Single Answer

Consider the following factors in determination of wage :
(a) Demand for and supply of labour
(b) MRP of labour = Marginal wage
(c) MRP of labour = Average productivity of labour
(d) MRP = Average wage
Which of the above are true ? Answer from the code below :

A
(a) and (b)
B
(c) and (d)
C
(a) and (c)
D
(a) and (d)

Question 1438Single Answer

In the context of a straight line demand curve touching both the axes, which one of the following is correct ? The demand is elastic :

A
below the mid-point
B
above the mid-point
C
at the mid-point of the curve
D
throughout the length of the demand curve

Question 1439Single Answer

Slutsky equation deals with decomposition of :

A
price effect into substitution and income effects
B
goods into superior and inferior goods
C
goods into necessities and luxuries
D
consumer and producer surplus

Question 1440Single Answer

A discriminating monopolist will charge a higher price in the market in which the price elasticit of :

A
demand is greater
B
supply is smaller
C
supply is greater
D
demand is smaller

Question 1441Single Answer

Inclusive growth objective was given for the first time in which Plan of India ?

A
9^th Five Year Plan
B
10^th Five Year Plan
C
11^th Five Year plan
D
12^th Five Year Plan

Question 1442Single Answer

Match List – I with List – II and select the correct answer from the code given below :
List – I List - II
(a) Backward and Forward linkage (i) Von Neumann model
(b) Turnpike theorem (ii) Unbalanced growth
(c) Organic composition of capital (iii) Marxian model
(d) A.K. Production Function (iv) Endogenous growth model
Codes :

A
(a) (b) (c) (d)
(i) (ii) (iii) (iv)
B
(iii) (iv) (ii) (i)
C
(ii) (i) (iii) (iv)
D
(ii) (iv) (iii) (i)

Question 1443Single Answer

Which among the following variables/factors are used in Constructing Human Development Index of India ?
(a) Life expectancy at birth
(b) Real GDP per capita
(c) Morbidity
Select the correct answer from the codes given below :

A
All the three above
B
Both (a) and (b)
C
Both (b) and (c)
D
Both (a) and (c)

Question 1444Single Answer

Which of the following is credited with introduction of LPG model of economic development in India ?

A
Dr. C. Rangarajan
B
Dr. Montek Singh Ahluwalia
C
Dr. Amartya Sen
D
Dr. Manmohan Singh

Question 1445Single Answer

Which one of the following models explains the paradox pertaining to rual-urban migration in the contest of rising urban employment ?

A
Solow model
B
Lewis model
C
Vakil and brahmanand model
D
Tadaro model

Question 1446Single Answer

In Harrod model of growth, if warranted rate of growth is below the natural rateof growth then it is possible to maintain steady state growth with :

A
Continuously increasing unemployment
B
A constant rate of unemployment
C
Continuously decreasing unemployment
D
None of the above

Question 1447Single Answer

Report of Task Force on the Implementation of Fiscal Responsibility and Budget Management Act, headed by Kelkar Committee suggests some points given below :
I. Fiscal deficit to be abolished by 2008-09
II. Revenue deficit should be 3 per cent of GDP
Which of the above statements given above is/are correct ?

A
Only I
B
Only II
C
Both I and II
D
Neither I nor II

Question 1448Single Answer

Tobin tax is a tax on :

A
transactions in the share market
B
transactions in the money market
C
transactions in the commodity market
D
transactions in the foreign exchange market

Question 1449Single Answer

Budget incidence refers to :

A
The effect of both government expenditure and tax policies on the distribution of income
B
The effect of government expenditure on the allocation of resources
C
The effect of tax policies on the distribution of income and wealth in the private sector
D
None of the above

Question 1450Single Answer

In case of deficit budget, when the deficits are covered through taxes, that budget is called :

A
unbalanced budget
B
surplus budget
C
balanced budget
D
None of these

Question 1451Single Answer

Match the following :
List – I List - II
A. Fiscal deficit 1. Revenue and interest receipt minus revenue expenditure
B. Revenue deficit 2. Revenue receipts and recovery of loans and other receipt minus total expenditure pluas total borrowings
C. Budgets of deficit 3. Receipts minus disbursement in capital account
D. Capital deficit 4. Total receipts and total disbursements
Codes :

A
(a) (b) (c) (d)
(i) (ii) (iii) (iv)
B
(ii) (i) (iv) (iii)
C
(iii) (ii) (iv) (i)
D
(iv) (iii) (i) (ii)

Question 1452Single Answer

Efficiency requires that the production of pure public goods be undertaken to the point where ?

A
the sum of the marginal private benefits is exactly equal to the marginal social cost of production
B
the marginal rivate benefit is exactly equal to the marginal social cost of production
C
the marginal social cost exceeds the sum of the marginal private benefits
D
None of the above

Question 1453Single Answer

Which of the following pairs is not correctly matched :

A
Rekhi Committee : Simplification of export and import procedures
B
Nanmujundappa : Railway are
C
Rangarajan Committee : Balance of payments
D
Goiporia Committee : Banking service improvements

Question 1454Single Answer

Consider the following statements :
I. The Repo rate is the rate at which other banks borow from the Reserve Bank of India
II. A value of 1 for Gini Coefficient in a country implies that there is perfectly equality in income distribution
Which among the above are correct ?

A
II Only
B
I only
C
Both I and II
D
Neither I nor II

Question 1455Single Answer

Retail Banking is to provide banking services :

A
only to individual customers in an integrated manner
B
entirely to agriculture sector only
C
only to self-help group for their survival
D
None of the above

Question 1456Single Answer

Labour market reforms aim at :

A
Job security
B
Minimum wage
C
Labour market flexibility
D
Employment insurance

Question 1457Single Answer

Jan Dhan Yojana Concerns :

A
Credit
B
Tax Payment
C
Bank deposit
D
Insurance premium

Question 1458Single Answer

Which of the following sets does not represent the features of Indian labour market ?

A
disguised unemployment; lack of skills; lack of mobility
B
disguised unemployment; perfect mobility; lack of skills
C
disguised unemployment; migratory labour; perfect mobility
D
poverty; illiteracy; Homogeneity

Question 1459Single Answer

The Geometric mean of four numbers 2, X, 16, 32 is 8 What is the value of X ?

Question 1460Single Answer

If mean = 28 and mode = 25, the value of median will be :

A
27
B
29
C
24
D
25

Question 1461Single Answer

If the probability of solving a statistical problem by A is

and by B is

; when a problem is given to them, probability that the problem will be solved is ?

Question 1462Single Answer

Type – I error is defined as :

A
Reject Null-hypothesis when it is false
B
Reject Null-hypothesis when it is true
C
Accept Null-hypothesis when it is true
D
Accept Null-hypothesis when it is false

Question 1463Single Answer

Given that

and

the correct regression of Y on X is given by :

A
Y = 50 + 3X
B
Y = 110 + 0.6X
C
Y = 140 + 3X
D
Y = 140 – 3X

Question 1464Single Answer

Which one of the following is not a method of sampling

A
Systematic sampling
B
Quota sampling
C
Snowball sampling
D
Large sampling

Question 1465Single Answer

Growth in software industry in India can be best explained by :

A
Porter's approach
B
Ricardo's approach
C
Vernon's approach
D
Bella Balassa's approach

Question 1466Single Answer

The form of multi commodity terms of trade is most closely related to :

A
Laspeyre's index number
B
Paasche's index number
C
Edgworth – Marshall index number
D
Fisher's index number

Question 1467Single Answer

If the foreign offer curve has an unitary elasticity, then optimum tariff will be :

A
unity
B
infinity
C
zero
D
– 1

Question 1468Single Answer

An overvalued Indian rupee in the foreign exchange market will have which one of the following consequence ?

A
Make imports cheaper and exports costlier
B
Make imports costlier and exports cheaper
C
Give protection to domestic industry against foreign competition
D
Will improve balance of payments

Question 1469Single Answer

Which of the following issues were not adressed in Urugvay Round ?

A
Migration
B
IPRs
C
Services
D
Tariff

Question 1470Single Answer

The terms of trade refer to :

A
The excess of import expenditure over export earnings
B
Trade argument between two nations
C
The ratio between export and import prices
D
The term and conditions on which a country is offered loan in the event of BOP difficulties

Question 1471Single Answer

'Plan Holiday' in Indian planning is identified with the period :

A
1966 - 69
B
1979 - 81
C
1955 - 87
D
1991 - 93

Question 1472Single Answer

Assertion (A) : Pareto optimality criterion cannot be used alone to measure welfare level of the people.
Reason (R) : The concept Pareto optimality fails in case of externalities, public goods and missing markets.
two statements are labelled as Asertion (A) and Reason (R). In the context of two statement, which one of the following is correct.

A
Both (A) and (R) are true and (R) is the correct explanation of (A)
B
Both (A) and (R) are true, and (R) is not the correct explanation of (A)
C
(A) is true, (R) is false
D
(R) is true, (A) is false

Question 1473Single Answer

Assertion (A) : APC can never be zero while it can be greater than 1.
Reason (R) : Consumption expenditure is always positive even if income is zero.
two statements are labelled as Asertion (A) and Reason (R). In the context of two statement, which one of the following is correct.

A
Both (A) and (R) are true and (R) is the correct explanation of (A)
B
Both (A) and (R) are true, and (R) is not the correct explanation of (A)
C
(A) is true, (R) is false
D
(R) is true, (A) is false

Question 1474Single Answer

Assertion (A) : The endogenous growth theory examines production function that shows increasing returns.
Reason (R) : There is specialization and investment in knowledge capital.
two statements are labelled as Asertion (A) and Reason (R). In the context of two statement, which one of the following is correct.

A
Both (A) and (R) are true and (R) is the correct explanation of (A)
B
Both (A) and (R) are true, and (R) is not the correct explanation of (A)
C
(A) is true, (R) is false
D
(R) is true, (A) is false

Question 1475Single Answer

Assertion (A) : On a bell shaped curve; the value of mean, median and mode would be identical.
Reason (R) : There is no skewness is such a curve.
two statements are labelled as Asertion (A) and Reason (R). In the context of two statement, which one of the following is correct.

A
Both (A) and (R) are true and (R) is the correct explanation of (A)
B
Both (A) and (R) are true, and (R) is not the correct explanation of (A)
C
(A) is true, (R) is false
D
(R) is true, (A) is false

Question 1476Single Answer

Assertion (A) : Competition Act of 2002 came into force and MRTP Act was repealed.
Reason (R) : MRTP Act was too restrictive and curtailed fair competition in the market.
two statements are labelled as Asertion (A) and Reason (R). In the context of two statement, which one of the following is correct.

A
Both (A) and (R) are true and (R) is the correct explanation of (A)
B
Both (A) and (R) are true, and (R) is not the correct explanation of (A)
C
(A) is true, (R) is false
D
(R) is true, (A) is false

Question 1477Single Answer

For a linear demand curve, which of the following is true ?

A
Elasticity of demand is unity at all points
B
Elasticity of demand is constant at all points
C
Elasticity increases as one slides down the demand curve
D
Elasticity declines as one slides down the demand curve

Question 1478Single Answer

A discriminating monopolists will charge a lower price in the market in which the price elasticity of :

A
demand is greater
B
supply is smaller
C
demand is smaller
D
supply is greater

Question 1479Single Answer

What is a public limited company ?

A
owned by the government
B
owned by shareholders
C
owned by financial institutions
D
owned by MNCs

Question 1480Single Answer

Between the two situtations for a firm profit maximization and sales revenue maximization, the equilibrium for a profit maximiser as compared to sales revenue maximiser, takes place at :

A
larger output and lower price
B
lower output and higher price
C
lower output and lower price
D
larger output and larger price

Question 1481Single Answer

Neo-classical production function has which of the following characteristics ?
(a) Positive and diminishing marginal productivity of the factors
(b) constant returns to scale
(c) Satisfies Inada conditions
Choose the correct answer fromt he code below :

A
(a) and (b)
B
(a) and (c)
C
(b) and (c)
D
(a), (b) and (c)

Question 1482Single Answer

On the given diagram, which of the following segement correctly depicts the supply curve of a producer ?

A
DE
B
CB
C
AB
D
DB

Question 1483Single Answer

Product differentiation is relavant to which set of the following market forms ?

A
Monopoly, Monopolistic competition, Oliogopoly
B
Perfect Competition, Monopoly, Oligopoly
C
Monopolistic Competition, Oligopoly and Oligopsony
D
Perfect Competition, Monopoly and Bilateral monopoly

Question 1484Single Answer

In imperfect factor and product markets, labour exploitation is represented by :
(a) When ARP is > Average wage
(b) When ARP is > Margin wage
(c) When ARP is < MRP wage
(d) When ARP is < Margin wage
Select the correct answer from the codes given below :

A
(a), (d)
B
(a), (c)
C
(a), (b)
D
(d), (c)

Question 1485Single Answer

Who among the following economists emphasized the role of non-economic factors in explaining growth ?

A
R.M. Solow
B
Roy Harrod
C
N. Kaldor
D
E. Domar

Question 1486Single Answer

Which one of the following is not an Hirofumi Uzawa condition for a well behaved production function ?

A
Continuously differentiable
B
When x = 0, f(x) = 0
C
The second derivative of the function is negative
D
The function is concave

Question 1487Single Answer

Exponents of the Cobb-Douglas production represent :

A
Output elasticity of factors
B
Share of factor income in total income
C
Both (a) and B of the above
D
Neither A nor B of the above

Question 1488Single Answer

Concept of scale economies applies in :

A
Long –run with constant technical coefficients
B
Long=run with variable technology
C
Short-run with constant technology
D
Short-run with variable technical coefficient

Question 1489Single Answer

Consider an economy with a Cobb-Douglas type of production function with two inputs – capital and labour. The share of capital and labour in total output are, respectively

and

. The rates of growth of capital and labour are, respectively 8% and 4% per annum. Neutral technical progress takes place at the rate of 3% per annum. What will be the rate of growth of output per annum in this economy ?

A
5%
B
7%
C
9%
D
8%

Question 1490Single Answer

Which of the following conditions is most likely to benefit a debtor under new classical economic framework ?

A
Anticipated deflation
B
Anticipate dinflation
C
Unanticipated deflation
D
Unanticipated inflation

Question 1491Single Answer

Which theory asumes that increase in stock of money is directly spent on goods ?

A
Quantity theory of money
B
IS-LM theory
C
Keynes
D
None of the above

Question 1492Single Answer

In Harrod's model of economic growth, if warranted rate is below the natural rate of growth then it is possible to maintain steady state growth at warranted rate with :

A
Continually increasing unemployment
B
A constant rate of unemployment
C
Continually decreasing unemployment
D
None of the above

Question 1493Single Answer

Wage is determined where :
(a) Demand of labour = supply of labour
(b) MRP of labour = marginal wage
(c) MRP of labour = ARP
(d) MRP of labour = Average wage
Select the correct combination from above :

A
(a) and (b)
B
(a) and (d)
C
(c) and (c)
D
(a) and (d)

Question 1494Single Answer

According to Harrod, neutral technical progress is characterised as :

A
Capital Argumenting
B
Labour augmenting
C
Both labour and capital augmenting
D
Productivity increasing

Question 1495Single Answer

The capacity creating aspect of investment in growth theory was explained by :

A
R.F. Harrod
B
E.D. Domar
C
R.M. Solow
D
P.A. Samuelson

Question 1496Single Answer

The rate at which banks lend to RBI is known is :

A
Bank Rate
B
Repo Rate
C
Reverse Repo rate
D
Interest Rate

Question 1497Single Answer

Assertion (A) : AK model is an endogenous model.
Reason (R) : This is due to absence of diminishing returns to scale with respect to capital
Then which of the following option is correct ?

A
Both (A) and (R) are true and (R) is the correct explanation of (A)
B
Both (A) and (R) are true, but (R) is not the correct explanation of (A)
C
(A) is true, but (R) is false
D
(A) is false, but (R) is true

Question 1498Single Answer

Assertion (A) : According to Marx in a capitalist society organic composition of capital increases with time.
Reason (R) : Technological progress is continuously more capital intensive
Select the correct answer from the code given below :

A
Both (A) and (R) are true and (R) is the correct explanation of (A)
B
Both (A) and (R) are true, but (R) is not the correct explanation of (A)
C
(A) is true, but (R) is false
D
(A) is false, but (R) is true

Question 1499Single Answer

A less elastic IS curve means that :

A
Monetary policy is more effective
B
Monetary policy is less effective
C
policy is less effective
D
Both A and C are true

Question 1500Single Answer

Consider the following :
1. Nominal GDP
2. Price level
3. The rate of interest
In monetarism, money supply determines which of the above ? Answer from the code given below :

A
All of above
B
Only (c)
C
(a) and (b)
D
(b) and (c)

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