Tag: economic mechanism

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Questions Related to economic mechanism

Multiple choice organisation of commerce and management economics of development and planning fundamental of economic development economics of development economic mechanism

Which of the following statement is correct?

  1. Supply of land is perfectly elastic

  2. Fertility of land cannot change

  3. Land does not yield any result unless human efforts are employed

  4. Supply of land can be increased
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Land does not yield (product) anything, unless human efforts are employed is correct statement.

Multiple choice organisation of commerce and management economics of development and planning fundamental of economic development economics of development economic mechanism

Quantitative measures to control credit are also called _____________.

  1. General Measures

  2. Selective Methods

  3. Both (a) and (b)

  4. Neither (a) nor (b)
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Quantitative or the traditional method of credit control comprises of bank rate policy, open market operations and variable reserve ratio. Qualitative or selective methods of credit control include directive of margin requirement, credit rationing, regulation of consumer credit and direct action.

The correct option is A.

Multiple choice organisation of commerce and management economics of development and planning fundamental of economic development economics of development economic mechanism

In India, the three major objectives of economic policy are growth, social justice and price stability. Which of the above objectives can be pursued most effectively by the monetary authorities of the country?

  1. Growth

  2. Social Justice

  3. Price Stability

  4. None of the above
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

In India, the three major objectives of economic policy are growth, social justice and price stability. Social Justice can be pursued most effectively by the monetary authorities of the country. Social justice can be defined which is an ideal situation where everone gets equal treatment; any sort of dicimination is not applicable.

Multiple choice organisation of commerce and management economics of development and planning fundamental of economic development economics of development economic mechanism

Oligopolistic industries are characterized by:

  1. A few dominant firms and substantial barriers to entry.

  2. A few large firms and no entry barriers

  3. A large number of small firms and no entry bathers.

  4. One dominant firm and low entry barriers.
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Oligopolistic industries have a few dominant firms and substantial barriers to entry; because there is may be some entry barriers.

Multiple choice organisation of commerce and management economics of development and planning fundamental of economic development economics of development economic mechanism

Which of the following is not a quantitative method of credit control __________________.

  1. Bank Rate policy

  2. Open market operations

  3. The Repo Rate

  4. Consumer credit regulation
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Quantitative or traditional methods of credit control consist of banks rate policy, open market operations and variable reserve ratio. Qualitative or selective methods of credit control consist of the guideline of margin requirement, credit rationing, regulation of customer credit and direct action. 

Quantitative controls are planned to control the volume of credit created by the banking system qualitative measures or selective methods are intended to regulate the flow of credit in specific uses.

The correct option is D.

Multiple choice organisation of commerce and management economics of development and planning fundamental of economic development economics of development economic mechanism

Quantitative Methods aim at influencing _______________________.

  1. The end-use of credit in specific areas

  2. The total volume of credit in the banking system

  3. Both (a) and (b)

  4. Neither (a) nor (b)
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Quantitative Methods aim at influencing the total volume of credit in the banking system.Quantitative measures to control credit are also known as general measures. Quantitative instruments of control credit are those instruments which focus on overall supply of money in the economy. These measures are used in a manner such that overall supply of money in the economy is reduced during inflation and increased during deflation.

Multiple choice organisation of commerce and management economics of development and planning fundamental of economic development economics of development economic mechanism

Our economy is characterized by __________.

  1. unlimited wants and needs

  2. unlimited material resources

  3. no energy resources

  4. abundant productive labour
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation
Our economy is characterized by unlimited wants and needs.Every economy in the world is characterized by needs and wants which are unlimited as it is a very well known fact that human needs are never ending.
Economics deals with the management of this scarce resources to its alternative uses in order to gain maximum satisfaction and profit.
Multiple choice organisation of commerce and management economics of development and planning fundamental of economic development economics of development economic mechanism

____is the top traffic handler in coastal & overseas shipping.

  1. Kochi

  2. Kandla

  3. Thiruvanandpuram

  4. Vishakhapatnam
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Kandla, also known as the Kandla Port Trust or Deendayal Port is a seaport in Kutch District of Gujarat state in western India, near the city of Gandhidham. Located on the Gulf of Kutch, it is one of major ports on west coast as it is one of the top traffic handler off all the merchandise that is imported and exported to the west countries. 

Multiple choice organisation of commerce and management economics of development and planning fundamental of economic development economics of development economic mechanism

Who first raised the fears of a world food shortage?

  1. David Ricardo

  2. T.R. Malthus

  3. J.S. Mill

  4. J.B. Say
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Thomas Robert Malthus was an English cleric and scholar, influential in the fields of political economy and demography who for the first time proposed the condition of food shortage on the grounds of scarce resources and unlimited wants after studying the world demographics. 

Multiple choice organisation of commerce and management economics of development and planning fundamental of economic development economics of development economic mechanism

Of the major $12$ ports, _________ has been the top traffic handler for last five years.

  1. Paradip

  2. Cochin

  3. Kandla

  4. Mumbai
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Kandla, also known as the Kandla Port Trust or Deendayal Port is a seaport in the Kutch district of Gujarat state in western India, near the city of Gandhidham. Located on the Gulf of Kutch, it is one of the major ports on the west coast as it is one of the top traffic handlers of all the merchandise that is imported and exported to the western countries.