Tag: economics

Questions Related to economics

Who published "The Nature and causes of wealth of Nations"?

economics ancient indian economic concepts goods, wealth and welfare major definitions of economics wealth, capital and money

  1. Adam Smith

  2. A.C. Pigou

  3. J.B. Say

  4. Alfred Marshal

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Correct Option: A
Explanation:

Adam Smith was a Scottish economist who published the book " The Nature and causes of wealth of Nations" where he explicitly focused on economics as a study of creation of wealth and henceforth its distribution. 

J B Say considered Economics as:

economics ancient indian economic concepts goods, wealth and welfare major definitions of economics wealth, capital and money

  1. Science of Wealth

  2. Science of Material Well-being

  3. Science of Choice-making

  4. Science of Growth and Development

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Correct Option: A
Explanation:

J B Say was a French economist who described economics as the science of wealth as he believed that economics is the study of creation of wealth.  

Goods that a country gets from other countries are called______.

economics ancient indian economic concepts goods, wealth and welfare major definitions of economics wealth, capital and money

  1. Exports

  2. Imports

  3. Foreign Trade

  4. None of these

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Correct Option: A
Explanation:

Exports and imports are the main elements of foreign trade. 

Export - When goods are sent from one country to another then it is called export.
Import - When goods are purchased from other countries then it is called import.
When the Export value is more than import value then foreign trade will be favourable to a country.

If with the rise in price of good $Y$, demand for good $X$ rise, the two goods are: (Choose the coorect alternative)

economics ancient indian economic concepts goods, wealth and welfare major definitions of economics wealth, capital and money

  1. Substitutes

  2. Complements

  3. Not related

  4. Jointly demanded

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Correct Option: A
Explanation:
If with the rise in price of good $Y$, demand for good $X$ rises, the two goods are said to be substitutes. This is because substitute goods are the ones which are consumed in place of each other. For instance, tea and coffee. Thus, if the price of one good rises, the demand for other substitute good will rise. 
Hence, the correct answer is option (a). 

All primary occupations like agriculture, animal husbandry, poultry farming, fisheries, dairying, forestry, etc. are land oriented.

economics how does production take place? natural resources- air, water and land land land,labour, capital and entrepreneur production mechanism

  1. True

  2. False

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Correct Option: A
Explanation:
The following occupations which are land oriented,that is, they occur due to the presence of land, are as follows:
Agriculture: the science or practice of farming, including cultivation of the soil for the growing of crops and the rearing of animals to provide food, wool, and other products.
Animal husbandry: the science of breeding and caring for farm animals
Fisheries: a place where fish are reared for commercial purposes.
Dairying: the business of producing, storing, and distributing milk and its products
Forestry: the science or practice of planting, managing, and caring for forests.

All sources of power, i.e. hydro-electricity, Wind energy, thermal power, diesel, , oil, etc. emanate from ____________.

economics how does production take place? natural resources- air, water and land land land,labour, capital and entrepreneur production mechanism

  1. air

  2. water

  3. land

  4. all of the above

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Correct Option: D
Explanation:

Hydro electricity is derived from water, wind energy from air and the rest are derived from land.

Manufacturing industries get diverse type of ___________ from land.

economics how does production take place? natural resources- air, water and land land land,labour, capital and entrepreneur production mechanism

  1. finished materials

  2. raw materials

  3. products

  4. artificial products

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Correct Option: B
Explanation:

Raw materials from could also include crude oild extracted from the sea beds. 

The land is a passive factor of production because it cannot produce anything on its own.

economics how does production take place? natural resources- air, water and land land land,labour, capital and entrepreneur production mechanism

  1. True

  2. False

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Correct Option: A
Explanation:

Land is of no use without human efforts and other factors of production.Hence, the land is a passive factor of production.

In under-developed countries, _________ provide the basis of employment.

economics how does production take place? natural resources- air, water and land land land,labour, capital and entrepreneur production mechanism

  1. primary activities

  2. secondary activities

  3. tertiary activities

  4. none of the above

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Correct Option: A
Explanation:

Primary sector of an economy deals with the production of raw materials and basic foods. Examples of primary sector are: agriculture, mining, forestry, etc. Under-developed countries mainly depends on primary activities for the employment opportunities.

The land is a _________ factor of production.

economics how does production take place? natural resources- air, water and land land land,labour, capital and entrepreneur production mechanism

  1. basic

  2. secondary

  3. not so important

  4. tertiary

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Correct Option: A
Explanation:

The basic factors of production are Land, Labour, Capital and entrepreneur.