MCQs of Economics – Basic of Economics

Account is format banking, brokerage or business relationship established to provide for regular services. dealings and other financial transactions. Which of the following phenomenon(s) are also referred by term, Account?

What is called an arrangement of workers machines, and equipment in which the product being assembled passes consecutively from operation to operation or the process in which finished products are turned out in a mechanically efficient, though impersonal, manner?

The exchange rate is the ratio at which the currency of one country is exchanged for the currency of another. Which method was developed by the World bank to exchange rates?

The balance of payment is:

What is called the difference in the money value between exports and imports during the specific period of time?

Balance of sheet is understood as:

How is termed the legal proceeding in which debtor remains unable to pay his creditors in full?

Bearer cheque is:

What is called the trade of goods or services without the exchange of money?

Term the written order which directs that a specified sum of money be paid to a specified person?

A stock that sells at a high price because of public confidence in its long record of steady earnings is called:

Governments and corporations sell interest bearing certificates to raise money for expansion or trade. What is called these certificates?

Which term is used for an addition to normal payment by a company or extra payment of gratuity to workers?

The amount value of an asset in business records is not necessarily identical to the amount that the asset could bring on the open market. What is it called?

How is termed the balance of investment and return; in which investment and return are exactly equal?

The intermediary agent in the purchase and sale of any good is known as:

What is called the sequence of economic activity which is typically characterized by recession, fiscal recovery, growth and fiscal decline?

What is called the rules of laws which governs the internal affairs of an organization?

Term the body of goods and monies from which future income can be derived?

A long-term asset, such as land or building is termed as:

What is meant by capital stock?

Mention the term which is used for the large scale removal of individual and corporate investment capital and income from a country?

Point out the term for producer goods such as machinery that is used in production of commodities?

Name the system in which the means of production and distribution are privately or corporate owned and development is proportionate to the accumulation and reinvestment of profits which are gained in a free market?

The term Cartel refers to:

What is called the crop which is grown for sale rather than the farmer’s own use?

Find out the term for the purpose that a buyer must pay for the goods at the time of its delivery?

Which of the following is the Pakistan’s central bank?

What is called a place of work where all workers within a section must belong to a single official recognized trade union?

A borrower gives to creditor a security to grantee repayment of a loan. What is this security called?

A country can still gain from trading certain goods even though its trading partners can produce those goods more cheaply. How is known this principle ?

The comparative advantage comes if each trading partners has a product that will bring a better price in another country than it will at home. Which economist proposed the principle of comparative advantage

Goods that satisfy human wants though their direct use or consumption are called:

How i measured the change in the cost of basic goods and services in comparison with a fixed base period?

Term the enterprise or organization which is managed by those who use its facilities or services?

The sole legal right to print or publish anything which belongs to the author or his assignees is called:

Name the organization in which people are associated together for a common purpose under a common name. This organization is recognized and created by law?

Amount of money needed to purchase the goods and services required to maintain a certain standards of living called:

What is the cost effective?

An adjustment is made in wages that corresponds with the change in the cost of living. What this adjustment is called?

Cost of production plus a fixed rate of profit is called:

What is referred by cost push inflation?

Which term is used for a bank account which can be operated at will?

Interest payments and any principal repayments which are due on a country’s external debt are known as:

What is Demand note?

What is called increased demand for a limited supply of goods and service result of which is increase in consumer prices?

Depression is a drastic decline in a national or international economy. It’s characteristic is:

Mention the term for an official act of reducing the rate in which one currency is exchanged for another in international currency markets?

What does mean by Deed?

Which term is used for fine that is payable for failing to clear goods from a storehouse with in a specific period of time?

What is referred by the discount rate?

Term the shared of profits of a joint stock company?

Different workers or group of workers separate the production works and trade into processes. What this separation is called?

Name the scale for measuring the average share price and percentage change of 30 major US industrial companies ?

Downsizing is:

What is Dumping ?

Which money is called ‘Earnest’ Money?

How is termed the government’s order to prevent the arrival or departure of merchant ships or to restrict import or export of specified or all goods with a foreign nation?

Endorsement means anything written upon the back of the document What does means by Endorse?

Beyond any mortgage thereon and liability therein, the residual value of a business or property is called equity. Which of the following are also included by term equity?

There is method by which one currency is bought, sold or valued in terms of other currencies, gold or accounting units such as the Special Drawing Right of IMF. What is it called?

What meant by excise?

What is called a country’s total financial obligations to the rest of the world?

In Western Europe in 9th C, originated military and social system in which a nobleman would grant the use of land to servant in return for service which is often military, and duty, Name the system?

Name the method of inventory accounting in which the oldest remaining items are assumed to have been first sold?

An organization plans the use of its fund during a 12 month period. What is this period called?

What is called the minimum price of a commodity that is fixed by government in order to save the interests of producer of raw materials?

Mention the penalty by which a person loses title of his property, that is a result of some illegal act?

An act of altering of a written or printed document with intentions of deceiving anyone is called:

Which of the following is known as foreign exchange?

How is termed the group which consists of Singapore, Hong kong, Taiwan, and south Korea?

What does mean by Franchise?

Free port is:

The amount that is paid for carriage of goods by chips, railways, airways etc is called:

Term the interchange of commodities across political political frontiers without restriction such as tariffs, quotas, or foreign exchange controls?

What is called a group of countries that have removed all tariffs, quotas, and export subsidies on trade among themselves?

There are certain products which are sold without brand name or trademark What these products are called?

The system under which a country’s currency is exchangeable for a fixed weight of gold on demand at central bank is called:

Unlike a black market, what is called a system of secretly selling or trading commodities which is not necessarily illegal?

By Which scale the value of all economic activity produced by a nation during a given period is measured?

What is referred by the hard currency?

Mention the name for that urban and rural region which is closely associated economically with an adjoining town or city. Term is also used to describe the area that is serviced by a port or coastal settlement?

Because of the decrease in the value of money, there comes exaggerated increase in incomes and prices. How is termed this system?

Indemnity is:

Inflation is:

What is referred by interest?

A detailed, itemized list, report or record or things in one’s possession or the process of making such a list, or items listed in this list, or the stock, is called inventory. Which of the following is also inventory?

How is termed the economic theories or mayard Keynes especially those which advocate government monetary and fiscal and stimulate business activity?

Total number of adults currently employed or actively seeking work in all economic sectors is known as:

Which economics doctrine opposes government regulation or interference in commerce beyond the minimum necessary for a free enterprise system to operate according to its own economics laws and non-interference in affairs of others?

Bank issued a document that authorizes the bearer to receive money from one of its foreign branches or from another bank abroad. What such document is called?

Termed the written statement which expresses the intention of undersigned to enter into a formal agreement?

What is referred by the by economic theory “Liberalism”?

LIFO (last in, first out) means:

The term liquidate refers to pay off a debt, a claim or an obligation or to settle the affairs by determining liabilities and applying assets to their discharge. What is also converted by the term?

Name the company in which the liability of the shareholders is limited to the amount of their shares?

What is called the overall study of aspects and working of a national economy?

The term Mark-up refers to:

What is called the market in which forces of demand and supply are not in the control of government?

The branch of economics ‘Microeconomics’ deals with:

Monoculture is:

Term the exclusive right of one or more persons to carry on some branch of trade of manufacture? It is a sole power of dealing in something

A company or corporation which was subsidiaries, investments or operation in more than one country is known as:

What is mortgage?

How is known the process in which an investment company continually offers new shares and buys existing shares back on demand and uses its capital to invest in diversified securities of other companies?

What is called the result of a state’s borrowing from its population, from foreign governments or from international institutions?

Which term is used for the total net value of all goods and services produced in a country in specified period of time?

What is called the amount of non-military foreign aid which a country received?

How is termed equal rights of trade of trade without giving monopolies or preferences to an individual country?

Which term is used for the value imprinted on a security?

The economics system planned economy is:

How is termed the minimum income level below which a person is considered to be living in poverty?

Point out the use of the term price fixing?

A number of relating prices of a group of commodities to their prices during an arbitrarily chosen based period is called:

What is price support?

Which term is used for the period of competition in which each competitor tries to cut retail prices below the others?

How is termed a written promise to pay back a specified sum of money at a stated time or on demand?

The term prospectus refers to:

What is called the advocacy of protecting domestic producers by impeding or limiting the importation of foreign goods an services?

By the way of an underwriter, the sale of a new security is issued to the public a transaction that must be registered with the securities and exchange commission. How is know this process

What is comprised by public sector?

How is termed the ability to buy?

What is the rate of exchange or exchange rate?

The term Remittance refers to:

Which term is used for a country’s holdings of intentionally acceptable means of payment?

A payment is made in return for some transference of privilege. What this payment is called?

What is sales tax?

A government program, social security is:

Name the political and economic system in which the government owns and controls the means of production to benefit all the people?

Which term is used for an engagement in risky business with the idea of making a large profit in short time?

A share or an interest in an enterprise, especially a financial share, is called:

Government granted monetary assistance to a person or a group in support of an enterprise regarded as being in public interest. This is called subsidy. Point out the statement which is also a subsidy?

When supply exceeds demand, sellers must lower prices to stimulate sales, when demand exceeds supply, prices increase as buyers compete to buy goods. What this theory is called in economics?

Which theory of economic management focuses on encouraging product through tax reduction?

What is defined as the active management of resources to provide the greatest present benefit without comprising the potential benefits to future generations?

Government levy tax on imports and exports What this tax is called?

The term technology refers to:

A bank deposit, that cannot be withdrawn before the date which is specified at the time of deposit, is called

Which of the following is referred by the phrase trade balance?

Trade name is:

The mark is imposed on goods or wrappers to show that the articles bearing this mark belong to a particular trader. What is this mark called?

Government borrows in the form of promissory note to repay the bearer after some fixed days from the date of issue. How is called such borrowing?

Which of the following is indicated by the term unemployed?

What is underwriter?

Estimated value that is added to a product or material to each stage, of its manufacture or distribution, is known as:

What is referred by the Working capital?

What is artificial currency?

Which of the following is a price that is equal to the face value of a security?

An outside professional conducts an examination of company’s accounting records in order to determine whether the company is maintaining records according to the generally accepted accounting principles. What this examination is called?

What is called an internet strategy of dealing directly with business rather than consumer?

Which market is called Bear market?

Mention an international trade policy competitive devaluations and increased protective barriers that one country institute to gain at the expense of its trading partners?

What is called the price that a potential buyer is willing to pay for a security?

Quoted bid or highest price on inventor in willing to pay to buy a security is called?

Which of the following are bonds that are not registered on the books of the issuer?

Blue chip company is used in the context of general equities. What does it refer?

Shareholders of a corporation elect individuals to carry out certain tasks that are establishment in the charter. What these individuals are called?

In the context of equities What is called a firm with two divisions that may split into two companies and issue original shareholders two shares for every old share they have?

Term the covering of a short position by purchasing a long contract, usually resulting from the short of a commodity?