Rate of growth of an economy is measured in terms of________________?

A. per capita income
B. industrial development
C. number of people who have been lifted above the poverty line
D. national income

Which of the following is not required while computing Gross National Product (GNP) ?

A. net foreign investment
B. private investment
C. per capita income of citizens
D. none of the above

Which situation will a country face, if the birth rate falls sharply, while the death rate remains unchanged ?

A. a fall in living standards
B. a more youthful population
C. an ageing population
D. an increase in population

What can a government do to increase demand in its economy ?

A. budget for a surplus
B. cut taxes
C. encourage savings
D. reduce its expenditure

Which of the following payment instruments introduced by the banks is known as plastic money ?

A. bearer cheques
B. credit cards
C. demand drafts
D. gift cheques

Which of the following is not rated by credit rating agencies ?

A. shares
B. debentures and bonds
C. commercial paper
D. government securities

The smallest unit of ownership of a company is______________?

A. a share
B. a debenture
C. invest
D. capital

Debenture holders of a company are its_______________?

A. shareholders
B. creditors
C. debtors
D. directors

What is more likely to be found in a free market economy than in a planned economy ?

A. an even distribution of income
B. an incentive to innovate
C. a wide range of public goods
D. full employment of labor

National income of a country is based on ?

A. the taxes earned by the state
B. the sum of all factors of income
C. personal incomes of all the citizens
D. surplus of exports over imports