Quiznetik

Economics (GK) | Set 10

1. Which of the following countries could most aptly be described as having a fully centrally planned economy?

Correct : C. Cuba

2. How many countries have joined WTO till September 2002:

Correct : D. 144

3. In which of the South Asian Countries, the infant mortality rate is highest?

Correct : A. Pakistan

4. ‘Naryab Dam’ in NWFP is being constructed in the district of:

Correct : C. Hangu

5. According to a UN report, the number of people in the world having no access to clean drinking water are:

Correct : C. 1.1 billion

6. In this passage “gestures” mean:

Correct : C. Expressive movements of the body

7. Who was appointed Caretaker Prime Minister when National Assembly was dissolved on April 18, 1993?

Correct : D. Balkh Sher Mazari

8. The government in Pakistan has recently withdrew sales tax on one of the following items:

Correct : C. Edible oil

9. The demand of electricity is rising in Pakistan at the rate of:

Correct : B. 17 percent annually

10. Which part of Pakistan has lowest urban population?

Correct : D. FATA

11. Which of the following countries first introduced paper currency in the world?

Correct : C. China

12. The 6th National Finance Commission Award the share of provinces from the federal revenue has been increased from 37.5 percent to:

Correct : B. 2003-2004

13. The World’s largest copper producer is:

Correct : B. Chile

14. The World’s largest producer of silk is:

Correct : C. China

15. Under the 6th National Finance Commission Award the share of provinces from the federal revenue has been increased from 37.5 percent to:

Correct : C. 40%

16. The share from federal revenue is given to the provinces according to their:-

Correct : B. Population

17. Identify the world’s richest man and his organization:

Correct : B. Bill Gates – Microsoft - USA

18. The people live below the poverty line earn less then:

Correct : A. 1 US dollar daily

19. Identify Pakistan’s largest gas fired power plant:

Correct : B. Uch Power Plant

20. After independence, the first industrial unit inaugurated by Quaid-i-Azam was:

Correct : B. Valika Textile Mills

21. An arrangement between a seller and buyer under which a period of credit is allowed before payment is called:

Correct : A. Account

22. The prices that are set by government rather than by negotiation between a seller and a buyer are known as

Correct : C. Administered Prices

23. What is the term for paid announcements to persuade and inform public?

Correct : B. Advertising

24. The inefficiencies associated with employing a representative to carry out a task for you rather than carrying it out yourself are known as in economical terms as

Correct : A. Agency Cost

25. In terms of economics a constant annual payment is called:

Correct : B. Annuity

26. The transaction in which the buyer of an item is selected after a number of buyers have made some willingness to pay for that item; is marked as

Correct : D. Auction

27. The national economic self-sufficiency i.e., exclusion from international trade pursued as a national policy is called:

Correct : A. Autarky

28. A check of accounting records conducted by a professional accountant to find out any fraud or discrepancies is termed as:

Correct : A. Audit

29. What is the term for total sales value divided by the number of units sold and thus equals to average price is?

Correct : C. Average Revenue

30. The statement of the wealth of a business organization or individual on a given date usually the last day of the fiscal year is termed as:

Correct : A. Balance Sheet

31. What is the business of accepting deposits and lending money called?

Correct : D. Banking

32. The declaration by a court of law that a company or individual is insolvent, i.e., it cannot pay its debts on the due dates is known as

Correct : A. Bankruptcy

33. The fixed interest security issued by governments, banks or other financial institutions is also termed

Correct : B. Bond

34. The first class equity share, the purpose of which entails little risk in earnings in recession is called:

Correct : B. Blue chip

35. Underground economic activity that is not declared for taxation purposes is called

Correct : C. Black Economy

36. A trade of goods and services in the exchange for other goods or services rather than for money is known as:

Correct : C. Barter Trade

37. In an organized market, an intermediary between a buyer and a seller is called:

Correct : A. Broker

38. What is called if estimate of income and expenditure are for future as opposed to an account that records financial transaction?

Correct : C. Budget

39. The output from a process designed for the production of some other product. is called

Correct : A. By product

40. The asset that is capable of generating income and that have itself been produced is termed

Correct : B. Capital

41. The production of a commodity in which a higher proportion of capital is used is known as

Correct : B. Capital Intensive

42. The market for long term loanable funds as different from the market that deals in short term loans is called:

Correct : A. Capital Market

43. The total amount of physical capital in the economy or in a firm or industry is termed as

Correct : C. Capital Stock

44. An association of producers to regulate prices by restricting output and competition is called

Correct : A. Cartel

45. The most common example of an international cartel is the

Correct : B. Organization of Petroleum Exporting Countries (OPEC)

46. The flow of money payments to or from a firm is called “Cash Flow”. Expenditure is sometimes referred to as:

Correct : B. Negative Cash Flow

47. The banker’s bank and lender of last resort is the

Correct : C. Central Bank

48. A certificate that specifies the country of origin of an export or import is called

Correct : B. Certificate of Origin

49. The order written by the drawer to a commercial bank or central bank to pay on demand a particular sum to a bearer is referred to as

Correct : B. Cheque

50. A measurement of unemployment based on the number of people out of work and claiming unemployment benefits is called in terms of economic theory

Correct : B. Claimant Count

51. The dominant body of economic thinking, economic method and economic style in the period from 18th to 19th century is termed as

Correct : C. Classical Economics

52. The economic system with little or no external trade is called:

Correct : C. Close economy

53. Privately owned banks operating cheque current accounts, receiving deposits, taking in and paying out notes and coins and making loans are generally called

Correct : B. Commercial Banks

54. A percentage of the value of a transaction taken by an intermediary as payment for his services is called:

Correct : B. Commission

55. In economic theory, a tangible good or service resulting from the process of production is known as

Correct : C. Commodity

56. Which of the following is an example of common market?

Correct : D. All of the above

57. The law governing the establishment and conduct of incorporated business enterprise is called

Correct : C. Company Law

58. The profits retained in the business and set aside for specified purposes are known as

Correct : C. Company Reserves

59. Pairs of goods for which consumption is interdependent e.g., cars and petrol or cups and saucers are known as:

Correct : A. Complementary Goods

60. The interest due by applying the rate to the sum of the capital invested plus the interest previously earned and reinvested is referred to as

Correct : B. Compound Interest

61. Short-term loans to the public for the purchase of specific goods is called:

Correct : C. Consumer Credit

62. An economic good or commodity purchased by households for final consumption is called:

Correct : D. All of the above

63. An index (index number) of the prices of goods and services purchased by consumers to measure the inflation rate or the cost of living is called

Correct : C. Both of the above

64. The use of resources to satisfy current needs and wants is called:

Correct : C. Consumption

65. A statement of the rights and obligations of each party to a transaction or transactions is called:

Correct : C. Contract

66. A business function concerned with the formulation of long term objectives and the development of plans to achieve them is called:

Correct : B. Corporate Planning

67. A piece of paper entitling the owner to money payments, cutprice or free goods or rations is called

Correct : C. Coupon

68. A measure of the expectation of the population that the government, or monetary authorities will adhere to policies delivering low inflation is called

Correct : A. Credibility

69. Credit is the use or possession of goods without immediate payment. Which of the following is a type of credit?

Correct : D. All of the above

70. A plastic, personal magnetized card with the name and account number of the holder and the expiry date embossed is referred to as:

Correct : C. Credit Card

71. One to whom an amount of money is due is called:

Correct : A. Creditor

72. Which of the following is referred to as international currency because it is regarded as acceptable for the settlement of international debts?

Correct : B. Dollar

73. The bank account on which deposits do not earn interest, but can be with drawn by cheque at any time is called:

Correct : B. Current Account

74. Prices unadjusted for changes in the purchasing power of money are called:

Correct : B. Current Prices

75. The practice of searching for correlation in data with the purpose of generating theoretical hypotheses is called

Correct : C. Data Mining

76. A cartel is an organization formed by producers. Its objectives are:

Correct : D. All of the above

77. A loss in social welfare deriving from a policy or action that has no corresponding gain is called:

Correct : B. Deadweight Loss

78. The number of deaths occurring in any year for every 1000 of the population is referred to as

Correct : B. Death Rate

79. A sum of money or other property owed by one person or organization to another is called

Correct : B. Debt

80. One who owes money to another is known as

Correct : B. Debtor

81. The rebate or discount where ordinary share on a purchase that is accumulated for a particular period to encourage customers to remain with a specific supplier is called:

Correct : C. Both of the above

82. The excess of an expenditure flow over an income flow is termed as:

Correct : B. Deficit

83. The use of borrowing to finance an excess of expenditure over income is known as:

Correct : A. Deficit Financing

84. A sustained reduction in the general level of prices is called:

Correct : D. Both B and C

85. A decline in the share of manufacturing sector in national income is termed as:

Correct : D. Deindustralization

86. The desire for a particular good or service supported by the possession of the necessary means of exchange to effect ownership is called:

Correct : B. Demand

87. The scenario that western countries face a crisis in the next few decades caused by the aging of their populations is termed as:

Correct : A. Demographic Time Bomb

88. The branch of economics concerned with the rate at which natural resources are consumed over time is called

Correct : C. Depletion theory

89. Money placed in an account at a financial institution and constituting a claim on it is known as

Correct : A. Deposit

90. The account with a bank or other financial institution in which deposits earn interest and withdraws from which require notice is referred to as:

Correct : A. Deposit Account

91. The reduction in value of an asset as reduction in the value of currency is known as:

Correct : C. Depreciation

92. A downturn in the business cycle in which there is a sustained high level of unemployment is called

Correct : B. Depression

93. The process of invigorating activity in a sector of the economy by reducing the government controls that have the effect of creating barriers to entry is called

Correct : C. Deregulation

94. The reduction of the fixed official rate at which one currency is exchanged for another in a fixed exchange rate regime is termed:

Correct : C. Devaluation

95. Investment in the foreign operations of a company through acquisition of a foreign operation, or establishment of a new site is called:

Correct : A. Direct Investment

96. Taxation on the income and resources of individuals or organization is known as:

Correct : C. Direct Taxation

97. A deduction from face value is referred to as:

Correct : B. Discount

98. The extension in the range of goods and services in a firm or geographic region is called:

Correct : C. Diversification

99. The amount of a company’s profit that the board of directors decides to distribute to ordinary shareholders is known as:

Correct : B. Dividend

100. The allocation of labour such that each worker specializes in one or a few functions in the production process is known as:

Correct : A. Division of Labour