Q. in order to influence spending on goods and services in the short-run, monetary policy is directed at directly influencing...
✅ Correct Answer: (B)
inflation rates.
Business Economics Macro MCQs and Notes
Q. In the long run, inflation is caused by
✅ Correct Answer: (C)
growth in the money supply.
Q. Debt obligations of the government that have maturities of one year or less is normally called
✅ Correct Answer: (C)
Treasury Bills
Q. Public Debt means
✅ Correct Answer: (D)
Borrowing by a Government from within the country or from abroad, from private individuals or association of individuals or from banking and non-banking institutions
Q. Which of the following statement is INCORRECT with regard to the burden of public debt of a country?
✅ Correct Answer: (C)
In case of Internal Debt, the direct money burden on the economy is huge as transfer of wealth happens within the community
Q. Which of the following are the causes of public debt of a country?
✅ Correct Answer: (D)
All of the above
Q. Which of the following factors contribute to public debt of a country?
✅ Correct Answer: (D)
All of the above
Q. Taxes are levied to
✅ Correct Answer: (A)
Provide general benefits to the People
Q. The role of Government would be highest in which of the following type of economy:
✅ Correct Answer: (D)
Socialist Economy
Q. In a free market economy, self-interested individuals operate through a system of mutual interdependence to promote the general benefit of society at large. Adam Smith referred this as:
✅ Correct Answer: (A)
Invisible hand