Economics Nios Plus Two PQ Welcome to your Economics Nios Plus Two PQ Total Questions: 115 Name Mobile No: 1. A point inside a production possibility curve shows: Growth of resources Under utilisation of resources Change in technique of productions Overutilisation of resources None Hint 2. Product is homogenous under: Both (A) and (B) None of the above Perfect competition Monopolistic competition None Hint 3. Fill in the blanks Goods which are used together are called ____________ goods, while the goods which can be used in place of one another are called ______________ goods. Independent, substitute Complementary, substitute Substitute, independent Substitute, complementary None Hint 4. A supply curve parallel to OY-axis is: Elastic supply curve Perfectly inelastic supply curve Inelastic supply curve Perfectly elastic supply curve None Hint 5. Value of Investment Multiplier can be equal to: Any of the above Zero Negative Infinity None Hint 6. If there are 15 skilled and 10 unskilled workers paid Rs. 500 and Rs. 400 respectively, what is the average daily wage? Rs. 460 Rs. 440 Rs. 500 Rs. 480 None Hint 7. Which of the following is a direct and indirect tax pair? Income Tax - GST VAT - Property Tax Customs Duty - Income Tax Professional Tax - Toll Tax None Hint 8. Average propensity to consume is equal to________ Δy/Δc Δc/Δy y/c c/y None Hint 9. Revenue expenditure creates: Liability Both asset and liability None of the above Asset None Hint 10. Which of the following supply curves have elasticity of supply > 1? None of the above Supply curve cutting OX-axis Supply curve passing through the origin Supply curve cutting OY-axis None Hint 11. Fill in the blanks: In a government budget, the receipt that either creates a liability or reduces assets is called __ receipt, while the one which neither creates a liability nor reduces assets is called __ receipt. Revenue, Capital Deficit, Surplus Surplus, Deficit Capital, Revenue None Hint 12. A point inside a production possibility curve shows: growth of resources overutilisation of resources under utilization of resources change in technique of productions None Hint 13. Fill in the blanks: Degree of responsiveness of demand to a price change is called price _________ of demand. Stability Inelasticity Flexibility Elasticity None Hint 14. The value of Investment Multiplier (k) depends upon: value of APS value of MPC savings value of APC None Hint 15. Which of the following equations is correct? None of the above Indirect Taxes – Direct Taxes = Subsidies Indirect Taxes – Subsidies = Net Indirect Taxes Direct Taxes + Subsidies = Net Direct Taxes None Hint 16. Excess supply is the _________ between supply and demand when supply is _______ than demand. Difference, equal Gap, less Equality, more Gap, more None Hint 17. Identify correct examples of real and money flow: Money - Goods; Real - Salary Goods - Wages; Services - Interest Real - Goods and Services; Money - Payment of wages Real - Tax; Money - Product None Hint 18. A supply curve parallel to OY-axis is: perfectly elastic supply curve inelastic supply curve perfectly inelastic supply curve easily supply curve None Hint 19. Product is homogenous under: Both (A) and (B) None of the above Perfect competition Monopolistic competition None Hint 20. The firm has to accept the price determined by the industry under: Oligopoly All the above Perfect competition Monopolistic competition None Hint 21. A and B are substitute goods. An increase in price of A will lead to increase in demand for B a very little change in demand for B decrease in demand for B no change in demand for B None Hint 22. ‘Inter-dependence’ is the feature of this type of market: Oligopoly Perfect competition Monopolistic competition Monopoly None Hint 23. The firm is a price maker under: Both (A) and (B) None of the above Monopoly Perfect competition None Hint 24. Which of the following can cause a rightward shift in the supply curve? Increase in input prices Technological improvement Higher taxes on production Decrease in the number of sellers None Hint 25. Which curve shows the total cost incurred by a firm? Total Revenue Curve Total Cost Curve Total Product Curve Total Demand Curve None Hint 26. ________ is an example of real flow while _______ is an example of money flow in an economy. Rent, Land Goods, Production Labour services, Salary paid Salary paid, Labour services None Hint 27. Fill in the blanks: Supply of a commodity is the ________ offered for sale at a price during a ___________ of time. Quantity, period Demand, point Stock, phase Price, interval None Hint 28. Which of the following supply curves have elasticity of supply > 1? None of the above Supply curve cutting OY-axis Supply curve passing through the origin Supply curve cutting OX-axis None Hint 29. The two types of related goods are _______ and _________ goods. Giffen, Veblen Complementary, Supplementary Substitute, Complementary Normal, Inferior None Hint 30. When price of a commodity falls, _______ income of the consumer __________. Money, Decreases Real, Decreases Real, Increases Money, Increases None Hint 31. Two categories of measures to control inflation are __ policy and __ policy. Revenue, Capital Trade, Tax Fiscal, Monetary Import, Export None Hint 32. What is one assumption of the Law of Supply? Supply is independent of demand Supply decreases as price increases Supply remains constant regardless of price Supply increases as price increases None Hint 33. Which curves are drawn in a diagram showing cost behavior? Marginal cost and total variable cost Fixed cost and average cost Average cost and marginal cost Total cost and total variable cost None Hint 34. Revenue expenditure creates: Liability None of the above Asset Both asset and liability None Hint 35. Excess demand in a perfectly competitive market occurs ________ the equilibrium price while excess supply occurs _____________ the equilibrium price. Above, below Below, below At, at Below, above None Hint 36. Which of the following is included in National Income? Sale of old house None of the above Gifts received from employer Receipts from sale of old newspapers None Hint 37. Price discrimination is possible under: None of the above Monopoly Monopolistic competition Perfect competition None Hint 38. Which of the following equations is correct? Indirect Taxes – Subsidies = Net Indirect Taxes Indirect Taxes – Direct Taxes = Subsidies Direct Taxes + Subsidies = Net Direct Taxes None of the above None Hint 39. Supply of a commodity is the ____ offered for sale at a price during a _________ of time. Quantity, Period Stock, Day Quantity, Day Stock, Period None Hint 40. Fill in the blanks Gross Indirect Tax – Net Indirect Tax = _____________. Expenditure Income Taxes Subsidies None Hint 41. _________ is an example of direct tax while __________ is an example of indirect tax. Corporate tax; Import duty Wealth tax; Excise duty Property tax; VAT Income tax; GST None Hint 42. A supply curve parallel to OY-axis is: perfectly elastic supply curve inelastic supply curve elastic supply curve perfectly inelastic supply curve None Hint 43. Identify the correct pair: Capital - Budget, Revenue - Asset Capital - Expenditure, Revenue - Investment Capital - Income, Revenue - Loss Capital - Receipt, Revenue - Receipt None Hint 44. Which of the following is a direct tax? Excise duty Wealth tax Income Tax All of the above None Hint 45. State True or False: (i) Demand curve of a firm under perfect competition is perfectly inelastic. (ii) Demand curve of a firm under monopolistic competition is perfectly elastic. Only (ii) True Both False Only (i) True Both True None Hint 46. __________ is an example of real flow while ____________ is an example of money flow in an economy. Investment; Capital Goods and services; Payment of wages Income; Employment Production; Consumption None Hint 47. Which of the following is a country's National Income? NDP @ f.c NNP @ mp NNP @ f.c GNP @ f.c None Hint 48. Which of the following can cause a rightward shift of the supply curve? Natural disaster Increase in taxes Technological improvement Increase in production cost None Hint 49. Excess demand in a perfectly competitive market occurs __________ the equilibrium price while excess supply occurs _______ the equilibrium price. At, above Above, below Below, above Below, at None Hint 50. Which of the following equations is correct? Indirect Taxes – Direct Taxes = Subsidies Direct Taxes + Subsidies = Net Direct Taxes Indirect Taxes – Subsidies = Net Indirect Taxes None of the above None Hint 51. Revenue expenditure creates: Both asset and liability Liability None of the above Asset None Hint 52. Which of the following correctly defines Law of demand? Price and demand move in same direction Other things remaining the same, there is inverse relationship between price and demand of a commodity When price falls demand rises Price and demand of a good are inversely related None Hint 53. Which of the following equations is correct? mpc + apc = 1 C + I = Y k = 1 / mpc S + I = Y None Hint 54. Supply curve of a commodity is normally: parallel to OX-axis parallel to OY-axis positively sloped negatively sloped None Hint 55. Which of the following supply curves have elasticity of supply > 1? Supply curve passing through the origin None of the above Supply curve cutting OY-axis Supply curve cutting OX-axis None Hint 56. State True or False: (i) Giffen goods do not follow the Law of Demand. (ii) Normal goods follow the Law of Demand. Both True Both False Only (ii) True Only (i) True None Hint 57. If A and B are complementary goods then increase in price of A will lead to: increase in demand for B decrease in demand for B any one of the above no change in demand for B None Hint 58. When the demand of a good ‘increases’, demand curve: Shifts to the left Shifts to the right There is upward shift in demand curve Does not shift but there is downward movement along the curve None Hint 59. The value of Investment Multiplier (k) depends upon: value of APS value of APC savings value of MPC None Hint 60. Supply of a commodity is the ______ offered for sale at a price during a __________ of time. Price, quantity Quantity, period Cost, production Demand, day None Hint 61. None 62. Excess supply causes market price to ____________ and market quantity to _________. Fall, rise Fall, fall Rise, rise Rise, fall None Hint 63. Which of the following is a country’s National Income? NDP @ f.c NNP @ mp NNP @ f.c GNP @ f.c None Hint 64. Fill in the blanks: In a government budget, the receipt that either creates a liability or reduces assets is called a _____________ receipt, while the one which neither creates a liability nor reduces assets is called ________________ receipt. Revenue, Revenue Capital, Capital Capital, Revenue Revenue, Capital None Hint 65. Which of the following correctly defines Law of demand? Other things remaining the same, there is inverse relationship between price and demand of a commodity. Price and demand of a good are inversely related. Price and demand move in same direction. When price falls demand rises. None Hint 66. Which of the following is an assumption of law of supply? Price and supply move in opposite directions Cost of production remains constant Technology and cost of production change frequently Government policy is unpredictable None Hint 67. Product is homogenous under: None of the above Monopolistic competition Both (A) and (B) Perfect competition None Hint 68. Which of the following correctly defines Law of Demand? Price and demand move in same direction Other things remaining the same, there is inverse relationship between price and demand of a commodity When price falls, demand rises Price and demand of a good are inversely related None Hint 69. Marginal Propensity to save is equal to: 1 - ΔC/ΔY 1 - C/Y ΔS/ΔY S/Y None Hint 70. ‘Decrease’ in demand means __ in demand, __ remaining unchanged. Fluctuation, price Increase, price Decrease, price No change, price None Hint 71. ‘Inter-dependence’ is the feature of this type of market: Monopolistic competition Perfect competition Oligopoly Monopoly None Hint 72. Measure of value is the _____ function while store of value is the ___________ function of money. General; Special Primary; Secondary Visible; Invisible Basic; Contingent None Hint 73. Which of the following is included in National Income? Receipts from sale of old newspapers Gifts received from employer None of the above Sale of old house None Hint 74. When price of a commodity falls, income of the consumer __. Becomes zero Decreases Remains constant Increases None Hint 75. What is the median in statistics? The most frequent value The average of all data points The difference between highest and lowest values The middle value when data is arranged in order None Hint 76. Consumption curve: Cuts OY axis Cuts OX or OY axis Passes through the origin Cuts OX axis None Hint 77. If A and B are complementary goods then increase in price of A will lead to __________ Decrease in demand for B No change in demand for B Increase in demand for B Any one of the above None Hint 78. Which of the following is included in National Income? Receipts from sale of old newspapers Gifts received from employer None of the above Sale of old house None Hint 79. Which correctly matches the functions of money? Measure of value - Contingent Measure of value - Variable Store of value - Basic Measure of value - Basic; Store of value - Contingent None Hint 80. Which of the following is a Stock? Income Wealth None of the above Savings None Hint 81. State True or False (i) If with change in price total expenditure on the good also moves in the same direction, the demand for the good is elastic. (ii) Price elasticity of demand (–2) is higher than price elasticity (–1). Both are False (i) True, (ii) False (i) False, (ii) True Both are True None Hint 82. Which of the following is a direct tax? Income Tax Wealth tax All of the above Excise duty None Hint 83. One problem faced in the construction of an index number is: Determining consumer preferences Selecting a base year Calculating GDP Measuring inflation directly None Hint 84. Supply curve of a commodity is normally ________ Negatively sloped Positively sloped Parallel to OX-axis Parallel to OY-axis None Hint 85. Optimum utilisation of resources means: Using resources in the best possible way to maximize output Wasting resources Using resources inefficiently Using resources randomly None Hint 86. State True or False: (i) Price elasticity of demand on a point of straight line downward sloping demand curve equals upper segment divided by the lower segment. (ii) Minus sign associated with price elasticity of demand indicates inverse relation between price and demand. (D) Both (i) and (ii) are True Only (i) True Only (ii) True Both False None Hint 87. One assumption of the law of supply is: Consumers’ income increases Technology remains constant Price and supply are inversely related Demand remains constant None Hint 88. If A and B are complementary goods then increase in price of A will lead to: decrease in demand for B any one of the above increase in demand for B no change in demand for B None Hint 89. Measure of value is the ______________ function while store of value is the ________________ function of money. Primary, Secondary Basic, Derived Main, Optional Primary, Contingent None Hint 90. ‘Inter-dependence’ is the feature of which type of market? Oligopoly Monopolistic competition Perfect competition Monopoly None Hint 91. ____________ is an example of direct tax while ________________ is an example of indirect tax. Corporation Tax, Wealth Tax Income Tax, GST GST, Income Tax Custom Duty, Excise Duty None Hint 92. What is meant by ‘optimum utilisation of resources’? Using more resources than available Using resources to get maximum output with minimum input Wasting resources to increase output Using fewer resources than needed None Hint 93. Fill in the blanks: Demand curve parallel to X-axis shows perfectly __________ demand. Perfectly inelastic Unit elastic Inelastic Elastic None Hint 94. A point inside a production possibility curve shows: overutilisation of resources growth of resources under utilisation of resources change in technique of productions None Hint 95. When the demand of a good ‘increases’, demand curve: does not shift but there is downward movement along the curve shifts to the right shifts to the left there is no change in demand curve None Hint 96. State True or False : (i) Giffen goods do not follow the Law of Demand. (ii) Normal goods follow the Law of Demand. (i) is false and (ii) is true (i) is true and (ii) is false Both (i) and (ii) are false Both (i) and (ii) are true None Hint 97. At break-even point on a consumption curve: savings = investment savings are zero consumption = investment savings = income None Hint 98. What does optimum utilization of resources mean? Increasing prices to reduce consumption Keeping resources unused for future Using resources to get maximum output at minimum cost Using resources as much as possible regardless of cost None Hint 99. Which of the following statements are true? Consumption expenditure can never be zero. Consumption curve touches OY-axis. Value of investment multiplier (k) can never be less than 1. All the above None Hint 100. Which of the following is a country’s National Income? NNP at f.c. NDP at f.c. NNP at m.p. GNP at f.c. None Hint 101. Which of these factors causes a rightward shift of supply curve? Increase in taxes Technological advancement Technological deterioration Rise in input prices None Hint 102. A and B are substitute goods. An increase in price of A will lead to No change in demand for B A very little change in demand for B Increase in demand for B Decrease in demand for B None Hint 103. Demand curve of a firm under perfect competition is perfectly inelastic. Demand curve of a firm under monopolistic competition is perfectly elastic. (i) is true and (ii) is false (i) is false and (ii) is true Both (i) and (ii) are true Both (i) and (ii) are false None Hint 104. Which of the following is a direct tax? Income Tax All of the above Excise duty Wealth tax None Hint 105. State True or False (i) Stationary purchased by an office is a final good. (ii) Sugar purchased by a shopkeeper is an intermediate good. (i) false, (ii) true (i) true, (ii) false Both are true Both are false None Hint 106. Fill in the blanks ‘Increase’ in demand of a good leads to _________ in equilibrium price and ______ in equilibrium demand. No change, no change Decrease, decrease Fall, rise Rise, rise None Hint 107. Fill in the blanks When price of a commodity falls, ________ income of the consumer ________. Real, increases Real, decreases Nominal, decreases Nominal, increases None Hint 108. When the demand of a good ‘increases’, demand curve: shifts to the right there is no change in demand curve does not shift but there is downward movement along the curve shifts to the left None Hint 109. Which statement is correct? (i) Stationery purchased by an office is a final good.(ii) Sugar purchased by a shopkeeper is an intermediate good. (i) False, (ii) True (i) False, (ii) False D) Both (i) and (ii) are True (i) True, (ii) False None Hint 110. Which of the following is a Stock? Wealth Savings Income None of the above None Hint 111. A and B are substitute goods. An increase in price of A will lead to ____________ No change in demand for B Increase in demand for B Very little change in demand for B Decrease in demand for B None Hint 112. Supply curve of a commodity is normally: positively sloped parallel to OX-axis negatively sloped parallel to OY-axis None Hint 113. Fill in the blanks Gross Domestic Product – Net Domestic Product = ________________. Depreciation Capital Profit Revenue None Hint 114. What does the Total Cost curve represent? Cost of raw materials only Total fixed cost plus total variable cost Only variable costs Revenue earned by firm None Hint 115. State True or False: (i) If with change in price total expenditure on the good also moves in the same direction, the demand for the good is elastic.(ii) Price elasticity of demand (-2) is higher than price elasticity (-1). Only (i) True Both False Only (ii) True Both True None Hint Time's up Share: admin Previous post Political Science Nios Plus Two PQ V July 2, 2025 Next post Business Studies Nios plus two PQ IV July 2, 2025
