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