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N.M.SAMINATHAN , LECTURER ,

Nee tt N Neett
SRI.N.K.C.GIRLS HIGHER SECONDARY SCHOOL, KURUSUKUPPAM, PUDUCHERRY.12
N
lal ai .i. l a
l i
a .i. l a
l i
a
assaaLESSON .1
a adda as aa
s
PART.A
aaddaassaa
a) Wealth and welfare
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1. The branches of the subject Economics
. is
.b)d) production and consumption
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c) Demand and supply micro and macro w
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2. Who coined the word ‘Macro’?
a) Adam Smith b) J M Keynes c) Ragnar Frisch d) Karl Marx

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3. Who is regarded as Father of Modern Macro Economics?
e
a) Adam Smith b) J M Keynes
N Neett
c) Ragnar Frisch d) Karl Marx
lalai.i.
4. Identify the other name for Macro Economics.
l a
l i
a .i. l a
l i
a
assaa a) Price Theory b) Income Theory
a ad daa s saa c) Market Theory
5. Macro economics is a study of ___________________. a s aa
s
d) Micro Theory
ad
a d a
a) individuals
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.
b) firms
w P c) a nation
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d) aggregates
w
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6. Indicate the contribution of J M Keynes to economics.
a) Wealth of Nations b) General Theory c) Capitalwwww d) Public Finance
7. A steady increase in general price level is termed as_____________.
a) wholesale price index b) Business Cycle c) Inflation d) National Income

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8. Identify the necessity of Economic policies.
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l a
l i
a .i. l a
l i
a .i. l a
l i
a) to solve the basic problems b) to overcome the obstacles c) to achieve growth d) all the above
a
assaa aa aa
9. Indicate the fundamental economic activities of an economy.
a) Production and Distribution
ddaass ddaass
b) Production and Exchange

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c) Production and Consumption
. a . P Paa
d) Production and Marketing
.
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10. An economy consists of
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a) consumption sector b) Production sector www
c) Government sector d) All the above
11. Identify the economic system where only private ownership of production exists.
a) Capitalistic Economy b) Socialistic Economy c) Globalisic Economy d) Mixed Economy

N N ett N N ett
12. Economic system representing equality in distribution is _________.
e e
l a
l i
a .i.
a) Capitalism b) Globalism
l a
lai .i.
13. Who is referred as ‘Father of Capitalism’?
c) Mixedism
l a
l
d) Socialism
i
a
assaa a) Adam Smith
aassaa
b) Karl Marx
ad
ad
c) Thackeray
14. The country following Capitalism is ________________ .
aaddaasaa
s d) J M Keynes

a) Russia
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b) America
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c) India . P
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w
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15. Identify The Father of Socialism.
a) J M Keynes b) Karl Marx
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c) Adam Smith d) Samuelson
16. An economic system where the economic activities of a nation are done both by the
private and public together is termed as_____________.

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a) Capitalistic Economy b) Socialistic Economy c) Globalisic Economy d) Mixed Economy
N
l a
l ai .i. l a
lai.i.
17. Quantity of a commodity accumulated at a point of time is termed as ____________..
l a
l i
a
assaa18. s aa saa
a)production b) stock c) variable d) flow
Identify the flow variable.
d daa s dda a s
b) assests aa d) foreign exchange aa
a) money supply
19. Identify the sectors of aww .P P
Two. Sector Model.
c) income
w w. P
. Preserves

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a) Households and Firms b) Private and Public c) Internal and External d) Firms and Government
20. The Circular Flow Model that represents an open Economy.
a) Two Sector Model b) Three Sector Model c) Four Sector Model d) All the above

N Neett N Ne e tt
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N Neett N
N.M.SAMINATHAN , LECTURER ,Neett
lalai .i. l a
l ai .i. l a
l i
a
assaaLESSON.2 aa aa
SRI NKC .GOVT.GIRLS.HR.SEC.SCHOOL , MUTHIALPET, PUDUCHERRY.12

dda a s s dda s
a s
1.. Net National product at . PPa a PART.A
.PPaa
. Income (c) Per capita Incomewww(d). Salary.
(a) National Income w w ww factor cost is also known as

2. Primary sectorw w…………………..

is
(b) Domestic
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(a) Industry (b) Trade (c) Agriculture (d) Construction.
3. National income is measured by using ……….. methods.
(a) Two
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lal ai.i. l l i
a .i.
4. Income method is measured by summing up of all forms of ……………
a l a
l i
a
assaa5.Which ssaa ssaa
(a) Revenue (b) Taxes (c) expenditure (d) Income
is the largest figure ?
(b)P a adda a ad
a daa
(a) Disposable income
6. Expenditure method w isw . P
. to estimate national income in …………..
Personal Income (c) NNP
.
(d) GNP
w w P
. P
(a) Construction w w w
sector
used
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w(b) Agricultural Sector (c) Service sector w(d) Banking sector
7. Tertiary sector is also called as ………. sector
(a) Service (b) Income (c) Industrial (d) Production

N N ett N N ett
8. National income is a measure of the ……… performance of an economy.
e e
l l i
a .i.
(a) Industrial
a
(b) Agricultural
l a
l i
a .i. (c) Economic
9. Per capita income is obtained by dividing the National income by ………… l a
l i
(d) Consumption
a
assaa (a) Production
aasaa
s
(b) Population of a country
aadd
10. GNP = ………. + Net factor income from abroad.
aass
(c) Expenditure
aadd
aa (d) GNP

(a) NNP
ww.
(b) NDP P
. P (c) GDP
w
w . P
. P
(d) Personal income
w
www
11. NNP stands for ………. w
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(a) Net National Product (b) National Net product (c) National Net Provident (d) Net National Provident
12. ……… is deducted from gross value to get the net value.
(a) Income (b) Depreciation (c) Expenditure (d) Value of final goods
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13. The financial year in India is ……
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l a
l i
a
14.
.When
i alai .i. from NNP, the net value is ……. lalai
. net factor income from abroad is ldeducted
(a) April 1 to March 31 (b) March 1 to April 30 (c) March 1 to March 16 (d) January 1 to December 31

assaa (a)(c)Gross National Product

Net Domestic Product a d
ad a assaa Income
(b) Disposable
aad daasaa
s
ww . P
. P (d) Personal Income
15. The value of NNP at production point is called ……
ww . P
. P
w
wwwof the country is ….
16. The average income wwww
(a) NNP at factor cost (b) NNP at market cost (c) GNP at factor cost (d) Per capita income

(a) Personal Income (b) Per capita income (c) Inflation Rate (d) Disposal Income
17. The value of national income adjusted for inflation is called ….
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(a) Inflation Rate (b) Disposal Income
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(c) GNP
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(d) Real national income

l l i
a .i.
18. Which is a flow concept ?
a l a
lai.i. l a
l i
a
assaa aa aa
(a) Number of shirts (b) Total wealth c) Monthly income
(d) Money supply
19. PQLI is the indicator of ………………
dda a ss d daass
(a) Economic growth
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.national income comes from ……. www. . PP aa
w
(c) Economic progress
w w (d) Economic development

(a) Private sectorwwb)wLocal sector (c) Public sector ww

20. The largest proportion of w
(d) None of the above

N Neett N Ne e tt
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l i
a .i. l a
l i
a
assaa dda as saa
daassaa
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N.M.SAMINATHAN , LECTURER ,

Neett N Neett
SRI.N.K.C.GIRLS HIGHER SECONDARY SCHOOL, KURUSUKUPPAM, PUDUCHERRY.12
N
lalai .i. l a
l i
a .i. l a
l i
a
assaaLESSON.3 aad aassaa
PART.A
d aaddaassaa
1. Every able bodied person who is willing to work at the prevailing wage rate is employed
called as ……….
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. P w
w .P.P
w
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(a) Full employment (b) Under employment (c) Unemployment (d) Employment opportunity
2. Structural unemployment is a feature in a ………..
(a) Static society (b) Socialist society (c) Dynamic society (d) Mixed economy
3. In disguised unemployment, the marginal productivity of labour is …..
(a) Zero b) One (c) Two (d) Positive

Nett
e N Neett
4. The main concention of the Classical Economic Theory is ……..
N
la ai.i.
(a) Under employment
l l a
l i
a .i. l a
l i
a
(b) Economy is always in the state of equilibrium

assaa s aa
s s aa
s
(c) Demand creates its supply (d) Imperfect competition
5. J.B. Say is a …………………….
aaddaa ad
a a
d a
w . P
.P ww. P
. P
(a) Neo Classical Economist (b) Classical Economist (c) Modern Economist (d) New Economist
w
6. According to Keynes, which type of unemployment prevails in capitalist economy ?
(a) Full employment w
www
(c) Involuntary unemployment
w
www
(b) Voluntary unemployment
(d) Under employment
7. The core of the classical theory of employment is …………
(a) Law of Diminishing Return (b) Law of Demand

N Neett
(c) Law of Markets
8. Keynes attributes unemployment to …………..
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(d) Law of Consumption
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l a
l i
a .i.
(a) A lack of effective supply
l a
l i
a .i. l a
l i
a
(b) A lock of effective demand

assaa saa
s ssaa
(c) A lack of both (d) None of the above

aaddaa
9. ………. Flexibility brings equality between saving and investment.
aaddaa
(a) Demand
. P
. P
(b) Supply
ww
(c) Capital
w
w . P
. P d) Interest
10. …………… theory is a turning point in the development of modern economic theory.
(a) Keynes’ w
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(c) Classical
11. The basic concept used in Keynes Theory of Employment and Income is…………….
(d) Employment

(a) Aggregate demand (b)Aggregate supply

(c) Effective demand (d) Marginal Propensity Consume

N N ett
12. The component of aggregate demand is ………….
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l a i
a .i.
13. Aggregate supply is equal to ………….
l l a
lai .i.
(a) Personal demand (b) Government expenditure (c) Only export

l a
l i
a
(d) Only import

assaa ssaa saa

s
(a) C + I + G (b) C + S + G + (x-m) (c) C + S + T + (x-m) (d) C + S + T + Rf

ad
adaa
14. Keynes theory pursues to replace laissez faire by …………
aaddaa
ww. P
(a) No government intervention
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(c) State intervention in certain situation
w
w . P
. P
(b) Maximum intervention
(d) Private sector intervention

(a) Less production

w
www (b) More demand
w
www
15. In Keynes theory of employment and income, ………….. is the basic cause of economic depression.

(c) Inelastic supply (d) Less aggregate demand in relation to productive capacity.
15. Classical theory advocates ……

N eett
(a) Balanced budget (b) Unbalanced budget
17. Keynes theory emphasized on …… equilibrium.
N N Neett (c) Surplus budget (d) Deficit budget

l a
l i
a .i.
(a) Very short run (b) Short run
l a
lai.i. (c) Very long run
l a
l i
a (d) Long run

assaa saa s aa
18. According to classical theory, rate of interest is a reward for ……
(a) Investment
dd
(b) Demandaa s d
(c) Capital a
d a s (d) Saving

P aa P aa
19. In Keynes theory , the demand for and supply of money are determined by ….
. . P . . P
w
w
(a) Rate of interest (b) Effective demand
w w w
w
(c) Aggregate demand d) Aggregate supply

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(a) Induced price mechanism
(c) Induced demand
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20. Say’s law stressed the operation of …………. in the economy.
(b) Automatic price mechanism
(d) Induced investment

N Neett N Ne e tt
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l i
a .i. l a
l i
a
assaa dda as saa
daassaa
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N.M.SAMINATHAN , LECTURER ,

N Neett N Ne ett
SRI.N.K.C.GIRLS HIGHER SECONDARY SCHOOL, KURUSUKUPPAM, PUDUCHERRY.12

lal a i .
i
LESSON.4 . PART.A
l a
l i
a .i . l a
l i
a
assaaa)2. The
1.
C/Y
average propensity to consume is measureda
b) C X Y
a ad d
c) Y/Ca a ss a d) C+Y
by

aa dda s
a aa
s
. PP
. steeper b) Shift the consumptionwfunction
An increase in the marginal propensity
w w
to consume will:
w w.P P
. upwards
w
c) Shift the consumption w w downwards
a) Lead to consumption function
w function
becoming
d) Shift savingsw
w w upwards
function
3. If the Keynesian consumption function is C=10+0.8 Y then, if disposable income is Rs 1000,
what is amount of total consumption?

N Nett
a) Rs 0.8
e
b) Rs 800 c) Rs 810

N Neett d) Rs 0.81
4. If the Keynesian consumption function is C=10+0.8Y then, when disposable income is Rs 100,

lalai.i. l a
l
what is the marginal propensity to consume?i
a .i. l a
l i
a
assaa s aa
s s aa
s
a) Rs 0.8 b) Rs 800 c) Rs 810 d)Rs 0.81

aaddaa ad
a a
d a
5. If the Keynesian consumption function is C=10+0.8 Y then, and disposable income is Rs.100,

w
w . P
.P
what is the average propensity to consume?
ww. P
. P
a) Rs 0.8 b)Rs 800
w
www
6. As national income increases
c)Rs 810
w
www
d)Rs 0.9

a) The APC falls and gets nearer in value to the MPC. c) The APC stays constant
b) The APC increases and diverges in value from the MPC. d) The APC always approaches infinity.
7. As increase in consumption at any given level of income is likely to lead

Neett N Neett
a)Higher aggregate demand b)An increase in exports c)A fall in taxation revenue d) A decrease in import spending
N
l a
l i
a .i.
8. Lower interest rates are likely to :
l a
l i
a .i. l a
l i
a
assaa saa s aa
a) Decrease in consumption b) increase cost of borrowing
c) Encourage saving
ddaa s ddaa s
d) increase borrowing and spending
9. The MPC is equal to :
. P
. Paa . P
. Paa
ww
a) Total spending / total consumption
w w
w
b) Total consumption/total income
w
www
c) Change in consumption /change in income
www
d) none of the above.
10. The relationship between total spending on consumption and the total income is the ----
a) Consumption function b) Savings function
c) Investment function d) aggregate demand function
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11. The sum of the MPC and MPS is _______
N N N Neett
l a
l i
a .i.
a)1 b) 2
l a
lai .i.
c) 0.1 d) 1.1
l a
l i
a
assaa aa aa
12. As income increases, consumption will _________
a)fall
ddaass
b) not change
ddaa
c) fluctuatess d) increase

. P
. Paa . P
. Paa
13. When investment is assumed autonomous the slope of the AD schedule is determined by the _____
ww
a) marginal propensity to invest
w w w
w b) disposable income
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c) marginal propensity to consume
www d) average propensity to consume
14. The multiplier tells us how much __________ changes after a shift in _____
a) Consumption , income b) investment, output c) savings, investment d) output, aggregate demand
15. The multiplier is calculated as

N Ne e tt
a) 1/(1-MPC) b) 1/MPS c) 1/MPC
N N ee tt d) a and b

l a
l ai .i.
16. It the MPC is 0.5, the multiplier is ____________
l a
lai.i. l a
l i
a
assaa17.a)InReduces aaof the multiplier aa
a) 2 b)1/2 c) 0.2 d) 20
an open economy import _________ the s s s s
b) increased
a a da a value
c) does not change d) changes d
a a a
d a
w . P
.
18. According to Keynes, investment
b)w
Pis a function of the MEC and _____
w w . P
. P
a) Demand
wwww Supply
19. The term super multiplier was first used by
c) Income
w
www
d) Rate of interest

a) J.R.Hicks b) R.G.D. Allen c) Kahn d) Keynes

20. The term MEC was introduced by

N Neett
a) Adam Smith b) J.M. Keynes c) Ricardo

N Ne e tt
d) Malthus

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l i
a .i. l a
l i
a
assaa dda as saa
daassaa
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N.M.SAMINATHAN , LECTURER ,

NN ee tt N Ne ett
SRI.N.K.C.GIRLS HIGHER SECONDARY SCHOOL, KURUSUKUPPAM, PUDUCHERRY.12

lal ai .i.RBI Headquarters is located at

LESSON .5
l a
l i
a .i. l a
l i
a
assaa(a)2. Money s saa ssaa
1 . The
(c)a a aa
Delhi (b) Chennai
P P a ad d Mumbai (d) Bengaluru
P Pa add
is
(a) acceptable only when itw w . .intrinsic value ww . . power
(c) the most liquid w ofww
allw
has
assets w
(d) needed for w w w of resources
(b) constant in purchasing
allocation
3. Paper currency system is managed by the
(a) Central Monetary authority (b) State Government (c) Central Government (d) Banks

N Nett
e N Ne
4. The basic distinction between M1 and M2 is with regard to .
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lalai.i.
(a) post office deposits (b) time deposits of banks
l a
l ai .i.
5. Irving Fisher’s Quantity Theory of Money was popularized in l l i
(c) saving deposits of banks (d) currency
a a
assaa (a) 1908 (b) 1910
aadd a as saa
(c) 1911 (d) 1914.
ad
a a
d s
a aa
s
6 MV stands for
(
w
w . P
.P ww. P
. P
a) demand for money (b) supply of legal tender money (c) Supply of bank money (d) Total supply of money
7. Inflation means
www
(a) Prices are rising
w (b) Prices are falling
w
www
(c) Value of money is increasing (d) Prices are remaining the same
8. _________ inflation results in a serious depreciation of the value of money.

N Neett
(a) Creeping (b) Walking
N eett
(c) running
N
(d) Hyper

l a
l i
a .i. l a
l i
a .i. l a
l i
a
9. __________inflation occurs when general prices of commodities increases due to increase in

assaa saa
s ssaa
production costs such as wages and raw materials.
(a) Cost-push
a ddaa
(b) demand pull
a (c) running
aaddaa (d) galloping

ww. P
. P
10. During inflation, who are the gainers?
w
w . P
. P
(a) Debtors
w
www
(b) Creditors
w
www
c) Wage and salary earners
11. ___________ is a decrease in the rate of inflation.
(d) Government

(a) Disinflation (b) Deflation (c) Stagflation (d) Depression

12. Stagflation combines the rate of inflation with

N Neett
(a) Stagnation (b) employment
N Neett
(c) output (d) price

l a
l i
a .i. l a
lai .i. l a
l i
13. The study of alternating fluctuations in business activity is referred to in Economics as
a
assaa aa aa
(a) Boom (b) Recession (c) Recovery (d) Trade cycle

ddaass d
14. During depression the level of economic activity becomes extremely
daass
(a) high
P Paa
(b) bad
. . (c) low
. P
. Paa (d) good

www w w
w
15. “Money can be anything that is generally acceptable as a means of exchange and that

(a) Crowther
www (b) A.C.Pigou
www
the same time acts as a measure and a store of value”, This definition was given by
(c) F.A.Walker (d) Francis Bacon
16. Debit card is an example of

N Neett
(a) currency (b) paper currency
N N e ett
(c) plastic money (d) money
17. Fisher’s Quantity Theory of money is based on the essential function of money as
l a
l i
a .i. l a
lai.i.
(a) measure of value (b) store of valu (c) medium of exchange (d) standard of deferred payment
l a
l i
a
assaa(a) Volume of trade
18. V in MV = PT equation stands for
a a ddaass a a
(b) Velocity of circulation of money
ad
a a
d s
a a
s a
(c) Volume of transaction
ww .P. P (d) Volume of bank and credit money
ww . P
. P
w
www (b) mild inflation (c) hyper inflation
19. When prices rise slowly,
(a) galloping inflation
we call it w
www (d) deflation
20. __________ inflation is in no way dangerous to the economy.
(a) walking (b) running (c) creeping (d) galloping

N Neett N Ne e tt
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l i
a .i. l a
l i
a
assaa dda as saa
daassaa
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N.M.SAMINATHAN , LECTURER ,

Nee tt N Neett
SRI.N.K.C.GIRLS HIGHER SECONDARY SCHOOL, KURUSUKUPPAM, PUDUCHERRY.12
N
lal a i .i.
LESSON .6
l a
l ai .i. l a
l i
a
assaa1.a) AFinancial
Bank is a
a ad daa ssaa
d) Service institutions a d
a a
d s
a aa
s
2. A Commercial Bank is an w w . PP
institution b) Corporate c) An Industry
. that provides services
institutions ww .P.P
a) Accepting deposits www wb) Providing loans w
wwNone of the above
c) Both a and b w d)
3. The Functions of commercial banks are broadly classified into
a) Primary Functions b) Secondary functions c) Other functions d) a, b, and c

N Nett
4. Bank credit refers to
e
a) Bank Loans
N Neett
lalai.i.
5. Credit creation means.
b) Advances c) Bank loans and advances
l a
l ai .i. d) Borrowings
l a
l i
a
assaa a) Multiplication of loans and advances
6. NBFI does not have.
aa d da a s saa
b) Revenue c) Expenditure d) Debt
a ad daas s aa
w w
a) Banking license b) government . P
.P
approval c) Money market approval d)
w
Finance
w . P
. P
ministry approval

a) Monetary b) w
w
ww c) Wage
7. Central bank is ---------------
Fiscal
authority of any country.
d) National Incomewww w
8 Who will act as the banker to the Government of India?
a) SBI b) NABARD c) ICICI d) RBI
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9. Lender of the last resort is one of the functions of.
N N N Ne ett
l a
l i
a .i.
a) Central Bank b) Commercial banks
l l i
a .i.
c) Land Development Banks d) Co-operative
a l a
l i
a
assaa ssaa ssaa
banks
10. Bank Rate means.
a add a a a ad da a
. P
. P
a) Re-discounting the first class securities
w w
b) Interest rate c) Exchange rate
w w . P
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d) Growth
11. Repo Rate means.
a) Rate at which thew w
ww Banks are willing to lend to RBI c) Exchange
Commercial www w rate of the foreign bank
b) Rate at which the RBI is willing to lend to commercial banks d) Growth rate of the economy rate
12. Moral suasion refers.

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a) Optimization b) Maximization
13. ARDC started functioning from
N Neett
c) Persuasion d) Minimization

l a
l i
a .i.
a) June 3, 1963 b) July 3, 1963
l a
lai .i.
c) June 1, 1963
l a
l i
a
d) July 1, 1963

assaa 14. NABARD was set up in.

a) July 1962
ad
a
b) July 1972daassaa c) July 1982
aaddaasaa
s
d) July 1992

ww. P
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15. EXIM bank was established in.
w
w . P
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a) June 1982 w
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b) April 1982 c) May 1982
16. The State Financial Corporation Act was passed by
w
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a) Government of India b) Government of Tamilnadu

c) Government of Union Territories d) Local Government.
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17. Monetary policy his formulated by.
N N N Neett
l a
l i
a .i.
a) Co-operative banks
l a
lai.i.
b)Commercial banks c) Central Bank
l a
l i
a d) Foreign banks

assaa saa
s s aa
s
18. Online Banking is also known as.
a) E-Banking
ddaa
b) Internet Banking
aa c) RTGS
d a
d
d) NEFT
aa a
19. Expansions of ATM.
w
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w. P
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w
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a) Automated Teller Machine
c) Automatic Teller mechanism w
www
b) Adjustment Teller Machine
d) Any Time Money
20. 2016 Demonetization of currency includes denominations of
a) Rs. 500 and Rs.1000 b) Rs. 1000 and Rs.2000 c) Rs.200 and Rs.500 d) All the above

N Neett N Ne e tt
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a
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N Neett N Neett
SRI.N.K.C.GIRLS HIGHER SECONDARY SCHOOL, KURUSUKUPPAM, PUDUCHERRY.1

lalai .i.
LESSONM.7
l a
l i
a .i. l a
l i
a
assaa aa aa
1. Trade between two countries is known as ………….trade

ddaass
a) External b) Internal c) Inter-regional d) Home
ddaass
. . Paa
2. Which of the following factors influence trade?
P .P.Paa
www w w
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a) The stage of development of a product b) The relative price of factors of productions.

www www
c) Government. d) All of the above.
3. International trade differs from domestic trade because of
a) Trade restrictions b) Immobility of factors c) Different government policies d) All the above
4. In general, a primary reason why nations conduct international trade is because
a) Some nations prefer to produce one thing while others produce another

N Nett
e N Neett
b) Resources are not equally distributed among all trading nations

lalai.i. l l i
a .i.
c) Trade enhances opportunities to accumulate profits
a l a
l i
a
assaa aa aa
d) Interest rates are not identical in all trading nations

ddas
a s
5. Which of the following is a modern theory of international trade?
d a
d s
a s
a) absolute cost
. P
.Paa . P
. Paa
b) comparative cost c) Factor endowment theory d) none of these

w w
6. Exchange rates are determined in
w www
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a) money market b) foreign exchange market c) stock market d) capital market
7. Exchange rate for currencies is determined by supply and demand under the system of
a) Fixed exchange rate b) Flexible exchange rate c) Constant d) Government regulated
8. Net export equals ……
a) Export x Import b) Export + Import c) Export – Import d) Exports of services only

Neett N Neett
9. Who among the following enunciated the concept of single factoral terms of trade?
N
l a
l i
a .i.
a) Jacob Viner b) G.S.Donens
l a
l i
a .i. c) Taussig
l a
l i
d) J.S.Mill
a
assaa aasaa
s
10.Terms of Trade of a country show ……………
aadd
a) Ratio of goods exported and imported
aaddaassaa
c) Ratio of prices of exports and imports

w . P
.
b) Ratio of import duties
w P w . P
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d) Both (a) and (c
w
w
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11. Favourable trade means value of exports are ……. Than that of imports.
a) More b) Less c) More or Less d) Not more than
12. If there is an imbalance in the trade balance (more imports than exports), it can be reduced by
a) decreasing customs duties b) increasing export duties c) stimulating exports d) stimulating imports
13. BOP includes

Neett N Neett
a) visible items only b) invisible items only c) both visible and invisible items d) merchandise trade only
N
l l i
a .i. l lai .i.
14. Components of balance of payments of a country includes
a a l a
l i
a
assaa aa aa
a) Current account b) Official account c) Capital account d) All of above
15. In the case of BOT,
ddaass ddaass
. . Paa
a) Transactions of goods are recorded.
P . P
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b) Transactions of both goods and services are recorded.

www w w
c) Both capital and financial accounts are included. d) All of these
w
www www
16. Tourism and travel are classified in which of balance of payments accounts?
a)merchandise trade account b) services account c)unilateral transfers account d) capital account
17. Cyclical disequilibrium in BOP occurs because of
a) Different paths of business cycle.b) The income elasticity of demand or price elasticity of demand is different.
c) long-run changes in an economy d) Both (a) and (b).

Neett N Neett
18. Which of the following is not an example of foreign direct investment?
N
l a
l i
a .i. l a
lai.i. l a
l i
a) the construction of a new auto assembly plant overseas b) the acquisition of an existing steel mill overseas
a
assaa aa aa
c) the purchase of bonds or stock issued by a textile company overseas

ddaass
d) the creation of a wholly owned business firm overseas
d a
d s
a s
a) Banking
. . aa
19. Foreign direct investments not permitted in India
P P
b) Automic energy c) Pharmaceutical
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w w
w w w
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www www
20 Benefits of FDI include, theoretically
a) Boost in Economic Growth b) Increase in the import and export of goods and services
c) Increased employment and skill levels d) All of these

N Neett N Ne e tt
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a
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N Neett N Neett
SRI.N.K.C.GIRLS HIGHER SECONDARY SCHOOL, KURUSUKUPPAM, PUDUCHERRY.1

lalai .i.
LESSON.8
l a
l i
a .i. l a
l i
a
assaa ssaa ssaa
1. International Monetary Fund was an outcome of

aaddaa
a) Pandung Conference b) Dunkel Draft
aaddaa
ww. P
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c) Bretton Woods Conference d) Doha Conference
w
w .P.P
w
www w
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2. International Monetary Fund is having its headquarters at
a) Washington D.C. b) New York c) Vienna d) Geneva
3. IBRD is otherwise called
a) IMF b) World Bank c) ASEAN d) International Finance Corporation

N N tt
4. The other name for Special Drawing Rights is
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lalai.i. l l i
a .i.
a) Paper gold b) Quotas c) Voluntary Export Restrictions d) None of these
a l a
l i
a
assaa aa aa
5. The organization which provides long term loan is

ddas
a s d a
d s
a s
a) World Bank b) International Monetary Fund c) World Trade Organisation d) BRICS

. P
.Paa P
6. Which of the following countries is not a member of SAARC?
. . Paa
w
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a) Sri Lanka b) Japan c) Bangladesh d) Afghanistan
w www
www www
7. International Development Association is an affiliate of
a) IMF b) World Bank c) SAARC d) ASEAN
8. ---------- relates to patents, copyrights, trade secrets, etc.,

N Neett
a) TRIPS b) TRIMS c) GATS d) NAMA

N Neett
9. The first ministerial meeting of WTO was held at
l a
l i
a .i. l a
l i
a
a) Singapore b) Geneva c) Seattle d) Doha .i. l a
l i
a
assaa a) 2 b) 3 c) 4 d) 5
aaddaasaa
s
10. ASEAN meetings are held once in every __________ years
aaddaassaa
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. P
11. Which of the following is not the member of SAARC?
w w
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w
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a) Pakistan b) Sri Lanka c) Bhutan d) China
12. SAARC meets once in ----------- years.
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a) 2 b) 3 c) 4 d) 5
13. The headquarters of ASEAN is
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a) Jaharta b) New Delhi c) Colombo d) Tokyo
N N N Neett
l l i
a .i.
14. The term BRIC was coined in
a l a
lai .i. l a
l i
a
assaa s aa saa
a) 2001 b) 2005 c) 2008 d) 2010
15. ASEAN was created in
ddaa s ddaa s
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. Paa
a) 1965 b) 1967 c) 1972 d) 1997
. P
. Paa
www w w
w
www www
16. The Tenth BRICS Summit was held in July 2018 at
a) Beijing b) Moscow c) Johannesburg d) Brasilia
17. New Development Bank is associated with
a) BRICS b) WTO c) SAARC d) ASEAN

N N ett N N ett
18. Which of the following does not come under ‘Six dialogue partners’ of ASEAN?
e e
l l i
a .i.
a) China b) Japan c) India d) North Korea
a l a
lai.i. l a
l i
a
assaa aa aa
19. SAARC Agricultural Information Centre (SAIC) works as a central information institution for

ddaass
agriculture related resources was founded on
d a
d s
a s
P aa
a) 1985 b) 1988 c) 1992 d)1998
. . P . P
. Paa
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20. BENELUX is a form of
w w w
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a) Free trade area b) Economic Union c) Common market d) Customs union

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a
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N Neett N Neett
SRI.N.K.C.GIRLS HIGHER SECONDARY SCHOOL, KURUSUKUPPAM, PUDUCHERRY.1

lalai .i.
LESSON.9
l a
l i
a .i. l a
l i
a
assaa s aa s aa
1. The modern state is

ddaa s ddaa s
a) Laissez-faire state b) Aristocratic state c) Welfare state d) Police state

. P Paa
2. One of the following is NOT a feature of private finance
. .P.Paa
ww
a) Balancing of income and expenditure
w w
w
b) Secrecy
w
www
c) Saving some part of income
3. The tax possesses the following characteristics www
d) Publicity

a) Compulsory b) No quid pro quo c) Failure to pay is offence d) All the above
4. Which of the following canons of taxation was not listed by Adam smith?

Nett
e N Neett
a) Canon of equality b) Canon of certainty c) Canon of convenience d) Canon of simplicity
N
lalai.i. l l i
a .i.
5. Consider the following statements and identify the correct ones.
a l a
l i
a
assaa aa aa
i. Central government does not have exclusive power to impose tax which is not mentioned in
state or concurrent list.
ddas
a s d a
d s
a s
. P
.Paa . P
. Paa
ii. The Constitution also provides for transferring certain tax revenues from union list to states.
a) i only
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b) ii only
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c) both
wwwd) none

a) Sales tax www

6. GST is equivalence of
b) Corporation tax www
c) Income tax d) Local tax
7. The direct tax has the following merits except
a) equity b) convenient c) certainty d) civic consciousness

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8. Which of the following is a direct tax?
N N N Neett
l l i
a .i.
a) Excise duty
a
b) Income tax
l a
l i
a .i. c) Customs duty
l a
l i
d) Service tax
a
assaa aa aa
9. Which of the following is not a tax under Union list?
a) Personal Income Tax
ddaass ddaass
b) Corporation Tax c) Agricultural Income Tax d) Excise duty

. . Paa
10. “Revenue Receipts” of the Government do not include
P . P
. Paa
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a) Interest b) Profits and dividents c) Recoveries and loans d) Rent from property

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11. The difference between revenue expenditure and revenue receipts is
a. Revenue deficit b. Fiscal deficit c. Budget deficit d. Primary deficit
12. The difference between total expenditure and total receipts including loans and other liabilities is -----
a. Fiscal deficit b. Budget deficit c. Primary deficit d. Revenue deficit

N Neett
13.The primary purpose of deficit financing is
N Neett
l a
l i
a .i. l a
lai .i. l a
l i
a) Economic development b) Economic stability c) Economic equality d) Employment generation
a
assaa aa aa
14. Deficit budget means

a ss
a) An excess of government’s revenue over expenditure
dd a ddaass
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. Paa . P
. Paa
b) An excess of government’s current expenditure over its current revenue
c) An excess of government’s total expenditure over its total revenue
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w d) None of above

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15. Methods of repayment of public debt is
a) Conversion b) Sinking fund www
c) Funded debt
16. Conversion of public debt means exchange of
d) All these

a) new bonds for the old ones b) low interest bonds for higher interest bonds

N Neett
c) Long term bonds for short term bonds
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d) All the above
17. The word budget has been derived from the French word “bougette” which means
l a
l i
a .i.
a) A small bag
l a
lai.i.
b) An empty box c) A box with papers
l a
l i
a
d) None of the above

assaa aadda saa

s
a) Revenue deficit b) Budgetary deficit c) Fiscal deficit
ad
a a
d s
a aa
s
18. Which one of the following deficits does not consider borrowing as a receipt?
a d) Primary deficit

w
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19. Finance Commission determines
w
w. P
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w
www
a) The finances of Government of India
c) The resources transfer to the various departments w
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b) The resources transfer to the states
d) None of the above
20. Consider the following statements and identify the right ones. i. The finance commission is appointed
by the President ii. The tenure of Finance commission is five years

N Neett
a) i only b) ii only c) both

N Ne e tt
d) none

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a
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N Neett N Neett
SRI.N.K.C.GIRLS HIGHER SECONDARY SCHOOL, KURUSUKUPPAM, PUDUCHERRY.1

la ai .i.
LN.10
l l a
l i
a .i. l a
l i
a
assaa ssaa ssaa
1. The term environment has been derived from a French word-----------.
a. Environ b. Environs
aaddaa c. Environia
aadda
d. Envira
ww. P
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2. The word biotic means environment
w
w .P.P
a. living w
www
b. non-living
3. Ecosystem is smallest unit of
c. physical w
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a. Ionosphere b. Lithosphere c. Biosphere d. Mesosphere

4. Who developed Material Balance Models?
N Nett
e
a. Thomas and Picardy
N Neett
b. AlenKneese and R.V. Ayres
lalai.i.
c. Joan Robinson and J.M. Keynes
l a
l i
a .i. l a
l i
a
d. Joseph Stiglitz and Edward Chamberlin
assaa a. Market goods aaddas
a aa
s
5. Environmental goods are --------------
b. Non-market goods ad
a
c. Both a
d s
a aa
s d. None of the above
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6. In a pure public good, consumption is -----------------
ww. P
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a. Rival w
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b. Non-rival c. Both w
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7. One of the most important market failures is caused by ------------
a. Positive externalities b. Negative externalities c. Both d. None of the above

N N ett N N ett
8. The common source of outdoor air pollution is caused by combustion processes from the
e e
l l i
a .i.
following-------
a l al i
a .i. l a
l i
a
assaa aa aa
a. Heating and cooking b. Traditional stoves c. Motor vehicles d. All the above
d d aa
9. The major contributor of Carbon monoxide isss d d aass
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. Pa a . P
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a. Automobiles b. Industrial process c. Stationary fuel combustion d. None of the above a a
w w w w
10. Which one of the following causes of global warming?
w w w w
w w
a. Earth gravitation force b. Oxygen c. Centripetal force ww
d. Increasing temperature
11. Which of the following is responsible for protecting humans from harmful ultraviolet rays?
a. UV-A b. UV-C c. Ozone layer d. None of the above

N Neett
12. Global warming also refers to as
N Neett
l l i
a .i.
a. Ecological change
a l a
lai .i.
b. Climate Change c. Atmosphere change
l a
l i
a
d. None of the above

assaa aa aa
13. Which of the following is the anticipated effect of Global warming?
a. Rising sea levels
d aass
b. Changing precipitation
d d aass
c. Expansion of deserts d. All of the above
d
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. Paa
14. The process of nutrient enrichment is termed as
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a. Eutrophication
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w
c. Enrichment
w d. Schistosomiasis
www
a. Pest control measures b. Land reclamation
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15. Primary cause of Soil pollution is ----------------
c. Agricultural runoff d. Chemical
fertilizer

N Neett N Neett
16. Which of the following is main cause for deforestation?
a. Timber harvesting industry b. Natural afforestation c. Soil stabilization d. Climate stabilization
l a
l i
a .i. l a
lai.i.
17. Electronic waste is commonly referred as ----------
l a
l i
a
assaa a. solid waste
aaddaasaa
s
b. composite waste c. e-waste
ad
a a
d
18. Acid rain is one of the consequences of ------------Air pollution
s
a aa
s d. hospital waste

a. Water Pollution
w
w .P. P
b. Land pollution
w
w. P
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c. Noise pollution
w
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19. Sustainable Development Goals and targets are to be achieved by -------
a. 2020 b. 2025 c. 2030 d. 2050
20. Alkali soils are predominantly located in the ------------ plains?
a. Indus-Ganga b. North-Indian c. Gangetic plains d. All the above

N Neett N Ne e tt
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a
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N Neett N Neett
SRI.N.K.C.GIRLS HIGHER SECONDARY SCHOOL, KURUSUKUPPAM, PUDUCHERRY.1

lalai .i.
LESSON.11
l a
l ai .i. l a
l i
a
assaa s saa s s aa
1. "Redistribution with Growth" became popular sloga]er which approach?

aa dda a d
a) Traditional approach b) New welfare oriented approach c) Industrial approach d) None of the above
a a d a a
a) Concerned with developed w w . P P
. b) Gradual change c) Concerned with quantitative
2. Which is not the feature of economic growth?
w w . P P
. d) Wider concept
3. Which among thew w w w is a characteristic of underdevelopment? www
nations
following w aspect

a) Vicious circle of poverty b) Rising mass consumption c) Growth of Industries d) High rate of urbanization
4. The non-economic determinant of economic development

N N e tt N N ett
a) Natural resources b) Human resource c) Capital formation d) Foreign trade
e e
lal a .i.
5. Economic growth measures the ------- --------
i l a
l i
a .i.
a) Growth of productivity b) Increase in nominal income c) Increase in output d) None of the above
l a
l i
a
assaaa) Saving remains low b) Investment remains a as saa
6. The supply side vicious circle of poverty suggests that poor nations remain poor because
a a ddlow c) There is a lack of effective government d) a andd
a a a
bd as s
above
aa
7. Which of the following plan .
w w P
.
hasPfocused on the agriculture and rural economy? .P
ww . P
8. Arrange followingww ww
a) People’s Plan b) Bombay Plan c) Gandhian Plan
plans in correct chronological order
d) Vishveshwarya
wwww
Plan

a) People’s Plan b) Bombay Plan c) Jawaharlal Nehru Plan d) Vishveshwarya Plan

Answer choices

Neett N Neett
a) (i) (ii) (iii) (iv) b) (iv) (iii) (ii) (i) c) (i) (ii) (iv) (iii) d) (ii) (i) (iv) (iii)
N
l a
l i
a .i. l a
l i
a .i.
9. M.N. Roy was associated with --------- ------------
l a
l i
a
assaa saa s aa
a) Congress Plan b) People’s Plan c) Bombay Plan d) None of the above
ddaa s
10. Which of the following country adopts indicative planning?
ddaa s
. P
. Paa
a) France b) Germany c) Italy d) Russia
. P
. Paa
www w w
w
www www
11. Short-term plan is also known as----- --------------
a) Controlling Plans b) De-controlling Plans c) Rolling Plans d) De-rolling Plans
12. Long-term plan is also known as ----- ----------------
a) Progressive Plans b) Non-progressive Plans c) Perspective Plans d) Non-perspective Plans

N Neett N Neett
13. The basic philosophy behind long-term planning is to bring------------ changes in the economy?

l a
l i
a .i. l lai .i.
a) Financial b) Agricultural c) Industrial d) Structural
a l a
l i
a
assaa aa aa
14. Sarvodaya Plan was advocated by----- -------------

d aass
a) Mahatma Gandhi b) J.P. Narayan c) S. N Agarwal d) M.N. Roy
d ddaass
. P
. Paa
15. Planning Commission was set up in the year ---------------
. P
. Paa
ww
a) 1950 b) 1951 c) 1947 d) 1948 e) Gandhian Plan
w w w
w
www
16. Who wrote the book ‘The Road to Serfdom’?
www
a) Friedrich Hayek b) H.R. Hicks c) David Ricardo d) Thomas Robert Malthus
17. Perspective plan is also known as ----

N Neett N Neett
a) Short-term plan b) Medium-term plan c) Long-term plan d) None of the above
18. NITI Aayog is formed through------------------------
l a
l i
a .i. l a
lai.i. l a
l i
a
a) Presidential Ordinance b) Allocation of business rules by President of India

assaa 19. Expansion of NITI Aayog?

aaddaasaa
s
c) Cabinet resolution d) None of the above
ad
a a
d s
a aa
s
w .P. P
a) National Institute to Transform India
w w
w. P
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b) National Institute for Transforming India
w
www
c) National Institution to Transform India
20. The Chair Person of NITI Aayog is
w
www d) National Institution for Transforming India

a) Prime Minister b) President c) Vice – President d) Finance Minister

N Neett N Ne e tt
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a
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daassaa
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N Neett N Nee tt
SRI.N.K.C.GIRLS HIGHER SECONDARY SCHOOL, KURUSUKUPPAM, PUDUCHERRY.1

lalai .i.
LESSONN.12
l a
l ai .i. l a
l i
a
assaa aa aa
1. The word ‘statistics’ is used as __________.
(a) Singular. (b) Plural
d d a as s
(c) Singular and Plural. (d) None of above.
d da as s
. P
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2. Who stated that statistics as a science of estimates and probabilities.
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4. The data collected by questionnaires are_____________.

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(a) Primary data. (b) Secondary data. (c) Published data. (d) Grouped data.
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9. The term regression was used by:
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10. The purpose of simple linear regression analysis is to:

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12. If Y = 2 - 0.2X, then the value of Y intercept is equal to

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13. In the regression equation Y = β0+β1X, the Y is called:

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15. Econometrics is the integration of
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(c) Economics, Mathematics and Statistics (d) None of the above

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16 . Econometric is the word coined by
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(c) Karl Person (d) Spearsman
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20. Econometrics is the amalgamation of
(a) 3 subjects (b) 4 subjects (c) 2 subjects (d) 5 subjects

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