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Inflation: Problem and Policies
- Online Test
Inflation: Problem and Policies
TEST : 3
# Inflation: Problem and Policies
# CBSE 11th Economics
Prepare / Learn
Q1.
The inflation rate is the
A.
Percent increase in the average level of prices over a year
B.
Percent increase in output over a year.
C.
Price level divided by the level of output.
D.
Percent increase in the unemployment rate over a year.
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Answer :
Option A
Explaination / Solution:
No Explaination.
# Inflation: Problem and Policies
# CBSE 11th Economics
Prepare / Learn
Q2.
To check rise in prices or inflation following measures are suggested except
A.
Moral degradation
B.
Increase in agriculture production
C.
Less deficit financing
D.
Checking black money
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Answer :
Option A
Explaination / Solution:
No Explaination.
# Inflation: Problem and Policies
# CBSE 11th Economics
Prepare / Learn
Q3.
Printing new notes, huge rise in consumer’s spending due to growing population is an example of
A.
Both
B.
Demand-pull
C.
Cost-push
D.
None
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Answer :
Option B
Explaination / Solution:
No Explaination.
# Inflation: Problem and Policies
# CBSE 11th Economics
Prepare / Learn
Q4.
Indicator which is used to measure inflation in India
A.
WPI
B.
EPI
C.
HPI
D.
DPI
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Answer :
Option A
Explaination / Solution:
No Explaination.
# Inflation: Problem and Policies
# CBSE 11th Economics
Prepare / Learn
Q5.
How is rapidly rising population responsible for prise rise in India
A.
Demand for goods rise steeply
B.
Supply for goods rise steeply
C.
Both
D.
None
View Solution
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Answer :
Option A
Explaination / Solution:
No Explaination.
# Inflation: Problem and Policies
# CBSE 11th Economics
Prepare / Learn
Q6.
Consequences of deficit financing results in
A.
Increase in money demand
B.
Increase in money supply
C.
Decrease in money supply
D.
Decrease in money demand
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Answer :
Option B
Explaination / Solution:
No Explaination.
# Inflation: Problem and Policies
# CBSE 11th Economics
Prepare / Learn
Q7.
Which of the following can start inflation?
A.
A decrease in aggregate supply
B.
An increase in aggregate demand
C.
None
D.
Both
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Answer :
Option D
Explaination / Solution:
No Explaination.
# Inflation: Problem and Policies
# CBSE 11th Economics
Prepare / Learn
Q8.
Demand-pull inflation is an inflation that results from an initial ________.
A.
Increase in aggregate demand
B.
Increase in wage rates
C.
Increase in natural resource prices
D.
Decrease in aggregate demand
View Solution
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Answer :
Option A
Explaination / Solution:
No Explaination.
# Inflation: Problem and Policies
# CBSE 11th Economics
Prepare / Learn
Q9.
Cost-push inflation can start with
A.
A decrease in the quantity of money
B.
A decrease in investment.
C.
An increase in oil prices
D.
An increase in government expenditures.
View Solution
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Answer :
Option C
Explaination / Solution:
No Explaination.
# Inflation: Problem and Policies
# CBSE 11th Economics
Prepare / Learn
Q10.
At the time ho inflation expenditure on defence should be
A.
None of these
B.
No change
C.
Increased
D.
Decreased
View Solution
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Answer :
Option C
Explaination / Solution:
No Explaination.
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