Economic Concepts Related to Banking Mock Test 02

Time Left: 10:00

1. Which component is included in GDP calculation?

a) Illegal activities b) Household production c) Government spending d) Black market transactions

2. Inflation refers to:

a) Increase in the overall price level b) Decrease in money supply c) Increase in employment rate d) Decrease in production

3. Which of the following is NOT a factor of production?

a) Land b) Labor c) Money d) Capital

4. The equilibrium price in a market is determined by:

a) Government policies b) The interaction of supply and demand c) Production costs d) Bank interest rates

5. Which economic system promotes free enterprise and competition?

a) Socialist economy b) Command economy c) Market economy d) Traditional economy

6. Which is a key function of central banks in macroeconomics?

a) Setting individual product prices b) Regulating money supply and inflation c) Controlling private businesses d) Managing government spending

7. Which of the following is an example of fiscal policy?

a) Changing interest rates b) Government taxation and spending c) Printing more money d) Buying and selling government bonds

8. In a mixed economy, who makes economic decisions?

a) Only the government b) Only private businesses c) Both government and private sector d) International institutions

9. Which of the following is a characteristic of a socialist economy?

a) Private ownership of all businesses b) Minimal government intervention c) Equal distribution of wealth d) Free market pricing

10. Which sector contributes the most to India’s GDP?

a) Agriculture b) Industry c) Services d) Manufacturing

Your Results:

For more mock tests (paid), kindly reach us at contact@bankkumar.com

Post navigation