MCQ Economics Class 12 Chapter 4 Determination of Income & Employment

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Macroeconomics

MCQ’s For All Chapters – Macroeconomics Class 12th

1. What is the basic objective of macroeconomics?

Question 1 of 20

2. What does the assumption of ceteris paribus mean?

Question 2 of 20

3. The theoretical model used in this chapter is based on the theory given by whom?

Question 3 of 20

4. What are ex post measures?

Question 4 of 20

5. What do ex ante measures represent?

Question 5 of 20

6. What is the most important determinant of consumption demand?

Question 6 of 20

7. What is autonomous consumption?

Question 7 of 20

8. In the consumption function C = C̄ + cY, what does c represent?

Question 8 of 20

9. What happens to induced consumption when income rises by Re 1?

Question 9 of 20

10. What is the maximum possible value of MPC?

Question 10 of 20

11. What is the relationship between MPS and MPC?

Question 11 of 20

12. What does APC stand for?

Question 12 of 20

13. How is Average Propensity to Save defined?

Question 13 of 20

14. What is investment defined as?

Question 14 of 20

15. Which of the following is an example of physical capital?

Question 15 of 20

16. In the two-sector model, aggregate demand is equal to:

Question 16 of 20

17. What does A represent in the equation Y = A + cY?

Question 17 of 20

18. What is disposable income in the presence of government taxes?

Question 18 of 20

19. Which two fiscal variables affect aggregate demand?

Question 19 of 20

20. Why is the price level assumed to be fixed in the first stage of macroeconomic analysis?

Question 20 of 20


 

 

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