MACRO ECONOMICS ISSUES & POLICIES (MCQS)

S.Y B.COM 

SEMESTER - 4

MID SEMESTER EXAMINATION

MACRO ECONOMICS ISSUES & POLICIES

(MEIP)

MCQS - 2013

(1) M1 does not include which of the following

(A) Time deposit

(B) Currency

(C) Othe deposits

(D) Demand deposit

(2) If Rs 1000 is withdrawn from saving bank account, then this transaction wil

(A) Increase money supply

(B) Decrease money supply

(C) Not change Money supply

(D) Increase or Decrease

(3) Central bank's OMO means

(A) Purchase of commercial bills

(B) Buying of government securities

(C) Purchase of shares

(D) Sale of commercial bills

(4) Bank rate is the rate at which

(A) Commercial bank lend to the public

(B) Government bills are discounted

(C) Central bank lend to Non banking financial institution

(D) commercial banks bills of exchange are discounted

(5) The statement "Money is what money does" was given by

(A) Shaw 

(B) Crowther

(C) Gurley

(D) Withers

(6) In an inflationary period, the appropriate policy of the central bank witl be to

(A) Sell Government securities

(B) Reduce CRR

(C) Decrease bank rate

(D) Increase investment

(7) In an economy high power money supply means

(A) Currency with public

(B) Monetary liabilities of central bank

(C) Monetary liabilities of central bank and government money 

(D) Time and demand deposits of the commercial banks

(8) Credit creation by the commercial banks is directly affected by

(A) Depression

(B) Inflation

(C) Money multiplier

(D) Legal ratios

(9) The following is not an objective of monetary policy

(A) To increase tax revenue

(B) To expand credit

(C) Price stability

(D) To promote growth

(10) An important function of money is not to provide a standard of

(A) Measuring welfare

(B) Deferred payment

(C) Exchange

(D) Store values

For More Detail Contact Us And Follow On Study For Buddies

Thank You