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Determination of Income and Employment (MCQs)
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Determination of Income and Employment (MCQs)
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25 Questions

1. A tax the burden of which can be shifted on to others, is called
2. MPC being equal to 0.5, what will be , if income increases by Rs.100?
3. Deflationary gap is measured as
4. According to Keynes, equality (equilibrium) between AD and AS can take place in a situation
5. If MPC = 0.9, than value of multiplier will be:
6. According to Keynes, equality (equilibrium) between AD and AS can take place in a situation
7. If MPC is 40 per cent, MPS will be
8. If MPC is 40 per cent, MPS will be
9. Propensity to save means:
10. On account of injections and withdrawals, equilibrium level of income undergoes
11. Deficient demand leads to
12. On account of injections and withdrawals, equilibrium level of income undergoes
13. If MPC = 0, the multiplier will be:
14. Propensity to save means:
15. Which of the following does not lead to fall in AD ?
16. If an investment of Rs. 10 crore results in an increase in income by Rs 50 crore, then the multiplier will be:
17. Multiplier is estimated as:
18. If MPS =1/4, the value of multiplier will be
19. Deflationary gap is measured as
20. Propensity to consume means:
21. A tax the burden of which can be shifted on to others, is called
22. If MPS is 0.6,what will be ∆S when income increases by Rs.100 ?
23. Which of the following leads to increase in AD ?
24. Multiplier=
25. If MPS is 0.6,what will be ∆S when income increases by Rs.100 ?

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