GK INFOPEDIA

[1] Economic development depends on : A. Natural resources B. Capital formation C. Size of the market D. All of the above Ans: All of the above Explanation : Economic development generally refers to the sustained, concerted actions of policymakers and communities that promote the standard of living and economic health of a specific area. […]

[1] The tax levied on gross sales revenue from business transactions is called – A. Turnover Tax B. Sales Tax C. Capital Gains Tax D. Corporation Tax Ans: Turnover Tax Explanation : A turnover tax is similar to a sales tax or a VAT, with the difference that it taxes intermediate and possibly capital goods. […]

[1] The definition of ‘small-scale industry’ in India is based on – A. sales by the unit B. Investment In machines and equipments C. market coverage D. export capacity Ans: Investment In machines and equipments Explanation : Generally, small-scale sector is defined in terms of investment ceilings on the original value of the installed plant […]

[1] Sellers market denotes a situation where : A. commodities are available at competitive rates B. demand exceeds supply C. supply exceeds demand D. supply and demand are evenly balanced Ans: demand exceeds supply Explanation : Seller’s market is a market which has more buyers than sellers. High prices result from this excess of demand […]

[1] Capital market deals with – A. Short term fund B. Long term fund C. Cash D. Both long and short term funds Ans: Long term fund Explanation : Capital markets are financial markets for the buying and selling of long-term debt or equity-backed securities. These markets channel the wealth of savers to those who […]

[1] In the law of demand, the statement “Other things remain constant” means – A. income of consumer should not change B. price of other goods should not change C. taste of consumer should not change D. All of the above Ans: All of the above Explanation : In economics, the law of demand is […]

[1] Consumer’s surplus is the highest in the case of: A. durable goods B. luxuries C. comforts D. necessities Ans: necessities Explanation : Consumer surplus is the difference between the price consumers would be prepared to pay and the actual market price. [2] Which of the following cost curve is never `U’ shaped? A. Marginal […]

[1] A mixed economy works primarily through the – A. market mechanism B. central allocative machinery C. market mechanism regulated by Government policy D. market mechanism guided by Government participation and planning Ans: market mechanism guided by Government participation and planning Explanation : Mixed economy is an economic system in which both the state and […]

[1] Which of the following most closely approximates our definition of oligopoly? A. The cigarette industry B. The barber shops C. The gasoline stations D. Wheat farmers Ans: The cigarette industry Explanation : An oligopoly is a market form in which a market or industry is dominated by a small number of sellers (oligopolists). Because […]

[1] Which one of the following does not deal with export promotion? A. Trade Development Authority B. Minerals and Metals Trading Corporation C. Cooperative Marketing Societies D. Slate Trading Corporation of India Ans: Cooperative Marketing Societies Explanation : According to the Reserve Bank of India, co-operative marketing is a co-operatove association of cultivators formed primarily […]