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  • Economics Mcqs | Miscellaneous Economics Mcqs

    A profit maximising firm will invest up to the level of investment where ?

    A profit maximising firm will invest up to the level of investment where ?

    A. The cost of borrowing equals the marginal efficiency of capital
    B. The cost of borrowing is greater than the marginal efficiency of capital
    C. The cost of borrowing is less then the marginal efficiency of capital
    D. The cost of borrowing equals the marginal propensity to consume

    Read More A profit maximising firm will invest up to the level of investment where ?Continue

  • Economics Mcqs | Miscellaneous Economics Mcqs

    The accelerator assumes ?

    The accelerator assumes ?

    A. The marginal propensity to consume is constant
    B. The economy is at full employment
    C. There is a constant relationship between net investment and the rate of change of output
    D. The multiplier is constant

    Read More The accelerator assumes ?Continue

  • Economics Mcqs | Miscellaneous Economics Mcqs

    An outward shift in the Marginal Efficiency of Capital should ?

    An outward shift in the Marginal Efficiency of Capital should ?

    A. Decrease consumption
    B. Increase aggregate demand
    C. Reduce aggregate supply
    D. Slow economic growth

    Read More An outward shift in the Marginal Efficiency of Capital should ?Continue

  • Economics Mcqs | Miscellaneous Economics Mcqs

    The marginal propensity to consume is equal to ?

    The marginal propensity to consume is equal to ?

    A. Total spending / total consumption
    B. Total consumption / total income
    C. change in consumption / change in income
    D. Change in consumption / change in savings

    Read More The marginal propensity to consume is equal to ?Continue

  • Economics Mcqs | Miscellaneous Economics Mcqs

    Lower interest rates are likely to ?

    Lower interest rates are likely to ?

    A. Decrease consumption
    B. increase cost of borrowing
    C. Encourage saving
    D. Increase spending

    Read More Lower interest rates are likely to ?Continue

  • Economics Mcqs | Miscellaneous Economics Mcqs

    As income increase ?

    As income increase ?

    A. The average propensity to consume gets nearer in value of the marginal propensity to consume
    B. The average propensity to consume diverges in value from the marginal propensity to consume
    C. The average propensity to consume falls
    D. The average propensity to consume always approaches 0

    Read More As income increase ?Continue

  • Economics Mcqs | Miscellaneous Economics Mcqs

    An increase in the marginal propensity to consume will ?

    An increase in the marginal propensity to consume will ?

    A. increase the size of the multiplier
    B. Increase the marginal propensity to save
    C. Decrease national income
    D. Reduce injections into the economy

    Read More An increase in the marginal propensity to consume will ?Continue

  • Economics Mcqs | Miscellaneous Economics Mcqs

    When an economy first begins to grow more slowly ?

    When an economy first begins to grow more slowly ?

    A. GDP increase
    B. Inflation is likely to increase
    C. Stock levels are likely to increase
    D. Investment in equipment is likely to increase

    Read More When an economy first begins to grow more slowly ?Continue

  • Economics Mcqs | Miscellaneous Economics Mcqs

    If the Keynesian consumption function is C = 10 + 0.8 Td when disposable income is Rs1000 the marginal propensity to consume is what ?

    If the Keynesian consumption function is C = 10 + 0.8 Td when disposable income is Rs1000 the marginal propensity to consume is what ?

    A. 0.8
    B. 800
    C. 810
    D. 0.81

    Read More If the Keynesian consumption function is C = 10 + 0.8 Td when disposable income is Rs1000 the marginal propensity to consume is what ?Continue

  • Economics Mcqs | Miscellaneous Economics Mcqs

    Economic growth can be seen by an outward shift of ?

    Economic growth can be seen by an outward shift of ?

    A. The Production Possibility Frontier
    B. The Gross Domestic Barrier
    C. The Marginal Consumption Frontier
    D. The Minimum Efficient Scale

    Read More Economic growth can be seen by an outward shift of ?Continue

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