The upcoming OSSSC RI, ARI, Amin, SFS, and ICDS Supervisor exams require candidates to be well-versed in various subjects, including economy-related topics. To help you prepare effectively, we’ve compiled a list of the top 30 Economy Multiple Choice Questions (MCQs) along with answers. These questions cover a range of economic concepts and will be beneficial for your exam preparation.
Top 30 Economy MCQS For OSSSC RI, ARI, Amin, SFS, ICDS Supervisor
Continue practicing these questions to enhance your economic knowledge and boost your chances of success in the OSSSC RI, ARI, Amin, SFS, and ICDS Supervisor exams. Good luck with your preparations!
1. What is the systematic record of all economic transactions completed between residents of a country and the rest of the world in a year known as?
[A] Net Capital Flow
[B] Balance of Payment
[C] Balance of Trade
[D] Absolute Flow
Correct Answer: B [Balance of Payment]
2. Which branch of economics deals with the performance, structure, and behavior of the economy of the entire community, either a nation, a region, or the entire world?
[A] Heterodox approaches
[B] Micro Economics
[C] Macro Economics
[D] All of the above
Correct Answer: C [Macro Economics]
3. Who estimates the national income of India?
[A] Office of the Economic Advisor
[B] Ministry of Statistics
[C] Central Statistical Office
[D] Ministry of Finance
Correct Answer: C [Central Statistical Office]
4. What term is used for a situation of “Too much money chasing too few goods”?
[A] Demand Pull Inflation
[B] Cost pull inflation
[C] Stagflation
[D] Hyperinflation
Correct Answer: A [Demand Pull Inflation]
5. Which of the following does not come under Land Resources?
[A] Fertility of Land
[B] Location of Land
[C] Composition of Land
[D] all of the above are land resources
Correct Answer: D [all of the above are land resources]
6. What aspect of the economy can be measured by calculating concentration ratios?
[A] Development
[B] Inflation
[C] Competition
[D] Social Security
Correct Answer: C [Competition]
7. Economic growth is normally coupled with?
[A] Inflation
[B] Hyper Inflation
[C] Deflation
[D] Stagflation
Correct Answer: A [Inflation]
8. A transfer payment is a payment that is __:
[A] made by the government to its current workers
[B] made to people who are needy
[C] For in-kind services provided to the government
[D] For which no services or goods are rendered
Correct Answer: D [For which no services or goods are rendered]
9. Per Capita Income of a country is obtained by dividing National Income by which of the following?
[A] Total working population
[B] Total population of the country
[C] Area of the country
[D] Volume of the capital used
Correct Answer: B [Total population of the country]
10. Which ministry is responsible for calculating GDP in India?
[A] Ministry of Finance
[B] Ministry of Commerce and Industry
[C] Ministry of Central Statistical and Program Implementation
[D] Ministry of consumer Affairs
Correct Answer: C [Ministry of Central Statistical and Program Implementation]
11. What is not included in the calculation of national income?
[A] Value of annual goods production
[B] Value of annual services
[C] Value of old goods sold
[D] Value of new technology
Correct Answer: D
12. Which ministry is responsible for calculating GDP in India?
[A] Ministry of Finance
[B] Ministry of Commerce and Industry
[C] Ministry of Central Statistical and Program Implementation
[D] Ministry of Consumer Affairs
Correct Answer: C
13. What is the movement along the supply curve known as?
[A] Curve Supply
[B] Contraction of supply
[C] Expansion of supply
[D] Expansion and contraction of supply
Correct Answer: D
14. Which curve represents the demand of all consumers in the market taken together at different levels of the price of the good?
[A] Monotonic
[B] Indifferent
[C] Market demand
[D] Diminishing
Correct Answer: C
15. Resources can be classified into which of the following based on distribution?
[A] Potential resources
[B] Ubiquitous resources
[C] Actual resources
[D] Abiotic resources
Correct Answer: B
16. In which market form does a firm not exercise control over price?
[A] Monopoly
[B] Mixed Competition
[C] Perfect competition
[D] Oligopoly
Correct Answer: C
17. What is represented by the ‘Lorenz Curve’?
[A] Inflation
[B] Income Distribution
[C] Employment
[D] Deflation
Correct Answer: B
18. What is an alternative way of representing the production function?
[A] Average Product
[B] The Long Run
[C] Isoquant
[D] The Short Run
Correct Answer: C
19. Which law states that the marginal product of a factor input initially rises with its employment level, but after reaching a certain level of employment, it starts falling?
[A] Law of diminishing marginal product
[B] Law of variable proportions
[C] The Short Run
[D] The Long Run
Correct Answer: B
20. What is called GDP Deflator?
[A] Ratio of nominal to real GNP
[B] Ratio of nominal to real CPI
[C] Ratio of real to nominal GNP
[D] Ratio of nominal to real GDP
Correct Answer: D
21. What does the demand curve represent?
A) Relation between quantity demanded and price of a commodity
B) Relation between supply and demand of a commodity
C) Relation between income of customer and demand of commodity
D) None of the above
Correct Answer: A
22. What does a low price elasticity of demand for a commodity indicate?
A) It is a necessity of good
B) It is a luxury good
C) It doesn’t have importance
D) It is an inferior good
Correct Answer: A
23. What characterizes perfectly inelastic demand?
A) Demand doesn’t change with price
B) Demand changes with price
C) Change in demand is equal to price
D) Demand changes infinitely
Correct Answer: A
24. What accurately describes the supply curve?
A) It represents the relation between price of a good and quantity produced
B) It is a negatively sloped curve
C) It represents the relation between price and quantity supplied
D) None of the above
Correct Answer: C
25. Which of the following is an example of substitute goods?
A) Milk and Coffee
B) Pen and Paper
C) Ink and Pen
D) Tea and coffee
Correct Answer: D
26. What limits the spending of a person in a market?
A) Marginal Utility
B) Purchasing power
C) Demand curve
D) None of the above
Correct Answer: B
27. What is best described as opportunity cost?
A) Difference between the return on chosen option and the return on best forgone option
B) Difference between two chosen options
C) Difference between the return this year and the previous year
D) None of the above
Correct Answer: A
28. Which of the following is not an essential condition for perfect competition?
A) Homogeneous products
B) Many sellers and buyers
C) Freedom of entry and exit
D) None of the above
Correct Answer: D
29. When does a monopoly by a business in the market exist?
A) Many numbers of buyers and sellers are there
B) Homogeneous products exist in the market
C) A unique product with only one seller exists in the market
D) Firms are the price takers
Correct Answer: C
30. What defines a marketplace in an economy?
A) Place where profits are made
B) Place where goods are made
C) Place where people meet
D) Place where buyers meet sellers
Correct Answer: D
