Economics Past Questions and Answers

Identify one of the following which can NOT be used to close deflationary gap

A Increased interest rate
B Increased money supply
C Increase government expenditure
D Reduction in taxes

Question 4687:

An increase in nominal income without increase in price will result to

A Increased real income
B Increased GDP
C Decreased real income
D Decreased GNP

Question 4688:

If demand function for a product is Qd = 30 - 4P, and the price and quantity of products is 4 and 14 respectively. What is the price elasticity of demand for the product?

A 1.14
B 7.1
C 14.1
D 1.7

Question 4689:

Macro focuses on the following units in an aggregative manner

A Household, firms, government, corporate sector and external sector
B Individual consumers, individual firms, government and external sector
C Government, household firms, individual consumers and external sector
D Individual consumers, household firms and manufacturing sector

Question 4690:

Which of the following would not be a reason for a government to impose a quota on imports?

A To support strategic industry
B To prevent dumping
C To decrease tax revenue
D Employment oppourtunity