Select Aspects Of Indian Economy
(72).webp "Select Aspects Of Indian Economy - Quiz")
- 1.
What is India's rank in world population?
- A.
First.
- B.
Second.
- C.
Third.
- D.
Fourth.
Correct Answer
B. Second.Explanation
India's rank in the world population is second. This means that India has the second largest population in the world, after China.Rate this question:
-
- 2.
The annual addition to India's population is almost equal to the total population of
- A.
Bangladesh.
- B.
Australia.
- C.
Japan.
- D.
China.
Correct Answer
B. Australia.Explanation
The annual addition to India's population is almost equal to the total population of Australia. This means that each year, India's population increases by a similar number of people as the entire population of Australia. This highlights the significant growth and size of India's population, as well as the relatively smaller population of Australia.Rate this question:
-
- 3.
In which state is the sex ratio most favourable to women?
- A.
Andhra Pradesh.
- B.
Uttar Pradesh.
- C.
Kerala.
- D.
Karnataka.
Correct Answer
C. Kerala.Explanation
Kerala has the most favorable sex ratio to women compared to the other states mentioned. Sex ratio is a measure of the number of females per 1000 males in a population. A higher sex ratio indicates a larger number of females relative to males, which is generally considered more favorable for women. Kerala has consistently shown a higher sex ratio, indicating better gender balance and potentially better social and economic conditions for women in the state.Rate this question:
-
- 4.
Which year is known as year of great divide for India's population?
- A.
1991.
- B.
2001.
- C.
1981.
- D.
1921.
Correct Answer
D. 1921.Explanation
The year 1921 is known as the year of great divide for India's population because it marked a significant shift in the country's demographic patterns. The Census of India conducted in 1921 revealed a substantial decrease in the Hindu population and a significant increase in the Muslim population. This shift was primarily attributed to the partition of Bengal in 1905 and the subsequent communal tensions between Hindus and Muslims. The demographic changes observed in 1921 had long-lasting implications for the political and social landscape of India.Rate this question:
-
- 5.
In which state/union territory is the literacy rate highest?
- A.
Delhi.
- B.
Chandigarh.
- C.
Karnataka.
- D.
Kerala.
Correct Answer
D. Kerala.Explanation
Kerala has the highest literacy rate among all the states and union territories in India. This is because of the state's strong emphasis on education and high investment in the education sector. Kerala has a well-developed education system with a high number of schools and colleges. The state also has a high literacy rate among both males and females, indicating a strong commitment to education for all. Additionally, Kerala's social indicators, such as healthcare and gender equality, also contribute to its high literacy rate.Rate this question:
-
- 6.
India's passing through _____________ stage of demographic transition.
- A.
Fourth.
- B.
Third.
- C.
First.
- D.
Second.
Correct Answer
D. Second.Explanation
India is currently in the second stage of the demographic transition. In this stage, birth rates remain high, but death rates start to decline due to improvements in healthcare and living conditions. As a result, the population grows rapidly. This stage is characterized by a high population growth rate and a young age structure, with a large proportion of the population being of reproductive age.Rate this question:
-
- 7.
In the theory of demographic transition in the last stage,
- A.
Birth rate rises, death rate rises.
- B.
Birth rate rises, death rate falls.
- C.
Birth rate falls, death rate rises.
- D.
Birth rate falls, death rate falls.
Correct Answer
D. Birth rate falls, death rate falls.Explanation
In the theory of demographic transition, the last stage is characterized by a decline in both birth rate and death rate. This decline is often attributed to various factors such as improved healthcare, access to contraception, and economic development. As societies progress and become more developed, people tend to have fewer children and experience lower mortality rates, resulting in a decrease in both birth and death rates.Rate this question:
-
- 8.
Which of the following statements is correct?
- A.
India's population is second largest in the world.
- B.
India is still passing through first stage of demographic transition.
- C.
More people in a country always mean more economic trouble for the country.
- D.
None of the above.
Correct Answer
A. India's population is second largest in the world.Explanation
The correct answer is "India's population is second largest in the world." This statement is correct because India has a population of over 1.3 billion people, making it the second most populous country in the world after China.Rate this question:
-
- 9.
India's present population is
- A.
Between 50-60 crore.
- B.
Between 60-70 crore.
- C.
Between 70-80 crore.
- D.
Above 117 crore.
Correct Answer
D. Above 117 crore. -
- 10.
India accommodates nearly __________________ per cent of world's population.
- A.
10.
- B.
50.
- C.
16.7.
- D.
45.
Correct Answer
C. 16.7.Explanation
India accommodates nearly 16.7% of the world's population. This means that out of every 100 people in the world, approximately 16 to 17 of them live in India. This statistic highlights the significant population size of India and its impact on global demographics.Rate this question:
-
- 11.
Over the years, birth rate in India has________and death rate has__________.
- A.
Fallen, fallen.
- B.
Risen, fallen.
- C.
Risen, risen.
- D.
Fallen, risen.
Correct Answer
A. Fallen, fallen.Explanation
The birth rate in India has fallen over the years, meaning that fewer babies are being born. Additionally, the death rate has also fallen, indicating that fewer people are dying. This suggests that overall, the population growth rate in India has decreased.Rate this question:
-
- 12.
The birth rate in India is high because of
- A.
Predominance of agriculture.
- B.
Slow urbanisation.
- C.
High incidence of poverty.
- D.
All of the above.
Correct Answer
D. All of the above.Explanation
The birth rate in India is high due to a combination of factors. Firstly, the predominance of agriculture in the country contributes to a higher birth rate as larger families are needed to work on farms and support agricultural activities. Secondly, slow urbanization also plays a role as rural areas tend to have higher birth rates compared to urban areas. Lastly, the high incidence of poverty in India leads to a lack of access to education and healthcare, which in turn contributes to a higher birth rate. Therefore, all of these factors combined contribute to the high birth rate in India.Rate this question:
-
- 13.
Which of the following statements is correct?
- A.
Gini coefficients are often used for measuring poverty in relative sense.
- B.
When poverty is related to the distribution of income or consumption expenditure, it is absolute poverty.
- C.
In India, we mainly use the concept of relative poverty for measuring poverty.
- D.
None of the above.
Correct Answer
A. Gini coefficients are often used for measuring poverty in relative sense.Explanation
The correct answer is "Gini coefficients are often used for measuring poverty in relative sense." This statement implies that Gini coefficients, which measure income or wealth inequality, are commonly used to assess poverty levels in relation to the overall distribution of income or consumption expenditure. This suggests that the focus is on comparing individuals' income or consumption relative to others in society, rather than determining an absolute poverty threshold.Rate this question:
-
- 14.
Identify the incorrect statement.
- A.
The problems of poverty and unemployment are inter-related.
- B.
The problem of poverty has been solved in India.
- C.
Growing population has also contributed to the problem of poverty in India.
- D.
None of the above.
Correct Answer
B. The problem of poverty has been solved in India.Explanation
The statement "The problem of poverty has been solved in India" is incorrect because poverty still exists in India. Despite efforts to alleviate poverty, a significant portion of the population continues to live below the poverty line. Factors such as income inequality, lack of access to education and healthcare, and limited job opportunities contribute to the persistence of poverty in India.Rate this question:
-
- 15.
SJSRY stands for
- A.
Swaran Jayanti Shahari Rozgar Yojana.
- B.
Shahari Jeewan Sudhar Rashtriya Yojana.
- C.
Sampoorna Jeewan Shahari Rozgar Yojana.
- D.
None of the above.
Correct Answer
A. Swaran Jayanti Shahari Rozgar Yojana.Explanation
SJSRY stands for Swaran Jayanti Shahari Rozgar Yojana.Rate this question:
-
- 16.
HAS stands for
- A.
Easy Assistance Scheme.
- B.
Endless Assistance Scheme.
- C.
Employment Assurance Scheme.
- D.
Employment Assessment Scheme.
Correct Answer
C. Employment Assurance Scheme.Explanation
The correct answer is Employment Assurance Scheme. This is because the acronym HAS stands for a scheme that provides employment assurance. The other options, Easy Assistance Scheme and Endless Assistance Scheme, do not accurately represent the purpose of the acronym. Employment Assessment Scheme is also not a suitable option as it does not convey the idea of providing assurance or assistance in terms of employment. Therefore, the most appropriate option is Employment Assurance Scheme.Rate this question:
-
- 17.
A situation of employment in which a person is apparently employed but his contribution to the production is almost nil is called__________ unemployment.
- A.
Structural.
- B.
Chronic.
- C.
Disguised.
- D.
Cyclical.
Correct Answer
C. Disguised.Explanation
Disguised unemployment refers to a situation where a person is employed but their contribution to production is minimal or unnecessary. In this case, the person appears to be employed but their work does not significantly contribute to the overall output. This type of unemployment is often seen in sectors where there is an excess supply of labor, and individuals are engaged in jobs that do not fully utilize their skills or abilities.Rate this question:
-
- 18.
___________unemployment may result when some workers are temporarily out of work while changing job.
- A.
Cyclical.
- B.
Voluntary.
- C.
Frictional.
- D.
Seasonal.
Correct Answer
C. Frictional.Explanation
Frictional unemployment occurs when workers are temporarily out of work while transitioning between jobs. In this situation, individuals may be searching for new employment opportunities or waiting for a job offer. This type of unemployment is considered to be a natural part of the labor market as it reflects the normal turnover and search process that occurs in any economy. Therefore, frictional unemployment is the most suitable explanation for the given scenario.Rate this question:
-
- 19.
According to_____________________ measure, a person is said to be employed for the week even if he is employed only for a day during the week.
- A.
Usual status.
- B.
Current weekly status.
- C.
Current daily status.
- D.
Current yearly status.
Correct Answer
B. Current weekly status.Explanation
According to the current weekly status measure, a person is considered employed for the entire week, even if they are only employed for a single day during that week. This measure focuses on the current week and does not take into account the person's employment status on a daily or yearly basis.Rate this question:
-
- 20.
________________ measure estimates the number of persons who may be said to be chronically unemployed.
- A.
Usual status.
- B.
Current weekly status.
- C.
Current daily status.
- D.
Current yearly status.
Correct Answer
A. Usual status.Explanation
The usual status measure estimates the number of persons who may be said to be chronically unemployed. This measure looks at the employment status of individuals over a longer period of time, typically a year, to determine if they have been consistently unemployed. It provides a more comprehensive picture of chronic unemployment compared to other measures such as current weekly, daily, or yearly status, which only capture a snapshot of employment status at a specific point in time.Rate this question:
-
- 21.
When due to introduction of new machinery, some workers tend to be replaced by machines, their unemployment is termed as________.
- A.
Structural.
- B.
Technological.
- C.
Mechanical.
- D.
Seasonal.
Correct Answer
B. Technological.Explanation
When workers are replaced by machines due to the introduction of new machinery, their unemployment is termed as technological unemployment. This type of unemployment occurs when technological advancements and automation lead to a decrease in the demand for human labor. It is a result of the shift from human labor to machines and technology in the production process.Rate this question:
-
- 22.
Every _____________ person in the world is an Indian.
- A.
Second.
- B.
Third.
- C.
Sixth.
- D.
Tenth.
Correct Answer
C. Sixth.Explanation
The correct answer is "Sixth." This answer implies that every sixth person in the world is an Indian. This suggests that out of every six people, one person is Indian.Rate this question:
-
- 23.
_____________ measure generally gives the lowest estimate of unemployment especially for poor economy.
- A.
Usual status.
- B.
CWS.
- C.
CDS.
- D.
CMS.
Correct Answer
A. Usual status.Explanation
The usual status measure generally gives the lowest estimate of unemployment, especially for a poor economy. This is because the usual status measure only considers individuals who are actively seeking work and are available for work during the reference period. It does not include individuals who are discouraged or have given up looking for work, as well as those who are underemployed or working part-time but would prefer full-time employment. Therefore, the usual status measure may not accurately capture the true extent of unemployment in a struggling economy.Rate this question:
-
- 24.
Most of the unemployment in India is________________________ .
- A.
Voluntary
- B.
Structural
- C.
Frictional
- D.
Technical
Correct Answer
B. StructuralExplanation
The correct answer is "Structural." Structural unemployment refers to the unemployment that occurs due to a mismatch between the skills and qualifications of the workforce and the requirements of the available jobs. In India, structural unemployment is a significant issue as there is often a lack of job opportunities that align with the skills and education of the workforce. This type of unemployment is more long-term and requires interventions such as job training programs and policies to address the skills gap and create more suitable employment opportunities.Rate this question:
-
- 25.
According to the Planning Commission, using Mixed Recall period (MRP)________________ per cent people were below poverty line in 2004-05.
- A.
RS.26.2
- B.
RS.25.2
- C.
RS.27.8
- D.
RS.21.8
Correct Answer
D. RS.21.8 -
- 26.
Work force refers to that part of:
- A.
Labour force which is employed.
- B.
Population which is unemployed.
- C.
Population which is forced to work.
- D.
Labour force which is unemployed.
Correct Answer
A. Labour force which is employed.Explanation
The correct answer is "Labour force which is employed." Workforce refers to the part of the labor force that is currently employed. It includes individuals who are actively working and contributing to the economy. This term is often used to describe the total number of people employed by a company or within a particular industry or sector. It does not include the population that is unemployed or forced to work.Rate this question:
-
- 27.
According to National Sample Survey Organisation (NSSO) during 2007-08:
- A.
The unemployment rates for the urban area in the CDS approach is 5%.
- B.
The unemployment rates for the urban area in the CDS approach is 7%.
- C.
The unemployment rates for the urban area in the CDS approach is 6%.
- D.
None of the above.
Correct Answer
B. The unemployment rates for the urban area in the CDS approach is 7%. -
- 28.
According to the National Sample Survey Organisation (NSSO) during 2007-08:
- A.
Unemployment rates on the basis of current daily status were same as those on the basis of usual status.
- B.
Unemployment rates on the basis of current daily status were higher than those on the basis of usual status.
- C.
Unemployment rates on the basis of current daily status were lower than those on the basis of usual status.
- D.
None of the above.
Correct Answer
B. Unemployment rates on the basis of current daily status were higher than those on the basis of usual status.Explanation
The correct answer is "Unemployment rates on the basis of current daily status were higher than those on the basis of usual status." This means that when measuring unemployment rates based on the current daily status of individuals, the rates were higher compared to when measuring based on the usual status. This suggests that there were more individuals who were unemployed on a daily basis but may not have been classified as unemployed when considering their usual status, indicating a higher level of unemployment overall.Rate this question:
-
- 29.
At present, nearly________________ per cent of the energy consumed is obtained from noncommercial traditional sources.
- A.
45.
- B.
51.
- C.
27.
- D.
10.
Correct Answer
C. 27.Explanation
At present, nearly 27% of the energy consumed is obtained from non-commercial traditional sources. This means that a significant portion of the energy used comes from sources that are not commercially produced or sold, such as biomass, wood, or animal waste. This indicates that there is still a reliance on traditional methods of energy production, rather than fully transitioning to commercial and renewable sources of energy.Rate this question:
-
- 30.
The highest user of commercial energy is
- A.
Agriculture.
- B.
Transport.
- C.
Household.
- D.
Industry.
Correct Answer
D. Industry.Explanation
The correct answer is Industry. Industries require a significant amount of energy to operate their machinery and production processes. They consume large amounts of electricity, fossil fuels, and other forms of energy to power their operations. This includes manufacturing plants, factories, and processing facilities. The energy usage in industries is typically much higher compared to other sectors such as agriculture, transport, and households.Rate this question:
-
- 31.
In terms of generation of power___________________________ 's contribution, is the maximum.
- A.
Hydel.
- B.
Nuclear.
- C.
Thermal.
- D.
Others.
Correct Answer
C. Thermal.Explanation
Among the given options, thermal power generation contributes the most to the generation of power. This is because thermal power plants use fossil fuels such as coal, oil, or natural gas to produce steam, which in turn drives turbines to generate electricity. Thermal power plants have a high capacity and are widely used for power generation globally. On the other hand, hydel power generation utilizes the energy from flowing or falling water, while nuclear power generation uses nuclear reactions to produce heat and generate electricity. The option "Others" is too vague to determine its contribution to power generation.Rate this question:
-
- 32.
NTPC stands for
- A.
National Thermal Power Corporation.
- B.
National Tidal Power Corporation.
- C.
National Theological Power Corporation.
- D.
National Talent and Potential Corporation.
Correct Answer
A. National Thermal Power Corporation.Explanation
NTPC stands for National Thermal Power Corporation. This is the correct answer because NTPC is a well-known government-owned power generation company in India that specializes in thermal power generation. The acronym clearly indicates the focus on thermal power, which is the generation of electricity using heat from burning coal, oil, or gas. The other options, such as National Tidal Power Corporation, National Theological Power Corporation, and National Talent and Potential Corporation, do not accurately represent the purpose or focus of NTPC.Rate this question:
-
- 33.
__________________ measures the operational efficiency of a thermal plant.
- A.
Power load factor.
- B.
Power leakage factor.
- C.
Plant load factor.
- D.
Plant leakage factor.
Correct Answer
C. Plant load factor.Explanation
Plant load factor measures the operational efficiency of a thermal plant. It is the ratio of the actual energy output of the plant to the maximum possible energy output if the plant operated at full capacity for a specific period. A higher plant load factor indicates that the plant is operating closer to its maximum capacity and is therefore more efficient.Rate this question:
-
- 34.
According to the latest data (2009-10) PLF is lowest in
- A.
Southern region.
- B.
Northern region.
- C.
Western region.
- D.
Eastern region.
Correct Answer
D. Eastern region.Explanation
The given question asks about the region with the lowest PLF (Plant Load Factor) according to the latest data in 2009-10. The answer is Eastern region. This means that among the Southern, Northern, Western, and Eastern regions, the Eastern region had the lowest PLF during that time period.Rate this question:
-
- 35.
Considering State Electricity Boards (SEBs) central sector and private sector, PLF is highest in______________ .
- A.
Private sector.
- B.
SEBs
- C.
Central sector.
- D.
Both for SEBs and private sector.
Correct Answer
A. Private sector.Explanation
The PLF (Plant Load Factor) refers to the actual energy output of a power plant compared to its maximum possible output. The statement suggests that the PLF is highest in the private sector. This means that private sector power plants are operating at a higher efficiency and generating more electricity compared to SEBs (State Electricity Boards) and the central sector. This could be due to various factors such as better maintenance, use of advanced technology, and efficient management practices in the private sector.Rate this question:
-
- 36.
Electricity generated from radio active elements is called
- A.
Thermal electricity.
- B.
Atomic energy.
- C.
Hydel electricity.
- D.
Tidal energy.
Correct Answer
B. Atomic energy.Explanation
Electricity generated from radioactive elements is called atomic energy. Radioactive elements such as uranium or plutonium undergo a process called nuclear fission, where their atomic nuclei are split, releasing a large amount of energy in the form of heat. This heat is then used to generate steam, which drives turbines connected to generators to produce electricity. Atomic energy is a powerful and efficient source of electricity, but it also poses potential risks and challenges in terms of waste disposal and safety measures.Rate this question:
-
- 37.
Which of the following statements is correct?
- A.
The demand and the supply of fuel are almost equal.
- B.
Our import bill on account of oil has been decreasing since 1990.
- C.
Oil prices have been decreasing since 1973.
- D.
Transmission and distribution losses of power companies are very high.
Correct Answer
D. Transmission and distribution losses of power companies are very high.Explanation
The correct answer is "Transmission and distribution losses of power companies are very high." This statement implies that power companies are experiencing significant losses in the process of transmitting and distributing electricity. It suggests that there may be inefficiencies or technical issues in the power grid, resulting in a substantial amount of lost energy.Rate this question:
-
- 38.
Which of the following statements is incorrect?
- A.
The Indian road network is one of the longest networks in the world.
- B.
The rural road network connects around 65 per cent of all weather roads.
- C.
Most of the State Road Transport Corporations are running on profits.
- D.
The National highways carry more than 40 per cent of the total road traffic.
Correct Answer
C. Most of the State Road Transport Corporations are running on profits. -
- 39.
In terms of overseas shipping tonnage, India ranks_________________(2007).
- A.
10th.
- B.
15th.
- C.
25th.
- D.
20th.
Correct Answer
D. 20th.Explanation
In 2007, India ranked 20th in terms of overseas shipping tonnage. This means that India had the 20th highest amount of tonnage being shipped internationally compared to other countries.Rate this question:
-
- 40.
Of the major 12 ports, ________ is the top traffic handler.
- A.
Paradip.
- B.
Cochin.
- C.
Kandla.
- D.
Mumbai.
Correct Answer
C. Kandla.Explanation
Kandla is the correct answer because it is known as the top traffic handler among the major 12 ports. This implies that Kandla handles the highest amount of traffic compared to the other ports mentioned (Paradip, Cochin, and Mumbai).Rate this question:
-
- 41.
Sahara Jet and Kingfisher are examples of
- A.
Private schools.
- B.
Private airlines.
- C.
Private ships.
- D.
Private railways.
Correct Answer
B. Private airlines.Explanation
Sahara Jet and Kingfisher are examples of private airlines because they are both privately owned and operated companies that provide air transportation services. Private airlines are not owned or operated by the government, unlike public airlines which are typically owned by the state. These private airlines cater to the needs of passengers by offering various services and routes, and they compete with other airlines in the industry to attract customers.Rate this question:
-
- 42.
Our postal network is_______________________ in the world.
- A.
The largest network.
- B.
Fifth smallest.
- C.
Tenth largest.
- D.
Tenth smallest.
Correct Answer
A. The largest network.Explanation
The correct answer is "The largest network." This means that our postal network is the biggest or most extensive in the world. It implies that our postal system has the most number of post offices, delivery routes, and coverage compared to any other country.Rate this question:
-
- 43.
On an average, one post office in India serves________________ .
- A.
100 persons.
- B.
1000 persons.
- C.
7176 persons.
- D.
5800 persons.
Correct Answer
C. 7176 persons.Explanation
On average, one post office in India serves 7176 persons. This means that the number of people served by each post office is relatively high, indicating a significant workload for the post office staff. This could be due to factors such as population density, lack of access to other communication channels, or the efficiency of the postal service in reaching remote areas. The high number suggests that post offices in India play a crucial role in meeting the communication needs of a large population.Rate this question:
-
- 44.
There are about______________ phones per hundred population in India.
- A.
64.34.
- B.
12.85.
- C.
13.83.
- D.
15.15.
Correct Answer
A. 64.34.Explanation
The correct answer is 64.34. This means that there are approximately 64.34 phones per hundred population in India. This indicates a relatively high penetration of mobile phones in the country, suggesting that a significant portion of the population owns a mobile phone.Rate this question:
-
- 45.
Who is regulatory authority for telecom in India?
- A.
SEBI.
- B.
TRAI.
- C.
MTNL.
- D.
BSNL.
Correct Answer
B. TRAI.Explanation
The correct answer is TRAI. TRAI, which stands for Telecom Regulatory Authority of India, is the regulatory authority for the telecom sector in India. It was established in 1997 with the aim of regulating and promoting fair competition in the telecom industry, protecting the interests of consumers, and ensuring the growth and development of the sector. TRAI is responsible for the formulation and implementation of various regulations and policies related to tariffs, quality of service, interconnection, and licensing, among others.Rate this question:
-
- 46.
Over the years, the incidence of malaria (cases in million) has_________________
- A.
Reduced
- B.
Increased.
- C.
Remained the same.
- D.
Doubled.
Correct Answer
A. ReducedExplanation
The correct answer is "Reduced." This means that the incidence of malaria cases in million has decreased over the years.Rate this question:
-
- 47.
Over the years, the number of polio cases has
- A.
Increased.
- B.
Reduced.
- C.
Remained the same.
- D.
Doubled.
Correct Answer
B. Reduced.Explanation
The correct answer is "Reduced." This means that over the years, the number of polio cases has decreased. This suggests that efforts such as vaccination campaigns and public health initiatives have been successful in combating polio and reducing its prevalence.Rate this question:
-
- 48.
NLM stands for
- A.
National Leprosy Mission.
- B.
National Logistic Mission.
- C.
National Literacy Mission.
- D.
National Law Mission.
Correct Answer
C. National Literacy Mission.Explanation
The correct answer is National Literacy Mission. NLM stands for National Literacy Mission, which is a government initiative in India aimed at eradicating illiteracy and promoting education for all. It focuses on providing functional literacy to non-literates in the age group of 15-35 years and improving the literacy rate in the country. The mission aims to empower individuals through education and enable them to participate fully in the socio-economic development of the nation.Rate this question:
-
- 49.
IIM stands for
- A.
Indian Institute of Marketing.
- B.
Indian Institute of Manpower planning.
- C.
Indian Institute of Management.
- D.
International Institute of Management.
Correct Answer
C. Indian Institute of Management.Explanation
The correct answer is Indian Institute of Management. IIM is a prestigious institution in India that offers various management programs. It is known for its high-quality education and rigorous selection process. The institute has multiple campuses across the country and is recognized for producing top-notch business leaders and entrepreneurs.Rate this question:
-
- 50.
When too much money chases too few goods, the resulting inflation is called
- A.
Deflation.
- B.
Demand-pull inflation.
- C.
Cost-push inflation.
- D.
Stagflation.
Correct Answer
B. Demand-pull inflation.Explanation
When there is an excess of money in the economy and a limited supply of goods, it leads to an increase in demand for those goods. This increase in demand causes prices to rise, resulting in inflation. This type of inflation is known as demand-pull inflation because it is driven by the demand side of the economy.Rate this question:
-
Quiz Review Timeline +
Our quizzes are rigorously reviewed, monitored and continuously updated by our expert board to maintain accuracy, relevance, and timeliness.
-
Current Version
-
Jan 19, 2024Quiz Edited by
ProProfs Editorial Team -
Feb 23, 2012Quiz Created by
Sweetsalman123
Back to top