A ‘closed economy’ is an economy in which
(a) the money supply is fully controlled.(b) deficit financing takes place.(c) only exports take place.(d) neither exports nor imports take place.
Which of the following is not seen as an advantage of the gold standard?
(a) For a given stock of gold, a rise in real money supply can only occur if the price level declines.(b) Inflation is unlikely.
Gilt-edged market means
(a) Market of government securities(b) Bullion market(c) Market dealing with metals(d) Market dealing with exports
Which one of the following is the act of stimulating the economy by increasing the money supply or by reducing taxes?
(a) Disinflation(b) Reflation(c) Inertial inflation(d) Inflation hedge
Which one of the following causes the condition in which prices increase rapidly as a currency loses its value?
(a) Stagflation(b) Conflation(c) Stealth inflation(d) Hyper inflation
Which one among the following is the total amount of money available in an economy at a specific time?
(a) Near money(b) Narrow money(c) Money volume(d) Money stock
Disinvestment is :
(a) Offloading of shares of private companies to government.(b) Off-loading of government shares to private companies.(c) Increase in investment.(d) Closing down of business concerns.
When economic development takes place
(a) Specialisation increases(b) Commercialisation decreases(c) Market imperfections increase(d) None of the above
In an economy, a condition of lack of money supply in comparison to the supply of the goods services will lead to:
(a) Inflation(b) Deflation(c) Hyperinflation(d) Devaluation