Atif Pedia

The total sales revenue of a business is called:
(a) Flow
(b) Turnover-✔️
(c) Business
(d) None of the above

Variable costs are those that vary directly with the rate of output e.g., labour costs, fuel and power etc., These are also known as:
(a) Prime costs
(b) Direct costs
(c) Operating costs
(d) All of the above-✔️

The part of current assets financed from long term funds is called:
(a) Working Capital-✔️
(b) Investment
(c) Current Equity
(d) Working Equity

In economics, Gold Standard is the monetary system where in all form of legal tender may be converted on demand, into fixed quantities of gold. In 1816, the first country to go on the gold standard was:
(a) United States
(b) United Kingdom-✔️
(c) Spain
(d) France
[accordion] [item title="Description"]Gold Standard, in economics, monetary system wherein all forms of legal tender may be converted, on demand, into fixed quantities of fine gold, as defined by law. Until the 19th century, most countries of the world maintained a bimetallic monetary system. The widespread adoption of the gold standard during the second half of the 19th century was largely a result of the Industrial Revolution, which brought about a vast increase in the production of goods and widened the basis of world trade. The countries that adopted the gold standard had three principal aims: to facilitate the settlement of international commercial and financial transactions; to establish stability in foreign exchange rates; and to maintain domestic monetary stability. They believed these aims could best be accomplished by having a single standard of universal validity and relative stability; hence the gold standard is sometimes called the single gold standard. [/item] [/accordion]
 A type of association usually formed by banks or railroads as a central agency where members can settle accounts is known as:
(a) Clearing House-✔️
(b) Pawnbroking
(c) Credit Union
(d) All of the above

The type of currency issued by government as legal tender the value of which is based solely on decree or law rather than actual coin or precious metal reserves is termed as:
(a) Soft money
(b) Hard money
(c) Fiat money-✔️
(d) None of the above

Bimetallism is the monetary policy based on the use of two metals, as legal tender without limit and equalized by law in a fixed ratio. Which are these two metals?
(a) Platinum and Gold
(b) Gold and Silver-✔️
(c) Platinum and Silver
(d) All of the above

An association of individuals or corporations formed to conduct a specific financial transaction such as buying a business is known as:
(a) Merger
(b) Joint Venture
(c) Syndicate-✔️
(d) Franchise

The sixth Nobel Prize for Economics was introduced in 1969 in memory of Alfred Nobel. It is financed by
(a) Asian Development Bank
(b) Swedish National Bank-✔️
(c) World Bank
(d) International Monetary fund

An increase in the money supply will cause interest rates to
a. rise
(b) fall-✔️
c. remain unchanged
d. all of above

The quantity of goods and services consumed by an individual or a household is called:
(a) Standard of living-✔️
(b) Standard of success
(c) Gross Domestic Product (d) Gross National Product

What is the name given to companies legally controlled by other companies?
(a) Franchise
(b) Consortium
(c) Subsidiaries-✔️
(d) Merger

Government grants to suppliers of goods and services is called:
(a) Subsidy-✔️
(b) Support
(c) Tax
(d) Grant

The notion that economic development should proceed at a pace and in a manner that will conserve the environment and depletible natural resources is called:
(a) Sustainable development-✔️
(b) Rural development
(c) Social development
(d) None of the above

Arranging one’s financial affairs within the law so as to minimize taxation liabilities is known as
(a) Tax evasion
(b) Tax avoidance-✔️
(c) Tax burden
(d) Tax expenditures

The compulsory transfer of money from private individuals, institutions or groups to the government is called:
(a) Tax burden
(b) Tax evasion
(c) Taxation-✔️
(d) Tax yield

A trade barrier is any government limitation on the free international exchange of merchandise. Which of these is an instance of trade barrier?
(a) Tariffs
(b) Quotas
(c) Import deposit
(d) All of the above-✔️

The excess of the value of imports of goods and services over the value of exports of goods and services is called:
(a) Trade Cycle
(b) Trade Credit
(c) Trade Gap-✔️
(d) Trade investment

In UK, who is the first Lord of the Treasury?
(a) Queen
(b) King
(c) Prime Minister-✔️
(d) Finance Minister

Instruments for short-term borrowing by the government are called:
(a) Treasury Bills-✔️
(b) Treasury Notes
(c) Credit Line
(d) Promissory Notes

A legal document between a lender and a borrower whereby the later agrees to certain conditions for the repayment of the sum of money borrowed; is called:
(a) Promissory Note-✔️
(b) Bill of exchange
(c) Both of the above
(d) None of the above

The proportion of a sum of money that is paid over a specified time period in payment for its loan is called:
(a) Rate of interest-✔️
(b) Rate of substitution
(c) Rate of return
(d) None of the above

The net profit after depreciation as a percentage of average capital employed in a business is known as:
(a) Rate of Substitution
(b) Rate of Interest
(c) Rate of Return-✔️
(d) None of the above

The term used to describe a sharp slowdown in the rate of economic growth or a modest decline in economic activity is called:
(a) Depression
(b) Slump
(c) Recession-✔️
(d) None of the above

Scarce inputs that can yield utility through production or provision of goods and services are referred to as:
(a) Resources-✔️
(b) Assets
(c) Means
(d) Capabilities

A tax levied as a proportion of the retail price of a commodity at the point of sale is called:
(a) Income tax
(b) Wealth tax
(c) Sales tax-✔️
(d) Property tax

What is the term for generating capital from income?
(a) Self-financing-✔️
(b) Self-sufficiency
(c) Both of the above(d) None of the above

The total increase in the welfare of society from an economic action is called:
(a) Fringe Benefits
(b) Social Benefits-✔️
(c) Individual Benefits
(d) None of the above

A loan bearing either no rate of interest or an interest rate which is below the true cost of capital lent is known as:
(a) Soft Loan-✔️
(b) Personal Loan
(c) Finance
(d) Credit

Buying and selling with a view to buying and selling at a profit later when the prices have changed is termed:
(a) Surmising
(b) Speculation-✔️
(c) Guesswork
(d) Estimate

The situation in which aggregate demand in the economy is growing at a rate reliable to lead to inflation is called:
(a) Overdraft
(b) Overheating-✔️
(c) Oversubscription
(d) None of the above

An unincorporated business formed by the association of two or more persons who share risks and profits is called:
(a) Merger
(b) Alliance
(c) Partnership-✔️
(d) Corporation

The period over which the cumulative net revenue from an investment project equals the original investment is known as:
(a) Payback-✔️
(b) Paycheck
(c) Both of the above
(d) None of the above

Sums of money laid aside and normally invested to provide a regular income on retirement or in compensation for disablement for the remainder of a person’s life is called:
(a) Provident Funds
(b) Pension Funds-✔️
(c) Social Security
(d) None of the above

A bank loan made without collateral security to a private customer for specific purposes is called:
(a) Personal Loan-✔️
(b) Credit
(c) Finance
(d) Lien

What is the informal name for annual publication “United Kingdom Balance of Payments”?
(a) Green Book
(b) Red Book
(c) Pink Book-✔️
(d) Blue Book

The system of agricultural support by which market prices are fixed at above free market levels and government buys surpluses, thus supporting prices and raising farmer’s income is called:
(a) Price Regulation
(b) Price Support-✔️
(c) Price System
(d) None of the above

The part of the economy in which economy activity is carried on by private enterprise is termed:
(a) Personal Sector
(b) Corporate Sector
(c) Private Sector-✔️
(d) Public Sector

The sale of government owned equity in nationalized industries or other commercial enterprises to private investors is called:
(a) Nationalization
(b) Privatization-✔️
(c) Denationalization
(d) Both b and c

The sale of shares on the stock exchange in order to realize capital appreciation is known as:
(a) Profit Sharing
(b) Profit Taking-✔️
(c) Dividends
(d) Equity

The branch of economics at the level of individual consumers groups of consumers or firms is known as:
(a) Macroeconomics
(b) Econometrics
(c) Microeconomics-✔️
(d) Keynesian Economics

The economic situation in which only a single seller or producer supplies a commodity or a service is called:
(a) Monopoly-✔️
(b) Possession
(c) Cartel
(d) Trust

The legal instrument that pledges a house or other real estate as security for repayment of a loan is called:
(a) Mortgage-✔️
(b) Bond
(c) Foreclosure
(d) Lien

The international trade and exchange between more than two countries without discrimination between those involved is called:
(a) Unilateralism
(b) Bilateralism
(c) Multilateralism-✔️
(d) None of the above

An industry in which technical factors preclude the efficient existence of more than one producer. This situation is called:
(a) Natural Monopoly-✔️
(b) Monopoly
(c) Engineered Monopoly
(d) Duopoly

Commodities or assets with some economic value which exist without any effort of mankind, are called:
(a) Minerals
(b) Natural resources-✔️
(c) By-products
(d) Consumer resources

1994 Nobel Prize for Economics was awarded to a American mathematician for his most important concept of equilibrium as applied to game theory. His name was
(a) John Nash-✔️
(b) Reinhard Selten
(c) John Harsanyi
(d) All of the above

The reduction in the useful life of a capital good or consumer good through economic or technological change as distinct from physical deterioration in use is termed as:
(a) Depreciation
(b) Devaluation
(c) Obsolesience-✔️
(d) All of the above

A market that is dominated by a few large suppliers is known as:
(a) Oligopoly-✔️
(b) Monopoly
(c) Duopoly
(d) None of the above

A loan facility on the customer’s current account at a bank permitting him to withdraw up to a certain agreed limit for an agreed period, is referred to as:
(a) Personal Loan
(b) Mortgage
(c) Overdraft-✔️
(d) Credit

The first volume of Karl Marx’s greatest work Das kapital was published in 1887. The next two volumes were published posthumously. Who edited those volumes?
(a) Adam Smith
(b) Thomas Malthus
(c) Friendrich Engles-✔️
(d) Josphe Stalin

The branch of economics concerned with how businesses raise and spend their money is known as
(a) Econometrics
(b) Finance
(c) Macroeconomics
(d) Corporate Finance-✔️

The branch of economics concerned with providing funds to individuals, business and governments is called:
(a) Econometrics
(b) Microeconomics
(c) Macroeconomics
(d) Finance-✔️

The fusion of two or more separate companies into one is referred to as:
(a) Alliance
(b) Merger-✔️
(c) Separation
(d) Disintegration

Legislation prohibiting the paying of wages below some specified level is known as
(a) Standard Wage
(b) Minimum Wage-✔️
(c) Maximum Wage
(d) Optimum Wage

The market economy in which both private and public enterprises participate in economic activity is called:
(a) Mixed Economy-✔️
(b) Open Economy
(c) Closed Economy
(d) All of the above

The theory of macroeconomics which holds that increases in the money supply are a necessary and sufficient condition for inflation, is called
(a) Capitalism
(b) Sociahsm
(c) Monetarism-✔️
(d) Communism

The functions of sales, distribution, advertising and sales promotion, product planning and market research are termed as:
(a) Finance
(b) Marketing-✔️
(c) Business
(d) All of the above

European Recovery Program (ERP) was a United States program of financial assistance that helped to rebuild European nations devastated by World War II. This program is commonly called
(a) George Plan
(b) Catlett Plan
(c) Marshall Plan-✔️
(d) Colombo Plan

An early modern European economic theory that trade generates wealth of bullion which a government should encourage by promoting exports and restricting imports is called:
(a) Imperialism
(b) Colonialism
(c) Mercantilism-✔️
(d) Socialism

A non-negotiable order of a bank to a foreign bank authorizing payment to a person designated of a particular sum of money is known as:
(a) Letter of Credit-✔️
(b) Circular Letter of Credit
(c) Letter of Reference
(d) None of the above

Sums of money for which account has to be made are called:
(a) Obligation
(b) Liabilities-✔️
(c) Misfortune
(d) Burden

The degree to which an asset can be quickly and cheaply turned into money, is termed as:
(a) Insolvency
(b) Liquidity-✔️
(c) Bankruptcy
(d) All of the above

The borrowing of a sum of money by one person, company, government or other organization from another is called:
(a) Usury
(b) Finance
(c) Loan-✔️
(d) Collateral

The study of whole economic systems aggregating over the functioning of individual units. Specifically, it is study of national economies and the determination of national income. It is known as
(a) Microeconomics
(b) Keynesian Economics
(c) Macroeconomics-✔️
(d) Mathematical Economics

The degree to which a firm exercise influence over the price and output in a particular market is called:
(a) Market Force
(b) Market Share
(c) Market Power-✔️
(d) Market Failure

Thomas Robert Malthus (1766 -1834) was a British economist who is remembered for his essays on population. In his which famous work he said, “Population, when unchecked, increases in a geometrical ratio. Subsistence only increases in an arithmetical ratio.”?
(a) Principles of Political Economy
(b) An Inquiry into the Nature and Progress of Rent
(c) An Essay on the Principle of Population-✔️
(d) Illustrations of Political Economy

Adam Smith (1723 -1790) was a British economist and philosopher. Which treatise of Adam Smith is considered the first serious attempt in the history of economics to divorce the study of political economy from the related fields of political science, ethics and jurisprudence?
(a) Theory of Moral Sentiments
(b) The Wealth of Nations-✔️
(c) Principles of Political Economy
(d) Illustrations of Political Economy

Karl Marx (1818 -1883) was a German political philosopher and economist. He is one of the most influential thinkers of all times. Which of the following is his work?
(a) The Communist Manifesto
(b) Critique of Political Economy
(c) Das Kapital
(d) All of the above-✔️

The Communist Manifesto appeared in 1848. It is regarded as a classic exposition of modern Communist views and it influenced all subsequent Communist literature. Karl Marx completed it alongwith
(a) Friedrich Engels-✔️
(b) Thomas Mathus
(c) Adam Smith
(d) Vladimir Illich Lenin

The contract to pay a premium for which the insurer will pay compensation in certain happenings e.g., fire theft or motor accident is termed as:
(a) Insurance-✔️
(b) Warranty
(c) Security
(d) Safeguard

The charge made for the use of borrowed money levied as a percentage of the amount of debt is refered to as:
(a) Credit
(b) Interest-✔️
(c) Share
(d) Insurance

The amount of gold reserve, currencies and special drawing rights available for the finance of international trade is called:
(a) Foreign Reserves
(b) International Liqiudity-✔️
(c) Foreign Investment
(d) None of the above

What is the term for stocks of raw materials work in progress and finished goods?
(a) Inventory-✔️
(b) Checklist
(c) Stock
(d) Statement

The real capital formation e.g., the production or maintenance of machinary or construction that will produce a stream of goods and services is called
(a) Capital
(b) Investment-✔️
(c) Grant
(d) Property

The demand for two or more commodities or factor of production that are used together so that a change in demand for one will be reflected in a change in demand for other e.g., cloth and thread is called
(a) Joint Demand
(b) Complementary Demand
(c) Isolated Demand
(d) Both a and b-✔️

The business arrangement in which two companies invest in a project over which both have partial control is termed as:
(a) Joint Ventrue-✔️
(b) Speculation
(c) Project
(d) Undertaking

The total number of people in a country who are in work or unemployed but looking for work, is called:
(a) Labour Demand
(b) Labour force-✔️
(c) Labour Market
(d) None of the above

An agreement between the owner of a property to grant use of it to another party for a specified period at specified rent payable annually is called:
(a) Charter
(b) Contract
(c) Lease-✔️
(d) Compact

In 1971, United Nations Conference on Trade and Development (UNCTAD) drew up a list of 24 countries having a GDP of 100 or less literacy rate of 20% or less and a share of manufacturing of 10% or less of GDP. These countries were referred to as:
(a) Developing Countries
(b) Advanced Cuntries
(c) Least Developed Countries-✔️
(d) None of the above

The currency traded in a foreign exchange market for which demand is persistently high relative to supply is called:
(a) Soft currency
(b) Bad currency
(c) Hard currency-✔️
(d) Hot currency

The action taken by a buyer or seller to product his business or assets against a change in prices is called
(a) Hedge-✔️
(b) Interest
(c) Shore
(d) Loan

The theory that all human action is motivated by pleasure and the avoidance of pain or the ethic that it should be so motivated. Such theory is termed as
(a) Sadism
(b) Hedonism-✔️
(c) Satanism
(d) Spiritualism

The accumulation of idle money balances or inactive money is called:
(a) Wealth
(b) Hoarding-✔️
(c) Capital
(d) Investment

Funds that flow into a country to take advantage of favourable rates of interest in that country are known as
(a) Hard currency
(b) Hot money-✔️
(c) Soft currency
(d) Bad money

The skills and knowledge embodied in the labour force are termed as:
(a) Investment
(b) Labour Capital
(c) Human Resources
(d) Human Capital-✔️

What is the term used for the flow of goods and services that enter for sale into one country and which is product of another country?
(a) Exports
(b) Imports-✔️
(c) Income
(d) Gross Domestic Product (GDP)

The flow of goods or services to any economic agent or unit is called:
(a) Income-✔️
(b) Import
(c) Export
(d) None of the above

The persistent increases in the general level of prices is known as:
(a) Hyperinflation
(b) Inflation-✔️
(c) Devaluation
(d) Recession

What is the term used for airports, roads, railways, sewage, telephone and other public utilities?
(a) Understructure
(b) Substructure
(c) Infrastructure-✔️
(d) Superstructure

The branch of the social science that covers the study of the production, distribution and consumption of wealth in human society is known as:
(a) Law
(b) Political Science
(c) Anthropology
(d) Economics-✔️

Which British philosopher and economist is regarded as “founder of modern Economics”?
(a) Thomas Malthus (1766 -1834)
(b) Adam Smith (1723 -1790)✔️ 
(c) Karl Marx (1818 -1883)
(d) All of the above

Which famous thinker and economic philosopher said, “Religion ... is the opium of the people.”?
(a) Adam Smith
(b) Thomas Malthus
(c) Karl Marx-✔️
(d) John Maynard Keynes

Who was awarded Nobel Prize of Economics in 1998?
(a) Ragnar Frisch
(b) Jan Tinbergen
(c) Amartya Sen-✔️
(d) Paul Anthony Samuelson

Who got the first Nobel Prize in Economics in 1969?
(a) Jan Tinbergren
(b) Ragnar Frisch
(c) Sir John Richard Hicks
(d) Both a and b-✔️

What is Game Theory?
(a) The branch of economics concerned with representing economic interactions in a highly stylized form with players pays-off and strategies-✔️
(b) The branch of economics that uses mathematical methods and models e.g., calculus: statistics, probability etc
(c) The branch of economies related with the aggregate or overall, economy.
(d) The branch of economics that deals with small units, including individual companies and small group of consumers

A commodity for which demand increases at higher prices and falls at lower prices is termed as:
(a) Consumer goods
(b) Giffen goods-✔️
(c) Brown goods
(d) Durable goods

The geographical shifts in domestic economic activity around the world and away from nation states is called:
(a) Foreign Trade
(b) Commerce
(c) Globalization-✔️
(d) Business

The stocks of gold and foreign currencies held by a country to finance any calls that may be made from its creditors for the debt settlement are known as
(a) Foreign exchange reserves
(b) Gold reserves
(c) Gold and foreign exchange reserves-✔️
(d) None of the above

The measure of the total flow of goods and services produced by the economy over a specified time period, normally a year or a quarter is referred to as
(a) Gross national product (GNP)
(b) Gross domestic product (GDP)✔️ 
(c) Both of the above
(d) None of the above

The budgetary stance of central government is called:
(a) Trade Policy
(b) Fiscal Policy-✔️
(c) Economic Policy
(d) None of the above

The capital that is not invested in fixed assets hut the work in process is called:
(a) Floating Change
(b) Floating debt
(c) Floating Trust.
(d) Floating Capital-✔️

The administered transfer of resources from the advanced countries to the developing countries for the purpose of encouraging economic growth is called:
(a) Foreign Exchange
(b) Foreign Balance
(c) Foreign Aid-✔️
(d) Foreign Reserves

Claims on another country held in the form of the currency of that country are known as:
(a) Foreign Aid
(b) Foreign Exchange-✔️
(c) Both of the above
(d) None of the above

What is meant by foreign investment?
(a) The market in which transactions are conducted to effect the transfer of the currency of one country into that of another
(b) The transfer of resources from developed to developing countries.
(c) The acquistion by governments, institutions or individuals in one country of assets in another-✔️
(d) All of the above

The contractual arrangement under which an independent franchisee produces or sells a product or service under the brand name of the franchiser is known as
(a) Franchising-✔️
(b) License
(c) Warrant
(d) Charter

A market in which supply and demand are not subject to regulation other than normal competition policy is termed:
(a) Forward Market
(b) Free Market-✔️
(c) Foreign-exchange Market
(d) None of the above

The condition in which the independent flow of goods and services in international exchange is neither restricted nor encouraged by direct government intervention is known as:
(a) Free Trade-✔️
(b) Barter Trade
(c) Both of the above
(d) None of the above

Non-wage or salary rewards provided for employees are called;
(a) Fringe Benefits-✔️
(b) Basic Pay
(c) Social Security
(d) None of the above

The process of converting short term to long term debt by the sale of long term securities and using the funds raised to pay off short-term debt is called:
(a) Funding-✔️
(b) Debt retirement
(c) Borrowing(d) All of the above

The difference between the amount produced by a firm and the higher amount that could most efficiently be produced is termed as:
(a) Excess Profit
(b) Excess Supply
(c) Excess Capacity-✔️
(d) Excess Demand

The control by the state through the banking system of dealings in gold and foreign currencies is called
(a) Exchange Control-✔️
(b) Exchange Economy
(c) Autarky(d) None of the above

The price at which one currency is exchanged for another currency is known as:
(a) Exchange Control
(b) Exchange Rate-✔️
(c) Exchange Economy
(d) All of the above

Indirect taxies levied upon goods produced for home consumption are called:
(a) Custom duties
(b) Excise duties-✔️
(c) Both of the above
(d) None of the above

Preferential treatment for firms that sell their products abroad, compared with firms that sell to the home market; is called:
(a) Export Surplus
(b) Export Rebate
(c) Export Incentives-✔️
(d) All of the above

The goods and services produced by one country that are sold in exchange for the second country’s own goods and services or for foreign exchange are called
(a) Import
(b) Export-✔️
(c) All of the above
(d) None of the above

The ratio of the total increase in a country’s national income to the increment in export revenue generating the increase is called:
(a) Export Surplus
(b) Export Incentive
(c) Export Multiplier-✔️
(d) All of the above

Goods which are produced for consumption rather than as an intermediate product used in the process of production are referred to as:
(a) By Product
(b) Final Goods-✔️
(c) Durable Goods
(d) Intermediate Goods

The provision of money when and where needed is called:
(a) Business
(b) Economics
(c) Finance-✔️
(d) Trade

The period of account used for financial purposes is known as:
(a) Financial Year
(b) Fiscal Year
(c) Both of the above-✔️
(d) None of the above

Topmost authority of World Trade Organization is the ministerial conference which has to meet at least once every
(a) 1 year
(b) 2 years-✔️
(c) 3 years
(d) 4 years

The “Quadrilaterals” or the “Quad” are the four largest members. Besides European Union others are
(a) United States
(b) Canada
(c) Japan
(d) All of the above-✔️

On 9-13 November, 2001 the World Trade Organization’s Fourth Ministerial Conference held in:
(a) Istanbul (Turkey)
(b) Dubai (U.A.E)
(c) Doha (Qatar)-✔️
(d) Tehran (Iran)

The World Trade Organization secretariat is headed by a director-general, has around 500 staff and is based in:
(a) New York
(b) Rome
(c) Geneva-✔️
(d) Brussels

Which of the following is the website address of the World Trade Organization?
(a) http://www.wto.com
(b) http://www.wto.org-✔️
(c) http://www.wtosecretariat.org
(d) http://www.wtosecretariat.com

By the end of June 2002, the World Trade Organization had 144 members and around 34 observer governments. With how many years of becoming observers, these observers must start accession negotiations?
(a) 2 years
(b) 3 years
(c) 4 years
(d) 5 years-✔️

Which law of economics states that “with given preferences or tastes, the proportion of income spent on food diminishes as income increase”?
(a) CommonLaw
(b) Engel’s Law-✔️
(c) Newton’sLaw
(d) None of the above

The economic agent who perceives market opportunities and assembles the factors of production to exploit them in a firm is referred to as
(a) Broker
(b) Entrepreneur-✔️
(c) Middle Agent
(d) Promotor

The residual value of a company’s assets after all outside liabilities have been allowed for is called
(a) Capital
(b) Annuity
(c) Equity-✔️
(d) Business

Enterprise is the controlling unit of a business. The operating unit of a business is called:
(a) Firm
(b) Establishment-✔️
(c) Bureaucracy
(d) Organization

The non-discrimination principle means treating one’s trading partners equally. It guarantees equal opportunities for suppliers from all World Trade Organization members. It is called:
(a) Most-Favoured Nation (MFN)-✔️
(b) South Asian Free Trade Area (SAFTA)
(c) General Agreement on Tariffs and Trade (GATT)
(d) None of the above

The World Trade Organization (WTO) is the only international body dealing with the rules of trade between nations. The World Trade Organization began life on 1st of
(a) January 1993
(b) January 1994
(c) January 1995-✔️
(d) January 1996

The main objectives of the World Trade Organization are
(a) To help trade flow as freely as possible.
(b) To serve as a form for trade negotiations
(c) To settle dispute between conflicting trade interests
(d) All of the above-✔️

The General Agreement on Tariffs and Trade (GATT) is the predecessor of World Trade Organization. It entered into force in.
(a) January 1946
(b) January 1947
(c) January 1948-✔️
(d) January 1949

In 1947 how many states did take part in the General Agreement on Tariffs and Trade trade round in Geneva?
(a) 13
(b) 23-✔️
(c) 33
(d) 43

The first director general of General Agreement on Tariffs and Trade from 1948-✔️68 was
(a) Sir Eric Wyndham White (UK)-✔️
(b) Mike Moore (New Zealand)
(c) Don McKinon (New Zealand)
(d) Kofi Annan (Ghana)

In 1999, who became the third director general of World Trade Organization?
(a) Olivier Long (Switzerland)
(b) Renato Ruggiero (Italy)
(c) Peter Sutherland (Ireland)
(d) Mike Moore (New Zealand)-✔️

The General Agreement on Tariffs and Trade trade rounds concentrated on reducing tariffs. Which round was the first major attempt to tackle trade barriers and to improve the system? This eighth round is called:
(a) Kennedy Round
(b) Tokyo Round
(c) Uruguay Round-✔️
(d) All of the above


Which trade round was the latest and most extensive of all and it finally led to the World Trade Organization and a new set of agreements. It lasted from 1986 to 1994.
(a) Kennedy Round
(b) Tokyo Round
(c) Doha Round
(d) Uruguay Round-✔️

The 1986-1994 Uruguay Round achieved agrement on Trade-Related Aspects of Intellectual Property Rights (TRIPS) . Which of the following are the types of intellectual property?
(a) Copyrights and related rights
(b) Trademarks including service marks
(c) Industrial design, patents, layout designs etc
(d) All of the above-✔️

The situation in which the same tax base is taxed more than once is called:
(a) Direct Taxation
(b) Double Taxation-✔️
(c) Indirect Taxation
(d) None of the above

A daily index of prices on the principal stock exchange in New York is called:
(a) Dow Jones industrial average-✔️
(b) Equity market indexl
(c) Both of the above
(d) None of the above

Large-scale shedding of employees by major corporations sometimes referred to the disposal of subsidiaries and other unwanted activities is called:
(a) Downsizing
(b) Rightsizing
(c) Both of the above-✔️
(d) None of the above

Two sellers only of a good or service in a market. This situation is:
(a) Monopoly
(b) Duopoly-✔️
(c) Oligopoly
(d) None of the above

Consumer goods that yield services or utility over time rather than being used up instantly are termed as
(a) Durable Goods-✔️
(b) Undurable Goods
(c) Both of the above
(d) None of the above

The setting up of mathematical models describing economic relationship testing the validity of such hypotheses is termed as:
(a) Econometrics-✔️
(b) Commerce
(c) Trade
(d) Finance

Any physical object, natural or man made, or service renderal: that could command a price in market is called:
(a) Consumer Goods
(b) Final Goods
(c) Economic Goods-✔️
(d) All of the above

The exploitation of developing countries by advanced countries is called:
(a) Embargoes
(b) Sanctions
(c) Economic Imperialism-✔️
(d) None of the above

A measure taken in respect of economic activity that has the intention of damage to another country’s economy is called:
(a) Economic Exploitation
(b) Economic Sanction-✔️
(c) Both of the above
(d) None of the above

Which sector is the largest and fastest growing sector of the world economy, providing more than 60% of global output?
(a) Agricultural Sector
(b) Service Sector-✔️
(c) Industrial Sector
(d) Forestry

The reduction in value of an asset as reduction in the value of currency is known as:
(a) Appreciation
(b) Devaluation
(c) Depreciation-✔️
(d) All of the above

A downturn in the business cycle in which there is a sustained high level of unemployment is called
(a) Inactivity
(b) Depression-✔️
(c) Paralysis
(d) Decline

The process of invigorating activity in a sector of the economy by reducing the government controls that have the effect of creating barriers to entry is called
(a) Privatization
(b) Regulation
(c) Deregulation-✔️
(d) All of the above

The reduction of the fixed official rate at which one currency is exchanged for another in a fixed exchange rate regime is termed:
(a) Appreciation
(b) Depreciation
(c) Devaluation-✔️
(d) None of the above

Investment in the foreign operations of a company through acquisition of a foreign operation, or establishment of a new site is called:
(a) Direct Investment-✔️
(b) Installation
(c) Indirect Investment
(d) None of the above

Taxation on the income and resources of individuals or organization is known as:
(a) Double Taxation
(b) Indirect Taxation
(c) Direct Taxation-✔️
(d) All of the above

A deduction from face value is referred to as:
(a) Premium
(b) Discount-✔️
(c) Reward
(d) None of the above

The extension in the range of goods and services in a firm or geographic region is called:
(a) Reduction
(b) Expansion
(c) Diversification-✔️
(d) Modification.

The amount of a company’s profit that the board of directors decides to distribute to ordinary shareholders is known as:
(a) Deficit
(b) Dividend-✔️
(c) Loss
(d) Capital

The allocation of labour such that each worker specializes in one or a few functions in the production process is known as:
(a) Division of Labour-✔️
(b) Distribution of Wealth
(c) Efficient Worker
(d) None of the above

The rebate or discount where ordinary share on a purchase that is accumulated for a particular period to encourage customers to remain with a specific supplier is called:
(a) Deferred Rebate
(b) Aggregated Rebate
(c) Both of the above-✔️
(d) None of the above

The excess of an expenditure flow over an income flow is termed as:
(a) Loss
(b) Deficit-✔️
(c) Surplus
(d) Shortage

The use of borrowing to finance an excess of expenditure over income is known as:
(a) Deficit Financing-✔️
(b) Debt Retirement
(c) Both of the above
(d) None of the above

A sustained reduction in the general level of prices is called:
(a) Inflation
(b) Deflation
(c) Disinflation
(d) Both B and C-✔️

A decline in the share of manufacturing sector in national income is termed as:
(a) Industralization
(b) Privatization
(c) Nationalization
(d) Deindustralization-✔️

The desire for a particular good or service supported by the possession of the necessary means of exchange to effect ownership is called:
(a) Supply
(b) Demand-✔️
(c) Loss
(d) Incentive

The scenario that western countries face a crisis in the next few decades caused by the aging of their populations is termed as:
(a) Demographic Time Bomb-✔️
(b) Green House Effect
(c) Population Explosion
(d) All of the above

The branch of economics concerned with the rate at which natural resources are consumed over time is called
(a) Marxism
(b) Capitalism
(c) Depletion theory-✔️
(d) Game Theory

Money placed in an account at a financial institution and constituting a claim on it is known as
(a) Deposit-✔️
(b) Credit
(c) Debt
(d) Hoarding

The account with a bank or other financial institution in which deposits earn interest and withdraws from which require notice is referred to as:
(a) Deposit Account-✔️
(b) Current Account
(c) Profit-Loss Account
(d) None of the above

One to whom an amount of money is due is called:
(a) Creditor-✔️
(b) Debtor
(c) Both of the above
(d) None of the above

Which of the following is referred to as international currency because it is regarded as acceptable for the settlement of international debts?
(a) Yen
(b) Dollar-✔️
(c) Rupee
(d) Dinar

The bank account on which deposits do not earn interest, but can be with drawn by cheque at any time is called:
(a) Demand Account
(b) Current Account-✔️
(c) Fixed Account
(d) Profit and Loss Account

Prices unadjusted for changes in the purchasing power of money are called:
(a) HistoricPrices
(b) Current Prices-✔️
(c) Market Prices
(d) None of theabove

The practice of searching for correlation in data with the purpose of generating theoretical hypotheses is called
(a) Data Collection
(b) Data Communication
(c) Data Mining-✔️
(d) Data Compression.

A cartel is an organization formed by producers. Its objectives are:
(a) To allocate market shares
(b) To control production
(c) To regulate prices
(d) All of the above-✔️

A loss in social welfare deriving from a policy or action that has no corresponding gain is called:
(a) Dead weight Waste
(b) Dead weight Loss-✔️
(c) Both of the above
(d) None of the above

The number of deaths occurring in any year for every 1000 of the population is referred to as
(a) Death Ratio
(b) Death Rate-✔️
(c) Both of the above
(d) None of theabove

A sum of money or other property owed by one person or organization to another is called
(a) Credit
(b) Debt-✔️
(c) Obligation
(d) All of the above

One who owes money to another is known as
(a) Creditor
(b) Debtor-✔️
(c) Both of the above
(d) None of the above

Short-term loans to the public for the purchase of specific goods is called:
(a) Commercial Credit
(b) Public Credit
(c) Consumer Credit-✔️
(d) None of the above

An economic good or commodity purchased by households for final consumption is called:
(a) Consumer good
(b) Consumption good
(c) Final good
(d) All of the above-✔️

An index (index number) of the prices of goods and services purchased by consumers to measure the inflation rate or the cost of hving is called
(a) Consumer Price Index
(b) Retail Price Index
(c) Both of the above-✔️
(d) None of the above

The use of resources to satisfy current needs and wants is called:
(a) Depletion
(b) Dissipation
(c) Consumption-✔️
(d) Destruction

A statement of the rights and obligations of each party to a transaction or transactions is called:
(a) Treaty
(b) Compact
(c) Contract-✔️
(d) Covenant

A business function concerned with the formulation of long term objectives and the development of plans to achieve them is called:
(a) Business Planning
(b) Corporate Planning-✔️
(c) Both of the above(d) None of the above

A piece of paper entitling the owner to money payments, cut-price or free goods or rations is called
(a) Cheque
(b) Note
(c) Coupon-✔️
(d) Bond

A measure of the expectation of the population that the government, or monetary authorities will adhere to policies dehvering low inflation is called
(a) Credibility-✔️
(b) Faith
(c) Integrity
(d) None of the above

Credit is the use or possession of goods without immediate payment. Which of the following is a type of credit?
(a) Consumer credit
(b) Bank credit
(c) Trade credit
(d) All of the above-✔️

A plastic, personal magnetized card with the name and account number of the holder and the expiry date embossed is referred to as:
(a) Master Card
(b) Visa Card
(c) Credit Card-✔️
(d) Green Card

The dominant body of economic thinking, economic method and economic style in the period from 18th to 19th century is termed as
(a) Modern Economics
(b) Mathematical Economics
(c) Classical Economics-✔️
(d) None of the above

The economic system with little or no external trade is called:
(a) Open economy
(b) Autarky
(c) Close economy-✔️
(d) All of the above

Privately owned banks operating cheque current accounts, receiving deposits, taking in and paying out notes and coins and making loans are generally called
(a) Central Banks
(b) Commercial Banks-✔️
(c) State Banks
(d) All of the above

A percentage of the value of a transaction taken by an intermediary as payment for his services is called:
(a) Profit
(b) Commission-✔️
(c) Percentage
(d) Fee

In economic theory, a tangible good or service resulting from the process of production is known as
(a) Product
(b) Article
(c) Commodity-✔️
(d) Item

Which of the following is an example of common market?
(a) European Union
(b) Mercosur
(c) Andean Pact
(d) All of the above-✔️

The law governing the establishment and conduct of incorporated business enterprise is called
(a) Civil Law
(b) Natural Law
(c) Company Law-✔️
(d) Cyber Law

The profits retained in the business and set aside for specified purposes are known as
(a) Company Shares
(b) Company Assets
(c) Company Reserves-✔️
(d) Company Gains

Pairs of goods for which consumption is interdependent e.g., cars and petrol or cups and saucers are known as:
(a) Complementary Goods-✔️
(b) Finished Goods
(c) Both of the above
(d) None of the above

The interest due by applying the rate to the sum of the capital invested plus the interest previously earned and reinvested is referred to as
(a) Simple Interest
(b) Compound Interest-✔️
(c) Both of the above
(d) None of the above