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Economics MCQs: Test Your Knowledge and Boost Your Understanding

Are you ready to dive into some thought-provoking Economics MCQs? Our comprehensive collection of Economics MCQs is designed to challenge and enhance your understanding of key economic concepts. Whether you’re preparing for exams, looking to improve your knowledge for professional growth, or just interested in economic theories and applications, our Economics MCQs offer valuable insights and practice. Explore topics ranging from market dynamics and economic policies to global financial systems and microeconomics.

General Knowledge (GK) MCQs: Expand Your Knowledge Horizons

In addition to Economics MCQs, we provide a diverse range of General Knowledge (GK) MCQs to test and broaden your overall knowledge. Our GK MCQs cover a variety of subjects, ensuring you have a well-rounded grasp of general knowledge. Perfect for quiz enthusiasts, students, and anyone eager to learn more about the world, our General Knowledge (GK) MCQs are designed to keep you informed and engaged.

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Which economic concept refers to the increase in output that results from a one-unit increase in input?

A. Marginal Product
B. Average Product
C. Total Product
D. Fixed Cost

Answer: Marginal Product

Which theory suggests that tax cuts lead to economic growth by increasing investment and employment?

A. Supply-Side Economics
B. Keynesian Economics
C. Classical Economics
D. Monetarism

Answer: Supply-Side Economics

Which economist is known for his work on the theory of the invisible hand?

A. Adam Smith
B. David Ricardo
C. Karl Marx
D. John Maynard Keynes

Answer: Adam Smith

What does the term ‘monetary policy’ primarily deal with?

A. Control of money supply and interest rates
B. Government spending and taxation
C. Trade policies and regulations
D. Labor market policies

Answer: Control of money supply and interest rates

Which term describes a situation where a country imports more than it exports?

A. Trade Deficit
B. Trade Surplus
C. Balance of Trade
D. Balance of Payments

Answer: Trade Deficit

Which concept refers to the decrease in the value of capital goods over time?

A. Depreciation
B. Appreciation
C. Inflation
D. Deflation

Answer: Depreciation

Which index measures the changes in the prices of a basket of goods and services over time?

A. Consumer Price Index (CPI)
B. Producer Price Index (PPI)
C. Retail Price Index (RPI)
D. Gross Domestic Product (GDP) Deflator

Answer: Consumer Price Index (CPI)

Which term describes the total value of all financial assets owned by a person or organization?

A. Net Worth
B. Gross Income
C. Net Income
D. Capital Gains

Answer: Net Worth

Which theory states that government intervention is necessary to stabilize the economy?

A. Keynesian Economics
B. Classical Economics
C. Austrian Economics
D. Supply-Side Economics

Answer: Keynesian Economics