Economics MCQs For Lectureship CSS PMS And NTS Part V. Economics MCQs For Lectureship CSS PMS And NTS Part V.

Economics MCQs For Lectureship CSS PMS And NTS Part V

1 How inflation can be controlled?

Through Monetary and Fiscal policies

2 What is inflation?

General price level rises continuously

3 What is the velocity of money in a country in normal circumstances?

Less than 10

4 What is it that banks discount it and advance loans

Bill of exchange

5 Why paper money is called fiat money?

It is issued with the authority of government

6 The demand for money according to Keynes is affected by income and

Rate of interest

7 What happens during inflation?

Lenders lose and borrowers gain

8 As the interest rate falls the quantity demanded of money

Rises

9 If the quantity of money rises by 100%, other things remaining the same, how much the value of money changes?

Decreases by 100%

10 What does value of money means?

General purchasing power of money