macro fundamentals, GDP, investment & growth section 4 MCQ Questions & Answers Detailed Explanation

Question : 1

The National Income of a country (India) is equal to which of the following:

a) Net National Product at Factor Cost

b) Net National Product at Market Prices

c) Gross National Product (GNP)

d) Income going to the household sector

Question : 2

Consider the following statements regarding Capital formation:

1. Gold and valuable metals are part of Fixed Capital Formation
2. Intellectual properties are part of Fixed capital formation
3. Construction of buildings and other structures are part of Capital Formation

a) (ii) & (iii) only

b) (i) & (iii) only

c) (i) only

d) (iii) only

Question : 3

The decrease in dependency ratio (ratio of dependent population to working-age population) of a country may lead to which of the following situation:

1. Increase in the savings rate
2. Decrease in the savings rate
3. Increase in Capital Formation
4. Decrease in Capital Formation

a) (i) & (iv) only

b) (ii) & (iv) only

c) (i) & (iii) only

d) (ii) & (iii) only

Question : 4

Consider the following factors regarding industry.

1. Capital investment
2. Business turnover
3. Labour force
4. Power consumption

a) 1, 2 and 4

b) 1, 3 and 4

c) 2 and 3

d) 2, 3 and 4