CUET UG Economics — Macro previous year questions with solutions.
Choose the correct statements from the following in respect of exchange rate system. (A) Floating Exchange Rate exchange rate is determined by the market forces of demand and supply. (B) In a fixed exchange rate system, making domestic currency cheaper is called Devaluation. (C) Increase in exchange rate implies that the price of foreign currency has increased and is called depreciation. (D) Exchange rates between any two currencies adjust to reflect differences in the price levels in the two countries. Choose the correct answer from the options given below:
Consider the following steps taken by the Reserve Bank of India with respect to money supply and arrange them in the appropriate sequence. (A) Increase in lending rates by commercial banks. (B) Contraction in credit. (C) Increase in bank rates by the Reserve bank of India. (D) Increase in cost of borrowings by commercial banks. Choose the correct answer from the options given below:
Suppose autonomous investment and consumption expenditure (A) in a hypothetical economy is ₹50 crores. MPS is 0.2 and the level of income is ₹4000 crores. The value of ex-ante aggregate demand would be _________
Identify which of the following statements is true about the final goods?
At a given cash reserve ratio of 50% with deposits of ₹ 1000, the amount which can be used to give loans by the bank.
Suppose, in a hypothetical economy, the cash reserve ratio is 20% and initial deposits are Rs.100. The value of money which a bank can use to give as a loan in the first round would be
Arrange the following statements in chronological order with respect to open market operation. (A) Bonds payments increases total reserves in the economy. (B) RBI buys government bonds from the market. (C) RBI sell bond if there is excess money supply. (D) Higher reserves Increase money supply in the economy. Choose the correct answer from the options given below:
When goods are financed through the budget and can be used without any direct payment, they are known as.......
Which one is not the component of a aggregate demand for final goods?
In a given consumption function C=50+0.5Y, autonomous consumption is.
Savings are that part of income that is not consumed. What is the marginal propensity to save?
Which of the following is not correct for marginal propensity to consume?
Machines produced in an economy in a given year are a part of ................
Which of the following includes replacement investment?
Which of the following makes GDP an inappropriate index of welfare? (A) Distribution of GDP. (B) Externalities. (C) Non-monetary exchanges. (D) Price Index. Choose the correct answer from the options given below:
Which of the following transaction is not included in national income?
Arrange the following steps in the correct sequence to explain the working of Multiplier. (A) Increase in income and consumption. (B) Increase in investment. (C) Rise in aggregate demand in each round (D) Generation of additional income. Choose the correct answer from the options given below:
At the equilibrium point when C=100+0.5 Y and I= 200, saving will be........................
Match List-I with List-II | List-I | List-II | |---|---| | (A) GDP at constant price | (i) known as Nominal GDP | | (B) GDP at current price | (ii) Increases only when there is increase in the quantum of output in the economy. | | (C) Welfare of the people | (III) known as earned income | | (D) Factor income | (IV) Measured in terms of the availability of goods and services | Choose the correct answer from the options given below:
Arrange the steps to calculate Net National Product at market Price by Income Method. (A) Identify and add factor Income (Rent, wages, interest and profit). (B) Add Net factor income from abroad. (C) Add Net Indirect Taxes. (D) Add mixed income of self-employed. Choose the correct answer from the options given below:
Match List-I with List-II | List-I | List-II | |---|---| | (A) Capital consumption | (I) Value added | | (B) Part of raw material which gets used up | (II) Intermediate consumption | | (C) A stock variable | (III) Depriciation | | (D) A flow variable | (IV) Inventory | Choose the correct answer from the options given below:
Calculate the value of Real GDP for the year 2023 | Year | Output(units) | Market Price (in Rs) | |---|---|---| | 2022 | 150 | 10 | | 2023 | 200 | 20 |
When consumer consumes a part of change in income, which of the following is true?
Expenditure on the purchase of capital goods refers to ___________.