Welcome to your International Navodaya Chamber of Commerce (INCOC) Platform ! Subject: Business Economics Total Number of Question: 40 Time: 41 Minutes Please check your email after completion of test for result. All the best... Name Phone No Email State 1. Economics is primarily concerned with the study of: Unlimited resources Scarcity and choice Politics and government Social welfare None 2. Which of the following is a normative statement? The unemployment rate in India is 7% Government should increase taxes on the rich Inflation occurs when demand exceeds supply GDP measures a country’s total output None 3. Which of the following is an example of a capital good? A car used by a family A truck used for deliveries A television A mobile phone None 4. Which economic system allows free market forces to operate with minimal government intervention? Socialism Capitalism Communism Mixed economy None 5. The concept of ‘Opportunity Cost’ refers to: The monetary cost of production The cost of next best alternative foregone The cost of raw materials The total cost of a product None 6. The law of demand states that, other things remaining constant, when the price of a good increases: Demand decreases Demand increases Supply increases Demand remains unchanged None 7. If two goods are complements, an increase in the price of one will: Increase demand for the other Decrease demand for the other Have no effect on demand Increase supply of the other None 8. The shape of a perfectly elastic demand curve is: Horizontal Vertical Downward sloping Upward sloping None 9. Which factor does NOT affect the supply of a product? Price of the product Cost of production Consumer tastes Government policies None 10. A situation where quantity demanded exceeds quantity supplied is called: Equilibrium Surplus Shortage Price floor None 11. Which of the following is NOT a feature of perfect competition? Large number of buyers and sellers Homogeneous products Free entry and exit Price control by firms None 12. Which market structure is characterized by differentiated products? Monopoly Perfect competition Oligopoly Monopolistic competition None 13. Which pricing strategy involves setting a very low price to attract customers? Price skimming Penetration pricing Cost-plus pricing Value-based pricing None 14. Which form of competition leads to price wars? Monopoly Oligopoly Perfect competition Monopolistic competition None 15. The Green Revolution in India focused on improving: Industrial production Agricultural production Service sector growth Digital infrastructure None 16. The concept of ‘Self-Reliance’ in the Indian economy is promoted under which scheme? Make in India Atmanirbhar Bharat Startup India Skill India None 17. Which sector contributes the most to India’s GDP? Agriculture Industry Manufacturing Services None 18. Which of the following is NOT a goal of economic planning in India? Economic growth Social equality Uncontrolled inflation Full employment None 19. Which organization publishes the Economic Survey of India? Reserve Bank of India Ministry of Finance NITI Aayog SEBI None 20. Which of the following is NOT a function of the Reserve Bank of India? Regulating monetary policy Controlling inflation Issuing government bonds Collecting direct taxes None 21. Inflation reduces the: Purchasing power of money Interest rates in the economy Demand for goods Government revenue None 22. Which policy is used by the RBI to control inflation? Increasing government spending Increasing repo rates Reducing reserve requirements Decreasing CRR None 23. The repo rate is the rate at which: Banks borrow from the RBI RBI borrows from commercial banks Consumers borrow from banks Government borrows from the None 24. Which of the following is an indirect tax? Income tax Corporate tax GST Wealth tax None 25. Which policy promotes free trade between countries? Protectionism Globalization Autarky Devaluation None 26. Which international institution provides short-term financial assistance to countries facing balance of payments issues? World Bank WTO IMF Asian Development Bank None 27. Which of the following is NOT a method of trade restriction? Tariff Quota Subsidy Free trade agreement None 28. Which currency is most commonly used in international trade? Euro Indian Rupee US Dollar Japanese Yen None 29. Which agreement led to the formation of the World Trade Organization (WTO)? Bretton Woods Agreement General Agreement on Tariffs and Trade (GATT) Kyoto Protocol Paris Agreement None 30. Which of the following is NOT a measure of economic development? Gross Domestic Product (GDP) Human Development Index (HDI) Literacy Rate Foreign Exchange Reserves None 31. Which sector is the backbone of the Indian economy in terms of employment? Agriculture Industry Services IT sector None 32. Which organization publishes the Human Development Index (HDI)? World Bank United Nations Development Programme (UNDP) International Monetary Fund (IMF) Reserve Bank of India (RBI) None 33. Which factor contributes most to long-term economic growth? Natural resources Physical capital Human capital Trade restrictions None 34. Which Indian initiative focuses on encouraging domestic manufacturing? Digital India Make in India Start-up India Smart Cities Mission None 35. Which of the following is an example of direct tax? Excise duty Goods and Services Tax (GST) Income tax Customs duty None 36. What is the primary objective of deficit financing? To reduce inflation To cover budget deficits by borrowing or printing money To increase private sector investment To decrease public expenditure None 37. Which of the following is a non-tax revenue for the government? Corporate tax Excise duty Interest earned on government loans GST None 38. Which economic problem arises due to unlimited wants and limited resources? Inflation Scarcity Recession Monopoly None 39. Public-private partnership (PPP) is a collaboration between: Two private companies Two government agencies Government and private sector Banks and investors None 40. Which branch of economics deals with the behavior of individual consumers and firms? Microeconomics Macroeconomics Econometrics Public finance None 1 out of 4 Great job on taking the INCOC Test! We appreciate your interest in test. Look out for results and future opportunities. Stay Connected !! Your quiz time is about to finish. Few seconds left. Time's upYou cannot switch tabs while taking this quiz!You are not allowed to switch tabs violation has been recorded.you cannot minimize full screen mode!You are not allowed to minimize full screen while taking this quiz, violation has been recorded.Access denied! To begin the quiz, please grant this quiz access to your camera.Time is Up!Time is Up!
