Economics MCQ test-02

in credit money the money value is less than the commodity value/

• true

• false

• partially true

• incomplete statement

loans offered by commercial banks__________ the money supply in the economy

• increase

• decrease

• unchanged

• none of these

all financial institutions are banking institutions

• true

• false

• partially true

which of the following is not a part of M1

• time deposit

• demand deposit

• both a and b

• none of the above

credit creation depends on_______

• initial level of deposit

• money multiplier

• both a and b

• none of the above

loans to state government are a part of

• revenue receipts

• capital receipts

• capital expenditure

• planned revenue expenditure

revenue deficit is always equal to

• dis-investment

• borrowings

• primary deficit

• none of these

budget deficit is equal to total expenditure minus total receipts

• true

• false

• partially true

• can't say

in a government budget if revenue receipts are Rs.100 capital receipts are Rs.50 and revenue deficit is Rs.25 how much is the revenue expenditure?

• 100

• 125

• 50

• 75

Assertion(a) relief package announced during covid out-break is a non-planned expenditure

Reason(r) no provision can be made for any unforeseen circumstances in the country

• a is true and r is correct reason of a

• a is true and r is not correct reason for a

• a is false and r is true

• both are false