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WorksheetsBasic Economic Entities
Total questions: 20
Worksheet time: 12mins
What are the two main functions of an economy?
To produce goods and services to satisfy human wants.
To maintain a system of mutual exchange between entities.
To provide employment opportunities to people.
To solve problems related to production consumption and distribution.
Select the the only way in which fiscal policy helps our country
Balancing the export and import of commodities.
controlling inflation.
controlling and regulating the supply of money and availability of credit.
decreasing capital accumulation.
State the correct factor of production with its form of income generation.
Land-Rent
Labour-Profit
Capital-Wages
Organisation-Interest.
To raise the rate of investment is an Indirect role of a government.
True
False
How can the state check the concentration of economic power in a few hands?
Nationalization of Industries
Through progressive tax system.
Through its expenditure policy.
Through Demonetization
Under basis of nature of consumption consumers may be classified as
Direct Consumers
Indirect Consumers
Tertiary consumers
Modern Consumers
Consumers by exchanging goods.
Households offer (a) to the firms and recieve rewards in cash or kind for the services rendered.
Firms play a dual role.
True
False
When price increases purchasing power____________.
decreases
increases
remains constant
Which main activities does an economic entity perform?
Acquiring assets or to obtain their ownership right.
Taking up responsibilities and incur liabilities
participating in economic activities.
undertaking transactions with other economic entities in the economy.
maintaining a system of co-operation among producers.
(a) is the administrative body or regulatory authority that maintains law and order.
What are the economic entities?
Consumers
Households
Firms
Government
Who are the source of demand?
Consumers
Producers
Firms
Citizens of India
The process which causes the decrease in the purchasing power of the consumers is called____________
Deflation
Inflation
Which is the main bank which conducts the Monetary policy?
ICICI
HDFC
State Bank of India
Reserve Bank of India
Those aspects of the household behaviour that involve choice making and decision making form the part of (a)
"The system by which people get a living".Who stated this?
A.J Brown
Adam Smith
Lionel Robbins
Michael Jackson
Bill gates
The main objective of every ___________is to maximise satisfaction with its limited income or means.
Households
Consumers
Which are one of the indirect roles of the government
To direct the market forces
Agricultural development
Fiscal policy
Foreign Trade Policy
Which producers produce finished and manufactured goods?(Starting letters in capital only)
(a)
