Economics MCQs

A. Raising the price of x.
B. Production less x
C. Producing more x
D. Increasing the cost of producing x

A. Marginal damage cost
B. Marginal social cost
C. Marginal private cost
D. Marginal external cost

A. 1/mps
B. 1/(1+ mpc)
C. 1 – mpc
D. 1/mpc

A. An increase in income and an increase in overall saving
B. A decrease in income and an overall decrease in saving
C. A decrease in income but an increase in saving
D. An increase in income but no overall change in saving

A. The level of national income
B. The level of aggregate demand
C. The rate of change of national income
D. Expectations

A. 5
B. 8
C. 2
D. 1.25

A. The fiscal stance
B. The tax multiplier
C. The marginal tax propensity
D. The average tax propensity

A. Aggregate output equals consumption minus investment
B. Saving equals consumption
C. Planned aggregate expenditure equals aggregate output
D. Planned aggregate expenditure equals consumption

A. Income tax and social security payments
B. Taxes and the addition of benefits
C. Income tax
D. Contractual payments such as pensions and mortgages

A. The average amount of income that is saved
B. The fraction of a change in income that is saved
C. The ratio of saving to income
D. The ratio of income to saving