Economics MCQs

4475 MCQs  (Page 277 of 448)

Which of the following is not a function of a commercial bank?
A. accepting public deposits
B. granting loan and advances
C. undertaking agency functions
D. banker to the government
Balance of payments of a country includes ?
A. balance of trade
B. capital receipts and payments
C. savings and investment account
D. a and b of above
When the State Bank wants to decrease money supply in the country, it _______________?
A. buys govt. securities in stock market
B. sells govt. securities
C. lowers discount rate
D. b and c of above
Treasury bill is used for_________________?
A. getting short term loans
B. getting long term loans
C. treasury bill in not credit instrument
D. treasury bill is a govt. tax bill
The Liquidity Trap condition occurs at a_______________?
A. low rate of interest
B. very low rate of interest
C. high rate of interest
D. very high rate of interest
When a commercial bank creates credit its immediate effect is that it raises__________________?
A. the exchange rates
B. the interest rates
C. the money supplies
D. the real national income
Pakistan’s fiscal years starts from?
A. 1st september
B. 1st january
C. 1st april
D. 1st july
The power of a bank to create credit is affected by ?
A. the cash reserve requirement
B. the amount of cash available
C. the number of branches of a bank
D. a and b of above
Government of Pakistan issues currency on the basis of__________________?
A. availability of gold in the country
B. availability of dollars in the country
C. demand for money in the country
D. tax collection
Velocity of circulation of money means ?
A. the number of times a unit of money changes hands daily
B. the number of times as unit of money changes hands monthly
C. the number of times a unit of money changes hands annually
D. the number of times a unit of money changes value