Question : Which of these is not a characteristic of a free-enterprise economy?

Option 1: Decisions are based on the forces of demand and supply.

Option 2: Factor rewards are based on the productivity of factors of production.

Option 3: All economic decisions are taken by the economic planners.

Option 4: Economic decisions are regulated by the market.

Question : Equilibrium price is the price when :

Option 1: Supply is greater than demand .

Option 2: Supply is less than demand .

Option 3: Demand  is very high .

Option 4: Supply is equal to demand.

Question : Globalisation means

Option 1: Integration of economy

Option 2: Integration of financial market 

Option 3: Integration of the domestic economy with the world economy

Option 4: integration of the various sector of the economy 

Question : Which of the following is the incorrect sequence of national income from broader to narrower concepts?

Option 1: GNP at market prices - NNP at factor cost - NNP at market prices - GNP at factor cost

Option 2: GNP at market prices - NNP at market prices - NNP at factor cost - Personal income

Option 3: NNP at factor cost - Personal income - Personal disposable income

Option 4: GNP at factor cost - NNP at factor cost - Personal income - Personal disposable income

Question : Cross-demand expresses the functional relationship between

Option 1: demand and price of related commodities

Option 2: demand and income

Option 3: demand and price

Option 4: demand and supply

Question : Which factor is necessary for the development of democratic institutions?

Option 1: Strong military forces

Option 2: Respect for individual rights

Option 3: A one-party system

Option 4: An agricultural economy