Activities of central bank designed to influence financial variables such as money supply and interest rates?

Related Mcqs:

1. From of central bank that issues domestic currency for foreign exchange at fixed rates ?

   A. Stock exchange
   B. Currency board
   C. State Bank
   D. Commercial Bank

2. An economic system in which property resources are publicly owned and govt uses central economic planning to direct & coordinate economic activities ?

   A. Command economy
   B. Closed economy
   C. Open economy
   D. None

3. An essentially risk free, long term interest rate which is free of the influence of market imperfections?

   A. Pure rate of interest
   B. Economic rate of interest
   C. Nominal rate of interest
   D. None

4. Discount rate that causes a project to have a net present value of zero used to rank projects in comparison with market rates of interest?

   A. Rate or returns
   B. External rate or returns
   C. Internal rate or returns
   D. None

5. A market in which money of one nation can be used to purchase the money of other nation is called____________________?

   A. Money market
   B. International market
   C. Foreign exchange market
   D. All of these

6. Sum total of currency in circulation plus commercial bank demand deposits and sometimes savings bank time deposits?

   A. Money supply
   B. Money lender
   C. National income
   D. None

7. Economic model describing growth of the economy on one or at most a few sectors and variables?

   A. Formal growth model
   B. Functional growth model
   C. Aggregate growth model
   D. None

8. Changes in govt. spending and tax collection designed to achieve a full employment and non-inflationary domestic out put is called___________________?

   A. Fiscal policy
   B. Economic planning
   C. Economizing problem
   D. None

9. “All LDC’s require to take off into a period of self-sustaining economic growth is a massive investment program designed to promote rapid industrialization and the building up of economic infrastructure.” ?

   A. Economic development theory
   B. Big Push theory of development
   C. Rostow’s development plan
   D. Harod Domes model

10. The transfer of savings from developing countries to industrially advanced countries to avoid govt. expropriation, taxation and high rates of inflation is_________________?

    A. capital flight
    B. capital account
    C. capital deficit
    D. All of these