Total withdrawals from the circular flow of income include ?

Related Mcqs:

1. Within the circular flow of income, an increase in domestic income will tend to increase ?

   A. exports
   B. taxes
   C. inventories
   D. imports

2. If injections are less than withdrawals at the full-employment level of national income, there is ?

   A. an inflationary gap
   B. hysteresis
   C. A deflationary gap
   D. hyperinflation

3. Equilibrium in the circular flow of income occurs when ?

   A. Injections = withdrawals
   B. There is a Bank Holiday
   C. Injections withdrawals
   D. None of these

4. Which of the following is a withdraw from the circular flow income stream ?

   A. Investment
   B. Subsidies
   C. Taxation
   D. Consumption

5. If injections are greater than withdrawals ?

   A. National income will increase
   B. National income will decrease
   C. National income will stay in equilibrium
   D. Price will fall

6. The World Bank’s GNP per capita classification for low income middle income and high income countries respectively is ?

   A. less than $900, $900-$9000 and more than $9000
   B. less than $5000, $5000-$15000 and more than $15000
   C. less than $100, $100-$1000 and more than $1000
   D. less than $5000, $5000-$150000 and more than $150000

7. A tax for which high income taxpayers pay a smaller fraction of their income than do low income taxpayers is known as ?

   A. a proportional tax
   B. a regressive tax
   C. an equitable tax
   D. a progressive tax

8. If the income tax rate changes from 30% to 40% on income over Rs30,000 and a person’s income is Rs 31,000 then her marginal tax rate is ?

   A. 30%
   B. 10%
   C. 70%
   D. 40%

9. Leakages from the circular flow are _________ and __________?

   A. investment, savings, government expenditure
   B. savings, taxes net of subsidies imports
   C. consumption investment government expenditure
   D. consumption taxes imports

10. In the circular flow we would expect leakages to ___________ injections?

    A. equal
    B. be less than
    C. be greater than
    D. be less or greater than