Economics MCQs
Economics MCQs for CSS, PMS, and competitive exams covering microeconomics, macroeconomics, market structures, fiscal and monetary policy, development, and trade. Test conceptual clarity, analytical skills, and real-world application of economic principles.
Q: Gross investment includes
A) Exports + imports
B) Wages + profits
C) Net investment + depreciation
D) Savings + taxes
Q: The producer is willing to supply more when
A) Price falls
B) Imports grow
C) Demand declines
D) Price rises
Q: Real income adjusts for
A) Tax
B) Price ceiling
C) Wages
D) Inflation
Q: Commercial banks create money by
A) Lending
B) Importing
C) Printing
D) Investing
Q: Positive externality benefits
A) Third parties
B) Producers only
C) Government only
D) Firms only
Q: Consumer goods are meant for
A) Final use
B) Resale
C) Export
D) Production
Q: Demand curve slopes downward due to
A) Profit margins
B) Law of demand
C) Supply cost
D) Budget deficit
Q: Balance of payments includes
A) Budget deficit
B) Current and capital accounts
C) Tax surplus
D) GDP and GNP
Q: Inferior goods have negative
A) Cost relation
B) Price elasticity
C) Supply effect
D) Income elasticity
Q: Investment in infrastructure is a part of
A) Capital expenditure
B) Imports
C) Transfer payments
D) Current expenditure