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: A recession is characterized by
A) Rising employment
B) Rapid economic growth
C) Negative GDP growth
D) Stable prices
Q: Market equilibrium occurs when
A) Price is zero
B) Quantity demanded equals quantity supplied
C) Supply is infinite
D) Demand is zero
Q: Public goods are distinguished by
A) High prices
B) Excludability
C) Rival consumption
D) Non-excludability
Q: Saving increases when
A) Income decreases
B) Interest rate falls
C) Future uncertainty rises
D) Inflation increases
Q: In the short run, at least one factor of production is
A) Variable
B) Redundant
C) Fixed
D) Liquid