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Balance of Payments
- Online Test
Balance of Payments
TEST : 1
# Balance of Payments
# CBSE 12TH Economics
Prepare / Learn
Q1.
The demand curve for foreign exchange is
A.
Vertical
B.
Upward sloping
C.
Horizontal
D.
Downward sloping
View Solution
Add Work Space
Answer :
Option D
Explaination / Solution:
No Explaination.
# Balance of Payments
# CBSE 12TH Economics
Prepare / Learn
Q2.
The supply of foreign exchange and the exchange rate has
A.
Direct relationship
B.
Inverse relationship
C.
Indirect relationship
D.
Exponential relationship
View Solution
Add Work Space
Answer :
Option A
Explaination / Solution:
No Explaination.
# Balance of Payments
# CBSE 12TH Economics
Prepare / Learn
Q3.
The supply curve of foreign exchange is
A.
Horizontal
B.
Vertical
C.
Upward sloping
D.
Downward sloping
View Solution
Add Work Space
Answer :
Option C
Explaination / Solution:
No Explaination.
# Balance of Payments
# CBSE 12TH Economics
Prepare / Learn
Q4.
The equilibrium exchange rate is determined at the point where the
A.
Demand for and Supply of foreign exchange has maximum gap
B.
Demand for and Supply of foreign exchange has maximum gap
C.
None of the above
D.
Demand for and Supply of foreign exchange is equal
View Solution
Add Work Space
Answer :
Option D
Explaination / Solution:
No Explaination.
# Balance of Payments
# CBSE 12TH Economics
Prepare / Learn
Q5.
The upward sloping supply curve for the foreign exchange reflects
A.
Indirect relationship
B.
Exponential relationship
C.
Direct relationship
D.
Inverse relationship
View Solution
Add Work Space
Answer :
Option C
Explaination / Solution:
No Explaination.
# Balance of Payments
# CBSE 12TH Economics
Prepare / Learn
Q6.
The downward sloping demand curve for the foreign exchange reflects
A.
Direct relationship
B.
Exponential relationship
C.
Inverse relationship
D.
Indirect relationship
View Solution
Add Work Space
Answer :
Option C
Explaination / Solution:
No Explaination.
# Balance of Payments
# CBSE 12TH Economics
Prepare / Learn
Q7.
If the demand for foreign exchange rises, supply schedule remaining the same, the exchange rate will rise. It is
A.
Can’t say
B.
Always
C.
Never
D.
Sometimes
View Solution
Add Work Space
Answer :
Option B
Explaination / Solution:
No Explaination.
# Balance of Payments
# CBSE 12TH Economics
Prepare / Learn
Q8.
If the Supply of foreign exchange rises, demand schedule remaining the same, the exchange rate will rise. It is
A.
Always
B.
Sometimes
C.
Never
D.
Can’t say
View Solution
Add Work Space
Answer :
Option C
Explaination / Solution:
No Explaination.
# Balance of Payments
# CBSE 12TH Economics
Prepare / Learn
Q9.
If c = 0.8 and m = 0.3, the open economy multiplier will be
A.
5.0
B.
7
C.
6
D.
8
View Solution
Add Work Space
Answer :
Option A
Explaination / Solution:
No Explaination.
# Balance of Payments
# CBSE 12TH Economics
Prepare / Learn
Q10.
If c = 0.8 and m = 0.3, the closed economy multiplier will be
A.
2.0
B.
5
C.
3
D.
4
View Solution
Add Work Space
Answer :
Option A
Explaination / Solution:
No Explaination.
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