Economics MCQs MCQs - General Knowledge Practice | PakExamPoint
Practise Economics MCQs MCQs in General Knowledge. Attempt multiple-choice questions, check answers and revise related subtopics.
Economics MCQs MCQs and revision practice
Study Economics MCQs through multiple-choice questions in General Knowledge. This subtopic contains 276 practice questions. Read the wording carefully, compare the options and attempt an answer before checking the solution in learning mode.
Use these Economics MCQs MCQs to identify the facts, rules or methods you need to revise. Where an explanation is available, work through it and write down why your chosen option was correct or incorrect. Revisit difficult questions after reviewing your notes, then use exam mode for timed practice.
بین الاقوامی تجارت کا بیک ورڈ ایفیکٹ کہاں واقع ہوتا ہے؟
A. None of these
B. Between two different areas of the same countries only
C. Between two different countries only
D. Both A and B
Check answer and explanation
Answer: Both A and B
Explanation The backward effect of international trade refers to the impact of trade on less-developed or supplying regions. It can occur within a country (between regions) as well as between different countries . Trade may sometimes slow development in backward areas by drawing resources away . Thus, it is not limited to only one type of region. Last verified on 22-04-2026
Explanation Agriculture is the backbone of South Asian economies, employing a large portion of the population. Countries like India, Pakistan, and Bangladesh rely heavily on agriculture for food production and exports.
ہماری مخلوط معیشت میں آمدنی کی تقسیم کس کے ذریعے طے ہوتی ہے؟
A. None of these
B. Tax laws
C. Factor prices
D. Both A and B
Check answer and explanation
Answer: Both A and B
Explanation In a mixed economy , income is distributed through both market forces and government policies . Factor prices (wages, rent, interest, profit) are determined by demand and supply in markets. At the same time, tax laws also affect how income is redistributed in society. So, both market pricing and government intervention play a role. Last verified on 23-04-2026
مندرجہ ذیل میں سے کون سا طریقہ پاکستان میں 1980 کی دہائی کے بعد استعمال نہیں کیا گیا؟
A. A change in the regulations about banks’ reserve ratios
B. Monetary base control
C. None of these
D. Interest rate control
Check answer and explanation
Answer: Interest rate control
Explanation Governments and central banks control money markets using different tools. These include reserve requirements, monetary base control, and interest rate policies. Since financial reforms in the 1980s, Pakistan shifted toward market-based policies. Direct interest rate control (fixed/administered rates) was largely discontinued. Last verified on 22-04-2026
کسی بھی پیداوار کی سطح پر جہاں قلیل مدت اوسط لاگت طویل مدت اوسط لاگت کو چھوتی ہو، تو اس وقت کیا درست ہوگا؟
A. LMC = LAC
B. LMC < SMC
C. LMC > SMC
D. LMC = SMC
Check answer and explanation
Answer: LMC = SMC
Explanation When SRAC is tangent to LRAC , firms are at long-run equilibrium. At this point, short-run and long -run marginal costs are equal. It represents the optimal scale of production. Cost efficiency is maximized at this point. Last verified on 24-04-2026
یکساں مقابلے کی منڈی میں مصنوعات کی تفریق سے کیا مراد ہے؟
A. Offering products at the same price as competitors
B. Offering products that are similar but not identical
C. Offering unique products with no substitutes
D. Offering identical products to consumers
Check answer and explanation
Answer: Offering products that are similar but not identical
Explanation In monopolistic competition , many firms sell similar products. But each firm tries to make its product slightly different . This is called product differentiation . It helps firms create brand loyalty and competition advantage. Last verified on 24-04-2026
قیمت میں تبدیلی کے نتیجے میں خریدار کی طلب میں تبدیلی کو کیا کہتے ہیں؟
A. Cross elasticity of demand
B. Income elasticity of demand
C. None of these
D. Price elasticity of demand
Check answer and explanation
Answer: Price elasticity of demand
Explanation When the price of a good changes , the change in quantity demanded by buyers is measured by price elasticity of demand . It shows how sensitive demand is to price fluctuations. If price changes slightly and demand changes a lot , elasticity is high. Last verified on 23-04-2026
پیٹرولیم کی سپلائی مقرر ہے کیونکہ زمین کے اندر اس کی مقدار محدود ہے۔
A. False
B. True
Check answer and explanation
Answer: True
Explanation Petroleum is a natural resource found underground in limited quantity. It cannot be produced quickly like manufactured goods . Its total supply is fixed in the short run because it takes millions of years to form. However, extraction levels can change with technology and prices . So, the statement is generally correct . Last verified on 23-04-2026
B. Ability of supply chain to recover and continue during disruptions
C. Increasing production cost only
D. None of these
Check answer and explanation
Answer: Ability of supply chain to recover and continue during disruptions
Explanation Supply Chain Resilience refers to the ability of a supply system to withstand and recover from disruptions. These disruptions can include natural disasters, wars, pandemics, or transport failures . A resilient supply chain ensures continuous flow of goods and services . It helps businesses reduce risks and maintain stability in operations. Last verified on 12-05-2026
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