Q.21)-The process of curing inflation by reducing money supply is called-
- Cost-push inflation
- Demand-pull inflation
- Disinflation
- Reflection
Q.22)-The term stagflation refers to a situtions where-
- Growth has no relation with the change in prices
- Rate of growth and prices both are decreasing
- Rate of growth in faster than the rate of price increase
- Rate of growth in slower than the rate of price increase
Q.23)-Cheap money means-
- Low Rate of Interest
- Low Level of savings
- Low Level Income
- Excess of Black Money
Q.24)-In a period of inflation and price rise the supply of money remains-
- The same
- Increases
- Decreases
- Increases or decreases proportionately
Q.25)-Stagflation is a situation of-
- Stagnation and deflation
- Stagnation and recession
- Stagnation and inflation
- Stagnation and recovery
Q.26)-Deflation is a situation in which-
- The value of money is falling
- The price of goods is increasing
- The value of money is increasing
- The price level is stagnant
Q.27)-Stagflation refers to a situation which is characterised by-
- Stagnant employment and deflation
- Deflation and rising unemployment
- Inflation and rising employment
- Inflation and rising unemployment
Q.28)-Who benefits the most during the inflationary period?
- Corporate servents
- Creditors
- Entrepreneurs
- Government servants
Q.29)-Pump priming should be resorted to at a time of-
- Inflation
- Deflation
- Stagflation
- Reflation
Q.30)-Inflation is a situation characterized by-
- Too much money chasing too few goods
- Too few money chasing too much goods
- Too many people chasing too few goods
- Too many people chasing too little goods