Inflation & Poverty

Q. The period of high inflation, high unemployment and low economic growth is termed as _____.

1. none of these
2. stagnation
3. stagflation
4. take-off stage economy

Q. Inflation can be caused due to low production rate and high .

1. level of input
2. population growth
3. productivity
4. GDP

Q. ___________ is a combination of both cost push & demand pull Inflation.

1. Stagflation
2. Deflation
3. Both of above
4. None of the above

Q. Inflation causes type of poverty.

1. occasional
2. chronic
3. rural
4. continued

Q. What are the two main causes of inflation ?

Q. In India main causes of inflation are _______.

1. population growth
2. rapid urbanisation
3. all the three
4. rise in employment and income level

Q.

During a period if the equilibrium price is rupees 10 and the price fixed by the government is rupees 5, there is a __________.

1. shortage
2. surplus
3. gain
4. loss

Q.

Which of the following is the correct explanation for inflation in India?

1. High rate of production and high population growth
   

2. High rate of production and low population growth
   

3. Low rate of production and high population growth
   

4. Low rate of production and low population growth ​​​​​​​

Q. Briefly explain Creeping and Hyper inflation.

Q. A cause of inflation is _____.

1. increase in money supply
2. decrease in money supply and
3. fall of production
4. increase in money supply and fall in production

Q. List two causes of poverty in India.

Q. India has been witnessing high rate of inflation because __________.

1. public expenditure and money supply both are continuously increasing.
2. the agricultural and industrial sectors have not performed adequately.
3. all of the above.
4. both agricultural and administered prices have been hiked.

Q. Which of the following is not a cause of inflation?

1. Decrease in population growth
2. High level of public expenditure
3. Slow increase in industrial and agricultural production
4. Increase in supply of currency

Q. Define the term 'inflation'.

Q. Which one of the following statements refers to "disinflation"?

1. A simultaneous existence of high rate of inflation and high unemployment in a country.
2. A process of reversing inflation but without creating unemployment and reducing output.
3. A situation of general depression and widespread unemployment caused by deficiency of effective demand.
4. A policy of moderating rising prices and also to pull the system out of the depth of depression.

Q. Inflationary conditions may co-exist with which of the following situation?

1. Increase in factor cost
2. Increase in employment opportunities
3. Growth in GDP and imports
4. all the three

Q. What is 'Stagflation'?

1. Inflation with growth
2. Deflation with growth
3. Inflation after deflations
4. Inflation with depression