A price ceiling set below the equilibrium price generally results in: MCQ with Answer and Explanation

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A price ceiling set below the equilibrium price generally results in:

A. equilibrium

B. surplus

C. shortage

D. increase in supply

Answer: Option C

Solution (By JKSSB Mock Tests)

A price ceiling below equilibrium creates excess demand or a shortage.

This question belongs to: Economy GK Economy Set 1

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Question #1

The 'Goods and Services Tax' on R&D services is:

A. 18%

B. 28%

C. 5%

D. 12%

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Correct Answer: Option A

Explanation:
Research and development services attract 18% GST.

This question belongs to: Economy GK Economy Set 1

Question #2

In the context of cost-benefit analysis, a project is considered viable if:

A. Only financial costs are considered without social costs

B. Present value of benefits exceeds present value of costs

C. Present value of costs exceeds present value of benefits

D. Only private benefits are considered

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Correct Answer: Option B

Explanation:
In cost-benefit analysis, a project is economically viable if the present value of its benefits exceeds the present value of its costs (Net Present Value > 0).

This question belongs to: Economy GK Economy Set 1

Question #3

The 'Rangarajan Committee' on poverty submitted its report in which year?

A. 2018

B. 2014

C. 2016

D. 2011

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Correct Answer: Option B

Explanation:
The Rangarajan Committee on poverty submitted its report in 2014.

This question belongs to: Economy GK Economy Set 1

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