The 'average propensity to consume' is calculated as: MCQ with Answer and Explanation

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The 'average propensity to consume' is calculated as:

A. total consumption divided by total income

B. change in consumption divided by change in income

C. total saving divided by total income

D. total income divided by total consumption

Answer: Option A

Solution (By JKSSB Mock Tests)

APC is total consumption divided by total income.

This question belongs to: Economy GK Economy Set 1

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Question #1

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Under perfect competition, the profit-maximizing condition for a firm is:

A. TR is maximum

B. P = AC

C. MR is maximum

D. MR = MC and MC is rising

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Correct Answer: Option D

Explanation:
A perfectly competitive firm maximizes profit where marginal revenue equals marginal cost and MC is rising.

This question belongs to: Economy GK Economy Set 1

Question #2

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The 'Digital rupee' is a central bank digital currency that has been launched by RBI in a pilot.

A. Only for foreign trade

B. True

C. False

D. Only for banks

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Correct Answer: Option B

Explanation:
RBI has launched pilot projects for the Digital Rupee, a central bank digital currency.

This question belongs to: Economy GK Economy Set 1

Question #3

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The 'Finance Minister' who presented the 1991 budget and launched economic reforms was:

A. Yashwant Sinha

B. Jaswant Singh

C. Manmohan Singh

D. P. Chidambaram

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Correct Answer: Option C

Explanation:
Manmohan Singh, as Finance Minister, presented the 1991 budget that launched reforms.

This question belongs to: Economy GK Economy Set 1

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