The 'break-even point' in consumption occurs when: MCQ with Answer and Explanation

Question

Share Report Error

The 'break-even point' in consumption occurs when:

A. consumption equals saving

B. MPC equals zero

C. saving equals investment

D. consumption equals income

Answer: Option D

Solution (By JKSSB Mock Tests)

At break-even point, consumption equals income, so saving is zero.

This question belongs to: Economy GK Economy Set 1

Request complete Subject PDF

Discuss this Question (0)

No comments yet. Be the first to start the discussion!

Practice More Economy Set 1 Questions

Question #1

MCLR stands for:

A. Maximum Cost of Lending Rate

B. Minimum Cost of Lending Rate

C. Market Controlled Lending Rate

D. Marginal Cost of Funds based Lending Rate

View Answer & Solution Discuss

Get Complete Subject PDF for Economy GK

Correct Answer: Option D

Explanation:
MCLR is the Marginal Cost of Funds based Lending Rate used by banks to set lending rates.

This question belongs to: Economy GK Economy Set 1

Question #2

The 'demographic transition' refers to changes in:

A. exchange rates

B. inflation

C. birth and death rates

D. income distribution

View Answer & Solution Discuss

Get Complete Subject PDF for Economy GK

Correct Answer: Option C

Explanation:
Demographic transition refers to shifts in birth and death rates as an economy develops.

This question belongs to: Economy GK Economy Set 1

Question #3

Which of the following is a component of Gross National Product?

A. GDP minus depreciation

B. NDP plus depreciation

C. GDP minus net factor income from abroad

D. GDP plus net factor income from abroad

View Answer & Solution Discuss

Get Complete Subject PDF for Economy GK

Correct Answer: Option D

Explanation:
GNP = GDP + Net factor income from abroad. Net factor income from abroad is the difference between factor income received from abroad and factor income paid to abroad.

This question belongs to: Economy GK Economy Set 1

Explore All Economy Set 1 MCQs