The 'exchange rate pass-through' refers to the effect of exchange rate changes on: MCQ with Answer and Explanation

The 'exchange rate pass-through' refers to the effect of exchange rate changes on:
A. stock prices only
B. domestic prices of imports and inflation
C. unemployment only
D. government spending
Answer: Option B
Solution (By JKSSB Mock Tests)
Exchange rate pass-through is the impact of exchange rate changes on domestic prices.

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Practice More Economy Set 1 Questions

Question #1
The 'Employees' State Insurance Act' applies to factories employing how many or more persons?
A. 20
B. 10
C. 50
D. 5

Correct Answer: Option B


Explanation:
ESI Act applies to factories employing 10 or more persons, with some state variations.

This question belongs to: Economy GK Economy Set 1
Question #2
Commercial paper is a short-term instrument issued by:
A. individuals
B. highly rated corporate borrowers
C. RBI
D. state governments

Correct Answer: Option B


Explanation:
Commercial paper is an unsecured short-term instrument issued by highly rated corporate borrowers.

This question belongs to: Economy GK Economy Set 1
Question #3
Average product is obtained by dividing total product by:
A. marginal product
B. units of variable input
C. total cost
D. fixed input

Correct Answer: Option B


Explanation:
Average product is total product divided by the units of the variable input used.

This question belongs to: Economy GK Economy Set 1