The LM curve shows combinations of income and interest rate where: MCQ with Answer and Explanation

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The LM curve shows combinations of income and interest rate where:

A. labour market is in equilibrium

B. goods market is in equilibrium

C. balance of payments is in equilibrium

D. money market is in equilibrium

Answer: Option D

Solution (By JKSSB Mock Tests)

The LM curve represents equilibrium in the money market.

This question belongs to: Economy GK Economy Set 1

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Question #1

The 'GST' regime has subsumed which of the following central taxes?

A. Central Excise Duty

B. Income tax

C. Corporate tax

D. Customs duty

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Correct Answer: Option A

Explanation:
GST subsumed central excise duty, service tax, additional customs duty, etc.

This question belongs to: Economy GK Economy Set 1

Question #2

The 'GST' has helped in creating a unified national market by:

A. increasing entry taxes

B. removing cascading taxes and multiple state-level barriers

C. increasing check posts

D. raising state VAT rates

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Correct Answer: Option B

Explanation:
GST removed cascading taxes and state barriers, creating a unified market.

This question belongs to: Economy GK Economy Set 1

Question #3

Which of the following taxes has NOT been subsumed under GST?

A. Basic Customs Duty

B. Service Tax

C. State VAT

D. Central Excise Duty

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Correct Answer: Option A

Explanation:
Basic Customs Duty has not been subsumed under GST.

This question belongs to: Economy GK Economy Set 1

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