The 'Phillips curve' shows trade-off between: MCQ with Answer and Explanation

The 'Phillips curve' shows trade-off between:
A. unemployment and growth
B. inflation and unemployment
C. interest rates and inflation
D. inflation and growth
Answer: Option B
Solution (By JKSSB Mock Tests)
Phillips curve shows inverse relationship between inflation and unemployment.

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Practice More Economy Set 1 Questions

Question #1
Which of the following is a form of public enterprise based on ownership and organisation?
A. Only foreign multinational corporations
B. Departmental undertaking, public corporation and government company
C. Only private limited companies with no government share
D. Only cooperative societies without government ownership

Correct Answer: Option B


Explanation:
Public enterprises may be organised as departmental undertakings, statutory public corporations or government companies in which the government holds a majority stake.

This question belongs to: Economy GK Economy Set 1
Question #2
Say's law of markets states that:
A. saving is always equal to investment
B. supply creates its own demand
C. government must manage demand
D. demand creates its own supply

Correct Answer: Option B


Explanation:
Say's law states that supply creates its own demand.

This question belongs to: Economy GK Economy Set 1
Question #3
The concept of 'Degrowth' in ecological economics advocates:
A. The complete abandonment of all economic activity
B. A planned reduction of energy and resource throughput in high-income countries to bring the economy within ecological limits while improving well-being
C. Unlimited economic growth
D. Only growth in developing countries

Correct Answer: Option B


Explanation:
Degrowth is a school of thought that calls for a democratically planned downscaling of production and consumption in over-consuming countries in order to achieve ecological sustainability and social justice.

This question belongs to: Economy GK Economy Set 1