The sacrifice ratio measures: MCQ with Answer and Explanation

Question

Share Report Error

The sacrifice ratio measures:

A. the cost of inflation in terms of lost output

B. the ratio of exports to imports

C. the cost of unemployment in terms of inflation

D. the ratio of tax revenue to GDP

Answer: Option A

Solution (By JKSSB Mock Tests)

The sacrifice ratio is the cumulative output loss required to reduce inflation by one percentage point.

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

Share Report

The 'National Agriculture Market' e-NAM was launched in which year?

A. 2016

B. 2017

C. 2014

D. 2018

View Answer & Solution Discuss

Get Complete Subject PDF for Economy GK

Correct Answer: Option A

Explanation:
e-NAM was launched in 2016.

This question belongs to: Economy GK Economy Set 1

Question #2

Share Report

The 'Minimum Support Price' is based on which cost concept?

A. A2 + FL cost

B. C2 cost

C. only paid-out costs

D. C3 cost only

View Answer & Solution Discuss

Get Complete Subject PDF for Economy GK

Correct Answer: Option A

Explanation:
MSP is based on A2 plus family labour (FL) cost, though CACP recommends and government can consider C2.

This question belongs to: Economy GK Economy Set 1

Question #3

Share Report

Which of the following is a non-debt creating capital receipt of the government?

A. Market borrowings

B. External commercial borrowings

C. Treasury bills

D. Recovery of loans

View Answer & Solution Discuss

Get Complete Subject PDF for Economy GK

Correct Answer: Option D

Explanation:
Recovery of loans is a non-debt capital receipt because it does not create a future liability. Borrowings of all kinds create debt.

This question belongs to: Economy GK Economy Set 1

Explore All Economy Set 1 MCQs