Which of the following is a measure of economic inequality? MCQ with Answer and Explanation

Which of the following is a measure of economic inequality?
A. Only GDP growth rate
B. Human Development Index as a pure inequality measure
C. Gini coefficient, Lorenz curve and Theil index
D. Only unemployment rate
Answer: Option C
Solution (By JKSSB Mock Tests)
The Gini coefficient, Lorenz curve and Theil index are standard measures used to quantify the degree of inequality in the distribution of income or wealth.

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Practice More Economy Set 1 Questions

Question #1
The 'Merchandise Exports from India Scheme' was replaced by which scheme from 2021?
A. SEIS
B. RoDTEP
C. EPCG
D. MEIS

Correct Answer: Option B


Explanation:
MEIS was replaced by the Remission of Duties and Taxes on Exported Products scheme.

This question belongs to: Economy GK Economy Set 1
Question #2
In the context of banking, the 'Net Stable Funding Ratio' under Basel III is designed to:
A. Determine capital adequacy only
B. Ensure that banks maintain a stable funding profile over a one-year horizon
C. Measure only short-term liquidity over 30 days
D. Set the repo rate

Correct Answer: Option B


Explanation:
The Net Stable Funding Ratio (NSFR) requires banks to maintain a stable funding profile in relation to their on- and off-balance-sheet activities over a one-year time horizon.

This question belongs to: Economy GK Economy Set 1
Question #3
The term 'Special Drawing Rights' can be used by member countries of the IMF for:
A. Settling international payments and as a reserve asset
B. Only purchasing gold
C. Only domestic transactions
D. Only financing fiscal deficit

Correct Answer: Option A


Explanation:
SDRs are international reserve assets that can be exchanged for freely usable currencies and used in transactions among IMF members and prescribed holders.

This question belongs to: Economy GK Economy Set 1