All Free Economics MCQs with Answers

Every Economics question in the bank, across all chapters, each with the correct answer and a written explanation. Free and unlimited, with no account needed.

4,037 questions · page 169 of 202

  • A. Bullish
  • B. Bearish
  • C. Falling
  • D. Crashing

Explanation: A bearish market is one in which investors expect prices to fall and selling pressure dominates.

Correct answer: Bearish
  • A. Golden bonus
  • B. Golden shake hand
  • C. Friendly handshake
  • D. Golden handshake

Explanation: A golden handshake is a substantial payment or benefits package offered to a senior employee on retirement or departure.

Correct answer: Golden handshake
  • A. Controlling Banks
  • B. Controlling cooperation
  • C. Controlling markets
  • D. None of them

Explanation: Deregulation means removing or reducing government rules and controls over markets so that prices, entry and business decisions are…

Correct answer: Controlling markets
  • A. A big company
  • B. Stock Exchange
  • C. Joint stock
  • D. A multinational company

Explanation: A stock exchange is an organised market where securities such as shares and bonds are bought and sold.

Correct answer: Stock Exchange
  • A. Free market economy
  • B. Laissez faire also Laisser faire
  • C. Open market economy
  • D. Liberal market economy

Explanation: Laissez-faire means allowing private commerce to operate with little or no government interference.

Correct answer: Laissez faire also Laisser faire
  • A. Sale of goods in large quantities with high quality
  • B. Sale of goods in large quantities with low quality
  • C. Sale of goods in large quantities and at a low price
  • D. Sale of goods in large quantities with high price

Explanation: Dumping occurs when goods are exported and sold at an unusually low price, often below their normal value or domestic price.

Correct answer: Sale of goods in large quantities and at a low price
  • A. Limited Company
  • B. Society
  • C. Corporation
  • D. Cooperative

Explanation: A cooperative is owned and managed by the people who use its services, such as its members or customers.

Correct answer: Cooperative
  • A. Adam smith
  • B. David Ricardo
  • C. David smith
  • D. Adam Ricardo

Explanation: Adam Smith is widely called the father of economics because his 1776 work, The Wealth of Nations, provided a foundational systematic…

Correct answer: Adam smith
  • A. Bankruptcy
  • B. Default
  • C. Total loss
  • D. Crash

Explanation: Bankruptcy is the legal or financial condition in which a debtor cannot meet obligations to creditors.

Correct answer: Bankruptcy
  • A. Wall street
  • B. NASDAQ
  • C. Nikkei index
  • D. Yahoo index

Explanation: Wall Street is the common collective term for the U.S. securities industry and its firms, including brokers, dealers and underwriters.

Correct answer: Wall street
  • A. Market interest
  • B. Easy interest
  • C. Compound interest
  • D. Simple interest

Explanation: Simple interest is calculated only on the original principal, using the formula principal multiplied by rate and time.

Correct answer: Simple interest
  • A. Rearranged loans
  • B. Rescheduled loans
  • C. Altered loans
  • D. None of these

Explanation: Rescheduled loans have their repayment timetable or maturity extended to make instalments easier for the borrower to meet.

Correct answer: Rescheduled loans
  • A. Limited company
  • B. Registered company
  • C. Public company
  • D. Public limited company

Explanation: A registered company in this context is one that has filed the required statement with the SEC and met its disclosure requirements.

Correct answer: Registered company
  • A. Credit worthiness
  • B. Credit Worth
  • C. Credit line
  • D. Ratings

Explanation: Moody's, S&P and Fitch provide credit ratings, which assess the credit quality and default risk of debt securities.

Correct answer: Ratings
  • A. Proxy vote
  • B. Absentia vote
  • C. Remote vote
  • D. Casting vote

Explanation: A proxy is an authorization allowing another person to cast a shareholder's vote, either in writing or electronically.

Correct answer: Proxy vote
  • A. A collection of investments, real or financial
  • B. Net assets of a company
  • C. Total profit of company in a year
  • D. Total unmovable assets of a company

Explanation: A portfolio is a collection of investments, which may include financial assets such as shares and bonds or real assets such as property.

Correct answer: A collection of investments, real or financial
  • A. Oligopoly
  • B. Grey market
  • C. Oligopsony
  • D. Green market

Explanation: An oligopsony exists when a small number of buyers dominate purchases from many sellers and can influence the price.

Correct answer: Oligopsony
  • A. Lion's share
  • B. Market share
  • C. Net share
  • D. Holding share

Explanation: Market share is the percentage of total industry sales accounted for by a particular company.

Correct answer: Market share
  • A. Solvency
  • B. Crash
  • C. Bankruptcy
  • D. Liquidation

Explanation: Liquidation is the process of ending a firm by selling its assets, paying creditors, and distributing any remaining value to shareholders.

Correct answer: Liquidation
  • A. joint company
  • B. Joint stock company
  • C. Limited joint company
  • D. Limited Company

Explanation: A joint-stock company combines features of a partnership, such as pooled ownership, with features of a corporation, such as transferable…

Correct answer: Joint stock company