UGC NET ECONOMICS MODEL QUESTIONS-set 13

1) An economic phenomenon occurs when the interest rate is close or equal to zero and Central Banks find that they have run out of room to stimulate aggregate demand during a slow down or recession - Liquidity trap
2) Policies undertaken by government to reduce their deficits and accumulation of debt stock - Fiscal consolidation
3) Rupee denominated debt instruments issued in offshore market to investers by Indian companies and all settlement of bonds happened in Dollar - Masala bond
4) The market for short term debt instruments - Money market
5) The market for equity and long term debt instruments - Capital market
6) Kerala government owned financial institution to mobilize funds for infrastructure development from outside the state revenue - Kerala Infrastructure Investment Fund Board (KIIFB)
7) The part of population who are willing to work and able to do work - Labour force
8) The Money derives it's by being declared by government to be legal tender - Fiat Money
9) The economies and diseconomies which accrue to the firms as a result of the expansion in the output of the whole industry and they are not dependent on the output level of individual firms - External economies and external diseconomies
10) Stock of liquid assets held by the public which can be freely exchanged for goods and services - Money supply

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