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Q&A Bank >> 30 November 2012



Q : questionmns is a paramagnetic solid at 300176k there are 4
Q : lakespring retirement village is home to senior citizens
Q : what is wrong with each of the following attempts to write
Q : blue sky events is an organisation that devices and runs
Q : effects of fluctuations in exchange rateswhen a countrys
Q : factors influencing exchange ratesi inflation other
Q : foreign exchange marketsit is the place where buyers and
Q : currency swapsif the currency of one country is not
Q : special drawing rights sdrthese are international reserve
Q : borrowing facilitiesif a countrys currency is not
Q : convertible national currenciescurrencies are convertible
Q : goldalthough currently no country uses gold as its national
Q : international liquidityinternational liquidity is the name
Q : long-term policiesone long term option of tackling balance
Q : short-term policiesdeflation is a policy of reducing
Q : policies to cure balance of payment deficitsthe measures
Q : equilibrium and disequilibrium in the balance of paymentsif
Q : the balancing itemsince for ever position entry in the
Q : the monetary accountalso called official financing this
Q : capital accountthis records all transactions arising from
Q : the current accountthis records all transactions involving
Q : balance of paymentsthe balance of payments of a country is
Q : a complementary facility for commodity-related shortfalls
Q : stabexthe stabex scheme was designed to stabilize earnings
Q : compensatory financingtwo other schemes for alleviating the
Q : the uns integrated programme for commoditiesmost of the
Q : objectives of icasmost schemes have as their main objective
Q : international commodity agreements icasinternational
Q : factors affecting the long run trend of the terms of trade
Q : terms of tradethe relation between the prices of a countrys
Q : arguments against protectionism most of the arguments
Q : strategic reasonsfor political or strategic reasons a
Q : danger of over-specialising a country may feel that in
Q : balance of paymentsperhaps the most immediate reason for
Q : dumpingif goods are sold on a foreign market below their
Q : structural unemploymentthe decline of the highly localized
Q : infant industry argumentadvocates of this maintain that if
Q : cheap labour it is often argued that the economy must be
Q : gains from international tradethe gains from international
Q : theory of comparative advantagein his theory put forward in
Q : international tradedefinitionit is the exchange of goods
Q : measures to control inflationan inflationary situation can
Q : the impact of inflationinflation has different effects on
Q : demand-pull inflation is when aggregate demand exceeds the
Q : causes of inflation at present three main explanations
Q : measurement of inflationthe rate of inflation is measured
Q : meaningthe word inflation has at least four meanings a
Q : liquidity and the multiple contraction of depositsmany of
Q : interest rates decreasing the rate of interest may not
Q : monetary policy the problems concerning the ability of
Q : problems of prices and incomes policyi confrontationthe
Q : the neo-classical viewthe neo-classical view is that market
Q : difficulties in using fiscal policythere are several
Q : policy conflictsin their attempts to achieve the policy
Q : direct intervention the government can also intervene
Q : monetary policiesthis is the direction of the economy
Q : public sector borrowing requirement psbrpublic sector
Q : burden of the national debtthe extent of the burden on a
Q : national debttaxation does not often raise sufficient
Q : types of public debtpublic debts can be classified
Q : public expenditurethe accounts of the central government
Q : economic effects of taxationa a deterrent to workheavy
Q : questionq1ltbrgtwhat is wrong with each of the following
Q : digressive taxa tax is called digressive when the higher
Q : regressive taxa tax is said to be regressive when its
Q : proportional taxis where whatever the size of income the
Q : disadvantagesthe effect on incentiveshigh progressive
Q : advantagesa it is
Q : progressive taxa progressive income tax system is one where
Q : advantagesa they are less costly to administer because the
Q : indirect taxesthese are imposed on an individual mostly
Q : demerits of direct taxesa heavy direct taxation especially
Q : merits of direct taxesa they satisfy the principle of
Q : direct taxesa direct tax is one where the impact and
Q : a small country produces 5000 units of output and has a
Q : classification of taxestaxes can be classified on the basis
Q : principles of an optimal tax systemwhen taxes are
Q : functions or purposes of taxationthe functions of taxation
Q : types of budgets1 deficit budget if the
Q : functions of the budgetthe budget fulfils three main
Q : the budgetthe budget is a summary statement indicating the
Q : macro-economic policy objectivesthe major macro-economic
Q : the microeconomic objectives of governmentthese are the
Q : objectives of governmentgovernment policies are required in
Q : supply-side policiessupply-side policies are intended to
Q : demand management policiesthese policies are intended to
Q : remedies for unemploymentthe measures appropriate as
Q : the economic costunemployment represents a terrible waste
Q : the social cost of unemploymenti for
Q : cost of unemploymentunemployment is a problem because it
Q : disguised unemploymentsituation where some people are
Q : keynesian unemploymentaccording to keynesian theory of
Q : structural unemployment caused by structural changes
Q : transitional unemploymenttransitional unemployment is that
Q : factors responsible for wage differentials within the same
Q : factors responsible for wage differentials between
Q : differentials and disequilibriumin a free enterprise system
Q : effectiveness of trade unions in developing countriestrade
Q : factors affecting the ability of trade unions to gain

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