Economics Money Banking and International Trade Test 2 Mcqs Preparation Online Money Banking and International Trade Test 2 Mcqs Preparation Online 1. Cost-push inflation is caused by?A. In-crease in investment B. Increase in the prices of inputsC. Increase in the quantity of money D. Creation of credit money Loading... 2. Identify Pigou's cash balances equation?A. M = Ky + K'A B. M = KR/P C. M = PKTD. M = KPO Loading... 3. During which decade of the nineteenth century did most European countries adopt the gold standard?A. Seventies B. NinetiesC. Eighties D. Sixties Loading... 4. In the Fisher's equation of exchange MV = PT, what does T denote?A. Trend value of general price levelB. Total money wealth C. Period of time D. Volume of trade Loading... 5. Who is generally regarded as the founder of the Modern Quantity Theory of Money?A. Don PatinkinB. M.L.Bursten C. Milton Friedman D. J.M.Keynes Loading... 6. Which of the following according to Milton Friedman is not a key determinant of the demand for money?A. Precautionary motive B. Physical non-human capital goods and human capital or wealthC. Aggregate wealth D. Relative rates of return obtainable on different forms of assets Loading... 7. Who introduced the concept of the real balance effect?A. A.C.Pigou B. Milton FriedmanC. J.M.Keynes D. Alfred Marshall Loading... 8. When did the UK finally abandon the gold standard?A. 1925 B. 1929 C. 1931 D. 1936 Loading... 9. The Quantity Theory of Money establishes the relationship between quantity of money in an economy and the level of?A. Employment B. National incomeC. Prices D. Savings Loading... 10. Identify the country which was the first to adopt the gold standard?A. USAB. France C. UK D. Germany Loading... Loading... Related PostsMoney Banking and International Trade Test 1 Mcqs…Money Banking and International Trade Test 3 Mcqs…Money Banking and International Trade Test 4 Mcqs…Money Banking and International Trade Test 5 Mcqs…Money Banking and International Trade Test 6 Mcqs…Money Banking and International Trade Test 7 Mcqs… Continue Reading Previous Money Banking and International Trade Test 1 Mcqs Preparation OnlineNext Money Banking and International Trade Test 3 Mcqs Preparation Online Leave a Reply Cancel replyYour email address will not be published. Required fields are marked *Comment * Name * Email * Website Δ