Practice Research Questions and Answers

• Which of the following is not an assumption of Keynesian Simple model?
• Suppose the reserve ratio is 0.2, Currency in Circulation is Rs.100, Deposits are Rs.400 and Excess Reserves Rs.10 , then calculate the money multiplier
• What is the term used when explanatory variable is correlated with the error term?  
• If the expected value of the error is not zero, it is a problem only if this expected value is  
• Non-spherical errors are related to
• VIF test is done for which of the following?
• Suppose X has income of Rs.500. He wants to maximise his expected benefit Z1/2 where Z is his money earned. He has two options, 1. Do not invest 2. Investm...
• The demand function for a good is X = 5000 – 10Px + 15Py + 0.2Y, where in Px   is the price of X, Py is the price of another good and Y is the i...
• Consider the following production function Q = 20L – 0.2L2 – 20K + 0.2 K2 + 4KL If 20 units of capital is used , what is the upper limit of lab...
• Suppose demand and cost function of a monopolist are Q = 5 – 0.25P and C = 4Q+2. If government imposes a tax @10% of sales. What is the total tax rev...
• What is the saddle point for the following zero sum game?   Player B Player A   X Y Z X (-2,2) (0,0) (5,-5) Y (3,-3) (-4,4...
• A consumer purchases x1 = 40, x2 = 20 at the prices p1 = 4 and p2 = 12. He is also observed to purchase x1 = 36 and x2 = 8 at the prices p1 = 6 and p2 = 10...
• If the marginal propensity to save is 0.3 and the marginal propensity to import is 0.1, and the government increases expenditures by Rs. 10 billion, ignori...
•   For an economy, the required per capita growth rate is 7% , the population growth rate is 3% . Calculate the saving rate for a capital output ratio ...
• From the information provided in the following table, calculate the GNPmp ...
• Which of the following statements is NOT CORRECT in the context of an Open Economy IS-LM Model under Floating Exchange Rate (with fixed price) and Perfect ...
• C = 40+0.75Y I = 140 – 10i , G=100, T=80, Money demand = 0.2Y – 5i , Money Supply = 85 Suppose the government increases the expenditure by Rs.1...
• Consider the following production function Y = F(K,AL) = K1/3(AL)2/3 Calculate the steady state level of output per effective unit of labor, when saving ra...
• R-square is the fraction of
• Which of the following is correct regarding regression coefficient? ...
• As per the regression data available: Wage = 11 + 0.24age - 0.23Illiterate + 0.14Married - 0.27Married*Illiterate, where the variables are self-explanatory...
• The correlation coefficient is the________________of two regression coefficients:  ...
• Which of the following is not correct regarding adjusted R2? ...
• Which of the following is correct regarding the Durbin-Watson Test? ...
• Coefficient of correlation r = 0.90. Using the following information, estimate the wage when the years of schooling are 20 years.   Wage Educati...
• The two regression lines are 6X+4Y=52 and 12X+6Y=62. Find the correlation coefficient. ...
• Autocorrelated errors is about
• Calculate the F-statistics for the following, using ANOVA   No of observation Mean Standard Deviation X 5 12 2 Y 5 16 1 Z 5 20...
• Calculate the predicted value of X when Y is 20 X: 16, 54, 35, 25, 44, 51              &...
• Suppose the relationship between Y and two explanatory variables in true model is Yi = 5+2.4X1i-3.5X2i + ei . What is the value of beta(1) in the regressio...
• Which recent policy initiative aims to make India a $5 trillion economy by 2025?
• What is the projected inflation rate for India by FY25 as per the Economic Survey 2023-24?
• According to the Economic Survey 2023-24, what measures helped reduce core inflation in India to a four-year low in FY24?
• A neutral technological change __________
• When the share of output going to capital is 0.25, the share going to labor is 0.75, output increases 4%, labor increases 1%, and capital increases 2%, the...
• A labor-augmenting technological change has no effect upon the
• If 50 percent of the families in a certain city subscribe to the morning newspaper, 65 percent of the families subscribe to the afternoon newspaper and 85 ...