CSS :: Economic Growth and Development

@ : Home > Economics > Economic Growth and Development

21.

Whichone of the following, according to Ricardo, would form a bottleneck to economic growth?

A.	Shortage of land	B.	Rising rent
C.	Shortage of gold and silver	D.	Rising wage bills

22.

Which one of the following statements is not in tune with the Ricardian theory of growth?

A.	Rent tends to rise	B.	Money wages tend to rise
C.	Profits tend to fall	D.	Profits tend to rise

23.

Which one of the following is not an assumption of the Ricardian theory?

A.	Rising real wages	B.	Fixity of land
C.	Operation of the law of diminishing returns	D.	Perfect competition

24.

Which of the following policy-prescriptions for economic growth was suggested by Ricardo?

A.	Government's active participation in the economic field	B.	Free trade in commodities
C.	Control over population growth	D.	Regulation of competition

25.

In the Ricardian system, a crucial role in development was assigned to:

A.	Specialisation	B.	Technological changes
C.	Profits	D.	Government

26.

The stationary state according to Malthus and Ricardo, is characterised by:

A.	The disappearance of profits	B.	Net investment falling to zero
C.	Wages coinciding with the subsistence level	D.	All of the above

27.

Which of the following is not a part of the classical theory of economic development?

A.	Labour supply would increase with rise in wages	B.	Stationary state
C.	Government interference	D.	Capital accumulation is the basic cause of growth

28.

Which of the following had the approval of the classical economists (particularly J.S. Mill) as an aid to development?

A.	Subsidizing the poor	B.	Imposition of temporary duties on imports to develop particular industries
C.	Regulation of activities of the rising business class	D.	Appropriating a part of the national product by the government for unproductive uses

29.

The classical theory of economic development is of relevance for the less developed countries today because it lays emphasis on:

A.	Need for favourable institutional and social initiatives	B.	Extension of markets
C.	Capital accumulation	D.	All of the above

30.

According to the neo-classical theory, economic development is:

A.	Gradual	B.	Harmonious
C.	Cumulative	D.	All of the above