UGC NTA NET/JRF Exam, June-2025 Economics (Shift-II)

Total Questions: 100

71. Match List-I with List-II

Choose the correct answer from the options given below:

Correct Answer: (c) A-III, B-I, C-II, D-IV
Solution:

The correct match is as follows-

72. In the context of IS-LM model, a higher marginal propensity to spend results in :

Correct Answer: (b) A steeper aggregate demand curve and consequently a flatter IS curve
Solution:

Higher marginal propensity to spend
Higher MPC → Higher
Multiplier → IS curve
Becomes flatter because for a given interest rate change, output changes more. A steeper aggregate demand curve and consequently a flattes IS curve-correct.

Aggreagate demand curve becomes steeper because spending reacts more strongly to income changes.

IS curve becomes flatter because investment and income are more sensitive to interest rate changes (through the multiplier).

73. Arrange the following works of J.M. Keynes in chronological order (Starting from the oldest to latest).

A. A Treatise on Money
B. General Theory of Employment, Interest and Money
C. Indian Currency and Finance
D. A Monetary Theory of Production
E. A Tract on Monetary Reform
Choose the correct answer from the options given below:

Correct Answer: (b) C, E, A, D, B
Solution:

Works of J.M. Keynes in chronological order (starting from the oldest to latest).

IDPublication TitleYear
CIndian Currency and Finance1913
EA Tract on Monetary Reform1923
AA Treatise on Money1930
DA Monetary Theory of Production1933
BGeneral Theory of Employment, Interest and Money1936

74. Solve the following question?

Correct Answer: (b)
Solution:

75. Match List - I with List - II

List-I (Criteria of 15th Finance Commission)List-II (Weights for Horizontal Devolution)
A.Income distanceI.15%
B.PopulationII.12.5%
C.Demographic performanceIII.45%
D.Forest and EcologyIV.10%

Choose the correct answer from the options given below:

Correct Answer: (c) A-III, B-I, C-II, D-IV
Solution:

The correct match is as follows-

List-I (Criteria of 15th FC)List-II (Weights for horizontal devolution)
A.Income distance-45%
B.Population-15%
C.Demographic performance-12.5%
D.Forest and Ecology-10%

76. Arrange the following Chairman of Finance Commission in order of their appointment starting from the oldest.

A. A.M. Khusro
B. C. Rangarajan
C. N.K.P. Salve
D. K. Bramhananda Reddy
E. K.C. Pant
Choose the correct answer from the options given below:

Correct Answer: (d) D, C, E, A, B
Solution:

To arrange the Chairman of the Finance Commission of India in chronological order starting from the oldest appointment, lets check their tenure-
(1) K. Bramhananda Redely : Chairman of the 6th Finance Commission (1972-1973)
(2) N.K.P. Slave - Chirman of the 9th FC (1987-1989)
(3) K.C. Pant - Chairman of the 10th F.C. (1992-1995)
(4) A.M. Khusro - Chairman of the 11th F.C. (1998- 2000)
(5) C. Rangarajan - Chairman of the 12th F.C. (2002- 2004)

77. If the marginal propensity to consume is 0.8 and initial increase in tax revenues by the government is Rs. 100, then the impact on national income would be :

Correct Answer: (c) National Income will decrease by Rs. 400
Solution:

78. Which of the following causes a positive output gap, where, output-gap = Actual output - Potential output?

Correct Answer: (c) Overemployment of factors of production
Solution:

Over employment of factors of production-
This means using resources beyond sustainable capacity (eg. overtime work, intense capital use). This, increase actual output above potential output, creating a positive output gap.

79. The null hypothesis that all slope coefficients are simultaneously equal to zero is tested in logit model by.

Correct Answer: (d) Likelihood ratio statistics
Solution:

The null hypothesis that all slope coefficients are simultaneously equal to zero is tested by the F-test in linear regression models.

The F-statistics is an overall measure of the model's fit and assesses whether the variables in the model, taken together, have any significant explanatory power.

If the F-statistic is statistically significant, the null hypothesis is rejected, indicating that at least one slope coefficient is not zero.

80. Solve the following question?

Correct Answer: (d) y=-0.6643x + 59.2576
Solution:

The equation for the line of regression y on x given by the formula.