Test your knowledge on GDP with our MCQ on GDP (Gross Domestic Product) for Competitive Exams 2024.
MCQ on GDP
1. What does GDP stand for?
A) Gross Dollar Product
B) Gross Domestic Product
C) Global Development Parameter
D) Gross Distribution Principle
Answer: B) Gross Domestic Product
2. Who developed the concept of GDP?
A) John Maynard Keynes
B) Adam Smith
C) Simon Kuznets
D) Milton Friedman
Answer: C) Simon Kuznets
3. Which of the following represents the formula to calculate GDP according to the income approach?
A) GDP = Wages + Rent + Interest + Profit + Depreciation
B) GDP = Wages + Rent + Interest
C) GDP = Wages + Rent + Interest + Profit
D) GDP = Revenue – Expenses
Answer: C) GDP = Wages + Rent + Interest + Profit
4. What does the Gross Domestic Product (GDP) primarily measure?
A) Total population of a country
B) Total land area of a country
C) Total monetary value of all final goods and services produced within a country
D) Total number of businesses within a country
Answer: C) Total monetary value of all final goods and services produced within a country
5. The average income of a country is known as:
A) Gross National Product (GNP)
B) Gross Domestic Product (GDP)
C) Gross National Income (GNI)
D) Per Capita Income
Answer: D) Per Capita Income
6. What does the term “Real GDP” refer to?
A) GDP adjusted for inflation
B) GDP adjusted for depreciation
C) GDP adjusted for changes in government spending
D) GDP adjusted for changes in exports and imports
Answer: A) GDP adjusted for inflation
7. Which of the following institutions releases the “World Economic Outlook Report”?
A) World Bank
B) United Nations
C) International Monetary Fund (IMF)
D) World Trade Organization (WTO)
Answer: C) International Monetary Fund (IMF)
8. Which sector contributes the most income to India’s economy?
A) Primary Sector
B) Secondary Sector
C) Tertiary Sector
D) None of these
Answer: C) Tertiary Sector