Economics - Economic Planning MCQ Test 5

1. What is the primary purpose of a 'central bank' in an economy?

2. What is the purpose of fiscal policy?

3. Define 'game theory' and its application in economics.

4. Define 'income inequality' and its impact on society.

5. In economic terms, what does GDP stand for?

6. What is the role of 'foreign direct investment (FDI)' in economic development?

7. What role does 'circular flow of income' play in understanding an economy?

8. Explain the concept of 'economic equilibrium' in market dynamics.

9. Define the term 'opportunity cost' in economics.

10. What is the significance of the 'invisible hand' in economic theory?