Question # 1

q = 4 + 2P it is a functional equation of.

Choose an answer

Demand

Supply

Equilibrium of demand as supply

None of the three

Market equilibrium means

Choose an answer

number of buyers and sellers are equal

demand and supply of commodity are equal

no price is changing

prices rise very slowly

Marginal revenue products (MRP) curve falls when units of labour

Choose an answer

Remain constant

Decrease

Increase

None of the three

When there is big change in quantity supplied resulting from a minor change inits price,its elasticity of supply will be.

Choose an answer

Equal to unity

Less than unity

Equal to zero

Greater than unity

If the supply of land is assumed to be perfectly inelastic which of the following rent will it yield.

Choose an answer

Scarcity rent

Differential rent

Quasi rent

Scarcity rent

Law of substitution is another name for

Choose an answer

law of diminishing MU

law of equi-MU

law of demand

law of satisfaction

Which is NOT a cause of shift in cost curves of a frim

Choose an answer

excise tax

prices of inputs

increase in productivity

price of product

In the business world

Choose an answer

a firm working under perfect competition wants to become a monopoly

a firm working under monopoly wants to become a competitive firm

monopoly price is always higher than competitive price

competitive price is always higher than monopoly price

Normal profit is

Choose an answer

part of total cost

part of economic profit

part of fixed cost

total revenue minus total cost

Demand and supply forces determine market price

Choose an answer

only in perfect competition

only in monopoly market

in both markets

none of the above

If quantity demanded is completely unresponsive to changes in price, demand is

Choose an answer

inelastic

unit elastic

elastic

perfectly inelastic

When the price of a product falls and as a concequence the demand for the product increase. it will be.

Choose an answer

Rise of demands

Fall of demand

Extension of demand

Contraction on demand

Professor Knight is famous for his theory of

Choose an answer

rent

profit

population

wages

One of the following is not an exception to the law of diminishing marginal utility .

Choose an answer

Money

Knowledge

Music

Non of them

Fixing of minimum wage

Choose an answer

raises demand for labour

raises profits

causes unemployment

is welcomed by employers

x = f (y).

Choose an answer

x is a dependent variable.

y is a dependent variables

x and y are dependents variables.

None of the three

A fall fall in supply will take place due to a:

Choose an answer

Business collusion

Bumper crop

Fall in custom duty

Fall in income

The demand for a factor is called.

Choose an answer

Composite demand

Joint demand

derived demand

No demand

Marginal product indicates rate of change of

Choose an answer

total product

average product

variable product

all of the above

Which is NOT an advantage of division of labour

Choose an answer

workers spend less time moving from job to job

workers becomes dependent on other workers

workers become more efficient at performing repeated task

machinery is more easily introduced to perform simple tasks

The difference between iron ore deposits and the steel produced illustrates the difference between

Choose an answer

labour and natural resources

labour and capital

natural resources and capital

natural resources and entrepreneurship

More Classes

Other Links

Economics Ics Part 1 English Medium Online Test MCQs With Answers

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer

Choose an answer