Question # 1

If there is big change in Price and demand, it is called

Choose an answer

Arc elasticity

Point elasticity

Income elasticity

Cross elasticity

The cause of rise and fall of demand is

Choose an answer

income

price

population

Both 1st and 3rd

Demand for Giffen goods is:

Choose an answer

Negative

Vertical

Positive

All of them

Supply of perishable goods e.g. groceries, fruit, meat etc is

Choose an answer

Less elastic

More elastic

Perfectly inelastic

Perfectly elastic

Demand for the goods which have different uses, is

Choose an answer

More elastic

Less elastic

Infinity

Zero elastic

If the rate of change in price and quantity demand is in equal ratio, then Elasticity of demand is:

Choose an answer

Equal to zero

Equal to one

Smaller than one

Greater than one

Formula method to measure elasticity of supply is related to

Choose an answer

Marshall

Robbins

R.G.D Allen

Flux

When demand curve shifts rightward (or upward), it is called

Choose an answer

Rise of demand

Fall of demand

Extension of demand

Contraction of demand

Relationship between price of a commodity and demand for it exists

Choose an answer

Positive

Inverse

Indirect

None of these

If price of a commodity constant but its supply increases or price decreases but supply remains constant, it is called

Choose an answer

Rise of supply

Fall of supply

Extension of supply

Contraction of supply

Second name of unitary method is

Choose an answer

Method of total satisfication

total expenditure method

total revenue method

Both 2nd and 3rd

When supply increases due to other factors besides price, it is called

Choose an answer

Extension of supply

Contraction of supply

Rise of supply

Fall of supply

Vertical supply curve means

Choose an answer

Same quantity supplied at differented price

Different quantities supplied at one price

Different quantities supplied at different prices

None of three

Cause of positive slope of supply curve

Choose an answer

Change in cost of production

Fear of increase in cost of production and decrease in profit

Change in technique of production

Increase in per unit profit due to increase in price

When price decreases, supply

Choose an answer

Extends

Contracts

Becomes zero

Remains fixed

According to the law of supply, there is relation in price and supply

Choose an answer

Inverse

Increasing

Negative

indirect

More Classes

Other Links

Principles of Economics Icom Part 1 English Medium Chapter 3 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