11th class Principles of Economics chapter 3 online mcq test with answers for I.Com part 1 Principles of Economics chapter 3(Demand and Supply)

Principles of Economics Icom Part 1 English Medium Chapter 3 Online Test

Sr. #	Questions	Answers Choice
1	When the price of a commodity increases but its demand does not change, this situation is called	Constant demand Fall of demand Rise of demand Contraction of demand
2	When price of a commodity decreases but its demand does not change, this situation is called	Constant demand Fall of demand Rise of demand Extension of demand
3	Finance minister in order to increase the public revenue imposes the tax on the commodities whose demand is more elastic	At low rate At high rate Some times decreases the rate and some times increases Does not change Tax rate
4	Finance minister in order to increase the public revenue, imposes tax on the commodities whose demand is less elastic	At low rate At high rate Some times decreases the tax rate and some times increases the tax rate Does not change tax rate
5	If the demand for a commodity is less elastic, then an entrepreneur in order to increase his profit	Will increase its price Will decrease its price Will not change its price None of these
6	If the demand for a commodity is more elastic, then an entrepreneur in order to increase his profit	Will increase its price Will decrease its price Will not change its price None of these
7	If demand for commodity X changes due to the change in price of commodity, it is called	Cross elasticity Price elasticity Income elasticity Arc elasticity
8	If demand for a commodity changes due to change in price of its substitute, it is called	Price elasticity Point elasticity Cross elasticity Arc elasticity
9	Unity method to measure elasticity of demand was presented by	Adam smith Robbins Marshall Keynes
10	If due to a very slight decrease in price, demand goes on increasing, elasticity of demand will be	More than unity Less than unity Infinite Zero
11	If demand is not influenced by the changes in price, elasticity of demand will be	Equal to unity More than unity Less than unity Zero
12	If the ratio of change in demand is less than the ratio of change in price, elasticity of demand will be	More than unity Less than unity Equal to unity Zero
13	If the ratio of change in demand is equal to the ratio of change in price, elasticity of demand will be	More than unity Less than unity Equal to unity Infinite
14	Exceptions, or limitations of law of demand have been stated by	Professor Marshall Professor Adam Smith Professor Benham Professor Robbins
15	Price of perishable goods is determined	In the market period In the short period In the middle period In the long period

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